The Life Cycle of a Contractor vs. the Life Cycle of an Employee

May 29, 2021

Have you heard the news?

Classifying workers as employees or contractors is more high stakes than it used to be as laws in states continue to become more and more specific.

Many online business owners have found themselves in the uncomfortable position of realizing they may have been treating and paying team members as independent contractors all along, when they should have been employees.

Even more business (especially rapidly growing businesses like yours) are faced with the conscious decision to decide which classification will be best for your business model.

Here’s the good news and the bad news about hiring contractors or employees:

The good news is that you get to decide what role people play in your business, so you can likely make some small changes to ensure you are in compliance.

The bad news is that you get to decide what role people play in your business (LOL), so you alone are responsible for being on the right side of things.

You can find out more specifics about the laws regarding contractor hires vs. employee hires here. In the meantime, sometimes it’s easier to see how the process looks if you are treating your team the way they deserve to be treated.

You can also find more information on the IRS website.

If you’d like to get your questions answered, ore prepare your business to withstand the inevitability of hiring a team, contact me here.

If you’re like me, you want to be entertained while learning, so I made you a video training that you can watch whenever is most convenient for you!

Contractor or Employee 101

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