Some employers unknowingly misclassify some of their employees as independent contractors.
In doing so, they risk suffering severe consequences, including liability for misclassified employees’ back wages and overtime compensation as well as all applicable taxes. They may also have to pay liquidated damages, penalties and penalties for wage-and-hour and immigration violations. They may even face criminal charges.
Avoid the consequences of misclassifying workers by understanding what constitutes an independent contractor. Be forewarned: This involves a fact-intensive analysis, and there’s no simple test or standard under the law that fits every situation and provides an easy classification answer.
By becoming familiar with the following tests, you minimize the chances of misclassifying an employee. Once you are familiar with the tests, consult your attorney to make sure you have applied them correctly....(register to read more)
- How to Fire an Employee the Legal Way: 6 Termination Guidelines
- Small Business Tax Deduction Strategies
- Don't be 'frivolous': Take your tax return seriously
- What should we do if we suspect an employee is abusing workers' comp?
- Transfer worker who needs a fresh start
- Boring Benefits? Perk 'Em Up With 10 Real-Life Solutions