Your organization is taking the market by storm and the workload has gotten larger than that which you can handle on your own. You’ve gotten positive feedback on the implementation of your business plan and even gotten a small business grant for women owned businesses from your local Community Foundation. Now it’s time to add staff. But do you hire an employee or look for an independent contractor?
Independent contractors and employees are not the same, and it’s really imperative that you comprehend the major differences. Comprehending these specific differences can help you know what your first hiring move should be and influence how you withhold an assortment of taxes and steer clear of expensive legal penalties.
What’s the difference?
An Independent Contractor:
- Functions under a company name
- Has his/her own staff
- Keeps a different company checking account
- Markets their organization’s products and services
- Bills for work completed
- Has got more than a single buyer
- Provides own equipment as well as sets own work schedule
- Keeps organization information
- Does chores determined or controlled by other people
- Is provided training for work to be done
- Works for only one employer
A lot of small enterprises rely on independent contractors with regard to their staffing needs. There are lots of advantages to making use of contractors instead of using the services of employees:
- Savings in personnel expenses
- Lowered legal liability
- Flexibleness in acquiring and firing
Why Should It Make a difference?
Mistakes in classification of a worker as an independent contractor could have a number of costly legal implications.
Should your independent contractor is found to meet the legal meaning of a staff member, you may be forced to:
- Compensate them for earnings you should have compensated them within the Fair Labor Standards Act, together with overtime and minimum wage
- Make payments towards back taxes and fees and penalties for the purpose of state and federal taxes, Social Security, Medicare and unemployment
- Cover any existing unpaid injured personnel workers’ compensation benefits
- Provide employee benefits, together with medical care insurance, a retirement plan, and so forth
Visit the IRS Independent Contractor or Employee self-help guide to read about the taxation implications of either circumstance, get a hold of and fill out a form to have the Internal revenue service officially verify any workers’ status, and locate relevant information.
There isn’t a particular assessment for identifying if someone is definitely an independent contractor or an employee using the Fair Labor Standards Act. Having said that, the subsequent guidelines ought to be taken into account:
The particular degree which the help rendered are a fundamental element of the particular principal’s small business
The permanence of the business relationship
The amount of the assumed contractor’s investment in facilities and devices
The makeup and level of control by the business owner
The alleged contractor’s possibilities to make money
The degree of initiative, judgment, or foresight in open market competition with others that is required for the success of the claimed independent contractor
The degree of independent enterprise organization and operation
Whether or not an individual is an independent contractor or an employee usually is determined by how much control used by way of company over the work being done. Study Equal Employment Opportunity Laws – Who’s Covered? for additional info on the way to determine whether one is an independent contractor or an employee, and also which are covered according to federal laws.
Getting the right people to support your small business can be critical to your success. Knowing as much as you can about employees before they come on board is vital. The following list includes the kinds of information that companies commonly consult as part of a pre-employment check, and the laws governing what constitute a legitimate investigation.
Credit Reports Under the Fair Credit Reporting Act (FCRA), businesses should get a worker's authorization prior to seeking an employee's credit report. If you choose not to promote or employ somebody based upon information in the credit report, you have to offer a copy of the report and let the candidate or employee understand his or her right to challenge the report under the FCRA. Go to the FTC s Bureau of Customer Security s website to learn more. Criminal Records To what level a personal company may consider an applicant's criminal history in making hiring choices varies from state to state. Due to the fact that of this variation, you ought to seek advice from a legal representative or do more legal research on the laws of your state before checking out whether or not a candidate has a criminal past. For Federal Bureau of Examination (FBI) checks, consult these resources:
- FBI Solutions for Businesses
- FBI Wrongdoer History Checks for Employment and Licensing
- FBI Checks on Staff members of Banks and Associated Entities
These laws cover everything from protecting against discrimination as well as harassment inside the workplace, office poster demands, wage and hour regulations and workers’ compensation rules.
The U.S. Department of Labor manages federal government employment and labor rules; however, individual states also have their own specific legal guidelines. In order to help you understand and abide by these laws, reference the following small enterprise guides and sources.
- Find out which Government Employment Laws Apply to Your Company – This online resource from the Department of Labor – the “FirstStep Work Laws Advisor” – will assist you to determine which regulations pertain to you and how you can abide by.
- State Work Laws and regulations – Each individual state has its particular laws that you must comply. This site contains links to your state labor office.
- Browse Laws and regulations by Classification – Acquire easy-to-understand information and facts concerning various federal government employment laws and regulations utilizing this “eLaws” on the web tool from the Department of Labor.
