this is for business advertising but I’m assuming she operates the same regarding whatever other services she offers (Hair/makeup) or used Venmo. By using family & friends option on PayPal, it’s considered “gift”money instead of paying for goods and/or services. PayPal will not provide her with a 1099 at the end of the year to pay taxes on these “gift” payments. Also, let’s say you pay her ahead of time via friends & family option on PayPal & she never delivers the service Or you aren’t happy & want a refund- you will have a hell of a time disputing this with PayPal simply because of selecting the friends & family option. There is no guarantee from PayPal when you select the friends & family option and is supposed to be used for those who you personally know & trust aka literal friends & family. Not for business purposes- which is why they have a separate “goods and services” payment option. That option is backed by PayPal & is guaranteed if there is ever an issue.
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I know for NJ, it does cover a lot. But it also depends on the PPO (preferred provider organization) and the actual plan— typically it includes hospitalizations, doctor visits, prescriptions, emergency care, outpatient surgery, mental health services, vaccines, health screenings, lab tests, dental, vision... No cosmetic type of procedures unless medically necessary with documentation & approved by insurance. Orthodontics have restrictions- must be medically necessary with documentation & are only covered for kids up to either 21 or 19 depending on the plan. Adults are only eligible for insurance coverage depending on their income. Some plans require copays for dr visits & prescriptions and also premium payments depending on your income & the actual plan itself. You also need to find a provider and/or hospital that accepts the PPO.