My wife hates it when 1099 her for services rendered, especially since she refuses to bill against the PO I set up for her. The kids at least accepted NET15 payment terms. Although the oldest said if I short pay him for lawn care again, he’s going to take away my early pay discount.
How does that work, though? Setting up a company has an initial cost and then recurrent costs (accountant, etc). Are the benefits that high for the average Joe?
It's hard to answer without specifics, even if you're not doing anything neferious there are a lot of benefits to putting an entity between yourself and your customers. It depends on where you live and what your business is of course.