Find Information by Subject Gain access to the most frequently asked search engine terms and also subjects from the Department of Labor.
- Employment Law Guide – This extensive guide describes significant work regulations that impact companies and is designed for those needing “hands-on” information to develop salary, benefit, safety and health, and nondiscrimination procedures.
- 10 Steps to Selecting your Very first Staff member – These 10 basic techniques will guide you through what you must do once you hire your initial employee.
If your company is growing, however you are having a hard time keeping up, possibly it’s time to pay add staff.
The 8 steps below can assist you start the hiring process and guarantee you are compliant with crucial federal and state policies.
Step 1. Obtain an Employer Identification Number (EIN).
Before employing your first employee, you have to get a Employer Identification Number (EIN) from the U.S. Internal Revenue Service. The EIN is often described as an Employer Tax ID or as Form SS-4. The EIN is essential for reporting taxes and other documents to the IRS. In addition, the EIN is necessary when reporting details about your staff members to state firms. You can obtain an EIN online or call the Internal Revenue Service at 1-800-829-4933.
Step 2. Establish Records for Withholding Taxes.
According to the Internal Revenue Service, you have to keep on records of employment taxes for at least four years. Maintaining good records can also help you keep track of the development of your company, prepare financial statements, determine sources of receipts, keep an eye on deductible expenses, prepare your income tax return, and support items reported on income tax return.
Below are three types of withholding taxes you require for your company:
- Federal Income Tax Withholding – Every employee must provide a company with a signed withholding exemption certification (Form W-4) on or prior to the date of employment. The company needs to then submit Form W-4 to the Internal Revenue Service.
- Federal Wage and Tax Statement Every year, companies must report to the federal government salaries paid and taxes kept for each worker. This report is submitted needing Form Wage, tax and w-2 statement. Employers should finish a W-2 form for each employee who they pay a wage, wage or other payment.Employers should send Copy A of W-2 forms to the Social Security Administration by the last day of February to report salaries and taxes of your employees for the previous calendar year. In addition, employers should send out copies of W-2 kinds to their staff members by Jan. 31 of the year following the reporting period. Check out SSA.gov/ employer to learn more.
- State Taxes – Depending upon the state where your employees are located, you may be had to withhold state income taxes. Check out the state and local tax page to learn more.
Step 3. Worker Eligibility Verification.
Federal law needs companies to validate a staff member’s eligibility to work in the United States. Within three days of hire, employers should complete Form I-9, work eligibility verification, which needs employers to analyze documents to verify the employee’s citizenship or eligibility to work in the U.S. Employers can only request documentation defined on the I-9 form.
Companies do not have to send the I-9 form with the federal government however are required to keep them on file for 3 years after the date of hire or one year after the date of the worker’s termination, whichever is later on.
Employers can utilize details provided from the Form I-9 to digitally validate the employment eligibility of freshly minted staff members by registering with E-Verify.
Step 4. Register with Your State’s New Hire Reporting Program.
All employers are required to report newly employed and re-hired employees to a state directory site within 20 days of their hire or rehire date. Check out the New Employees Reporting Requirements page to get more information and discover links to your state’s New Hire Reporting System.
Step 5. Obtain Employees’ Compensation Insurance.
All companies with staff members are required to provide employees’ compensation insurance coverage through an office provider, on a self-insured basis or through their state s Workers’ Compensation Insurance program.
Step 6. Post Required Notices.
Companies are required to show particular posters in the work environment that inform employees of their rights and company responsibilities under labor laws. See the Workplace Posters page for specific federal and state posters you’ll need for your business.
Step 7. Submit Your Taxes.
New and existing employers should seek advice from the Internal Revenue Service Employer’s Tax Guide to understand all their federal tax filing requirements.
Step 8. Get Organized and Keep on Yourself Informed.
Being a good employer doesn’t stop with satisfying your various tax and reporting responsibilities. Maintaining a fair and healthy workplace, providing advantages and keeping on employees notified about your business’s policies are key to your commercial’ success. Right here are some additional steps you need to take after you’ve employed your first employee:.
In addition to requirements for keeping on payroll records of your workers for tax functions, particular federal employment laws also require you to keep records about your workers.
Due to the economic downfall, getting a job is hard. If things have been difficult on the job front, you are in good company. In this article, we will share the best advice and tips on finding just the right job for you. Keep reading to learn more.
When you are job hunting, contact the people whom you already know. See if they are aware of any job leads that match your background. Some folks forgo this step, but you shouldn’t be one of them. Recommendations are not taken lightly by employers.
