Tag Archives: employee or contractor

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When Workers are Independent Contractors

As business owners know all too well, hiring an employee costs more than just paying a salary.  Employers generally provide benefits to employees, which can be expensive.  Moreover, employers must pay a share of Medicare, Social Security, and federal/state unemployment taxes. None of the above applies when your company hires an independent contractor – a […]

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Employee or Independent Contractor?

Classifying Workers Based on Nature of the Relationship

It is critical for business owners to correctly determine the status of service providers as employees or independent contractors.  In making this determination, you must first understand the relationship between your business and the service provider as it relates to the degree of control and independence. Internal Revenue Service (IRS) guidelines identify three categories of […]