My brother and I own an S-Corp and are both paid a salary from that
S-Corp.  If we wanted to pay a "performance" bonus when one of us
works extra hours in a month, would this have to be paid through
payroll?  If we can avoid paying it through payroll (and do it via
1099 income), it would obviously save some on the various withholdings
and employer contributions.  I'm guessing that doing it through
payroll is the only way, but I just wanted to make sure.

Thanks!

Curtis