What is Prior Balance Loading (PBL)?

What Is Prior Balance Loading (PBL)?

Prior Balance Loading (PBL) allows non-marketplace clients who recruit their own freelancers to capture all payments made prior to WorkMarket for the current calendar year. The goal is to generate a single, unified 1099-NEC for each contractor for that year  

Prior Balance Loading Experience

• WorkMarket will load prior balance totals based on the data you (the client) provide, or data pulled from another ADP platform. The prior balance activity should be completed during the implementation process, within 2 weeks of your WorkMarket go-live.
• Once these balances are loaded, you (the client) will receive a notification to review and approve these transactions under https://www.workmarket.com/pay – My Approvals tab. 
• Once you (the client) approve these transactions, each contractor receives an email notification that the balance has been loaded. The transaction will state the full $ amount that has been added to the platform. This transaction is considered a “$0 transaction” since the contractor doesn’t receive an actual payment; instead, the notification signals completion of the PBL upload and the capture of the prior balance amount in the platform for a consolidated total of payments made that calendar year.
• The prior balance loading transaction will be reported on box-1 of the 1099-NEC as total non-employee compensation. This prior balance loading amount will be listed as a “deduction” on the worker’s earnings report. 

Why It Matters

Using Prior Balance Loading ensures that all payments from a client — regardless of when or where they were issued — are included on the 1099 NEC form. That helps:

• Consolidate payment history
• Produce a single 1099-NEC per contractor, simplifying tax reporting.
• Make sure that earnings outside the platform are properly tracked and documented

Important Reminder: If you complete Prior Balance Loading in WorkMarket, please confirm with your previous contractor-payment system that those amounts will not be filed for the current tax year to avoid duplicating 1099-NEC filings. WorkMarket will file 1099-NECs on your behalf.

If you have any questions, you can contact your Implementation Consultant, Account Manager, or email [e-mail].