I'm working fulltime and  also have a small company on the side(an S
corp). My S corp. is not giving me any salary yet because I don't have
enough revenue/profit yet. Recently, I hired a part-time employee for
my S corp. to help me with the work. I'm paying him every end of week
for hours work of 10-20 hours. I cut him a check for the gross salary
and never deducted anything ie tax, SS, etc.

Question 1: What is the correct and legal way to pay part-time worker
(by an S-corp. without any full-time employees at all)? W2, 1099, what
do you suggest? I don't have the luxury of time, I'm trying to avoid a
lot of paperworks.

During the course of time, the past 2 years, I bought some
services/stuff ie cellphone and subscription, telephone and
subscription, office furnitures, etc. that I use for my business.
These charges and bills are acquired personally not through my Company
accounts because most of these services would be expensive if through
my Company account. Good/discounted deals in my experience are for
individuals; taxes are paid though because I bought all of these
in-state.

Question 2: Can I continue to reimburse myself for these
stuff/services? Is there an IRS regulation or law that prohibits what
I'm doing? What do you suggest?

Thanks a lot.