According to the IRS http://www.cheapswellbottleclearance.com/ , Doctors, “dentists, vets, lawyers, accountants Cheap Swell Bottle Wholesale , contractors, subcontractors, public stenographers, or auctioneers who are in an independent trade, business Cheap Swell Bottle clearance , or profession in which they offer their services to the general public are generally independent contractors.”
But what makes these people independent contractors? Aren’t there people with those professions that are considered to be employees? If you have been wondering or fretting about this, fret no more. For a better understanding of what makes someone employed vs. self employed, simply keep reading! What is an Independent Contractor
It is hard to say what the exact role of an independent contractor is. But if you want to know what defines an independent contractor, or someone who is self employed, you may look to the Fair Labor Standards Act Cheap Swell Bottle Sale , common law principles, and some decisions that were previously made by the courts.
The common law principles which define an independent contractor have been adopted by the IRS and many of the states. These principles are divided into three main categories which include behavioral and financial guidelines, and the type of relationship.
First, determining a person’s position may be determined behaviorally. If the company tells the worker what to do, or even if they just have the right to control what they do and determines how the worker is going to do the job Cheap Swell Water Bottle , the person may easily be classified as an employee rather than self employed. Classifying the worker as an Employee
Another principle that defines a workers role in this situation is compensation. If a person regularly gets their paycheck from someone else, most likely they are an employee, and not self employed. An independent contractor gets paid by the job rather than by the time it takes to complete said job.
The thing that makes a workers role very clear though, is the type of relationship between the people involved. If the worker receives any type of benefits or has a written contract then they are definitely not self employed. If the work they perform is a key aspect of the business, they are most likely employed by that business.
Some other things that define someone as an independent contractor include: supplying their own equipment Cheap Swell Stainless Steel Bottle , materials and tools; if they have the ability to choose whether or not to come to work without losing their job; whether they have the job temporarily or not; and if they pick their own hours. So how can you tell which one to classify workers as?
As you may be able to tell, the role of the worker, whether a standard employee or self employed, is never very clearly defined by just one aspect. All factors must be weighed to determine a person’s employment status. The entire relationship should be looked at, and the extent of control examined thoroughly.
This is not a matter to be taken lightly either. Never should an employer just brush this classification under the rug Cheap Swell Bottle , and assume the status of any worker. If you do, you can be held liable for employment taxes for that worker.
If you are a worker that believes you have been improperly classified as an independent contractor by your employer, you should fill out the Uncollected Social Security and Medicare Tax on Wages form to figure out and report your share of uncollected social security and Medicare taxes.
If you are still confused about your status, or just have any other questions not covered in this article, please don’t hesitate to give us a call today at 856-348-0040. You may also visit us online at www.iStaffwise!
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