If you still have a job, don’t slack off just because you’re looking for work elsewhere. Otherwise, you may develop a reputation for not following through. This will give you a bad reputation, which you do not want. Succeeding will depend on you doing your best.
Dress well for the interview, even if it’s for a job that requires casual attire. Show you are a professional with quality and sleek attire.
Prepare several questions in advance on the day of the interview. Almost always, you will be asked if you have any questions at the end of the interview. Inquire about the company culture, the position itself, and whatever interests you.
Avoid getting into conflicts with people you work with. It’s important to be known as someone that other people can get along with so that you’re not known as a difficult person to get along with. If people see you as contentious, you will not be promoted or get good raises.
Check your resume references. It will be bad for an employer to call any of your references and find the information is no longer valid. Verify that the location information for your references is correct.
Make resume writing easier by using a free online template. Many free templates are available, and you can adjust them however you want. Select a resume which focuses on your most relevant data.
Everything online with your name on it talks to who you are. It is imperative that you search for your name online to see what comes up from time to time. By doing this, you can see what potential employers will see when they search for your name, which is very likely. If you see unpleasing results, you can quickly change them before they do.
Research employment agencies well, taking note of any upfront promises they make. Some agencies are only after your money. Thoroughly research them and their history with others to see how honest they are. Legitimate agencies are excellent resources and a smart ally to your job hunt.
The down economy has created a rough jobs environment and made finding employment very difficult. Don’t get discouraged if things get hard. Learn about employment and use the advice you read here.
If you want to find a good job, start preparing for it while still attending school. Choose a school that will provide you with the education needed and look for jobs that will help you get some experience in the industry you are interested in. In addition, it’s vital that you make good grades in order to make potential employers take notice.
Keep in mind the fact that your resume forms only a small part of the employment process. Make sure it’s up-to-date and fresh. A resume alone won’t get you hired. Employers are looking for dedicated, enthusiastic individuals that can take their business in new directions. It is crucial that you let your strengths shine through.
Don’t ever put all your hopes into landing one job. Even if you believe you will certainly be hired, nothing is official until the employer calls you and actually tells you that you’ve been hired. Continue to keep all your options open. The more places that you apply, the better your chances of landing a job are.
You may want to provide the number of your cell phone on your job applications rather than your home phone number. Using the cell phone number allows you to receive calls while on the go. You ought to bring your cell phone everywhere, even when you go to your bathroom or garden.
Go networking in your field. Networks, even very informal ones, allow you to corroborate with others who have the same skills and goals that you do. Soak up every morsel of knowledge about your chosen field that you can by attending seminars, conferences, networking events and webinars. Use networking to become educated about becoming a leader in that field.
If money is really short, be willing to work any job you can find while you search for the perfect opportunity to ensure you don’t run out of funds. Tending bar or waiting tables might be an option for you to help you get by.
Research any employment agency thoroughly and be wary of any promises or guarantees they make up front. Some agencies just want your money. Look into their track record and see if they’re legitimate. A good agency can be a great asset that will lead you to options you wouldn’t otherwise know about.
This article has gone over what you can do to excel in whatever it is you wish to do. Be sure that you have all the skills you need before setting off into the job market. Demonstrate that you are able, prepared and committed to a high level of performance and you will be first in line for many good jobs.
A big part of a person’s self worth is oftentimes their job. After all, you spend 40 hours there every week. You may spend more time with co-workers than you do with your family. That makes finding a good job even more important. Take advantage of these tips to maximize your chances of success.
If you are looking for a new job, you should still do your best in your current position. You cannot afford a bad reputation due to goofing off. If the prospective employer checks with your current one, they could find out you are not working to your fullest potential. You have to try your hardest to succeed.
Always dress up for your job interviews, even if you will not need to dress professionally on a daily basis. Just because the place may allow you to dress casually, there is nothing wrong with showing a little respect to the person having the interview.
Being prepared is essential when you’re seeking a job. Keep a pristine resume that is current and professional. In addition, you need to list all your accomplishments in your jobs, and don’t forget to include any educational degrees or certifications. Always have good references on hand so you can give them to anyone that asks.
Keep looking for ways to develop your skills. You must keep up with technology and changing business practices and trends. Keep abreast of these changes to maximize your employability. Classes are a great way to fine tune your abilities. The more knowledge you have, the more marketable you’re going to be to employers.
Put together a sheet that contains all of the information that is typically requested on application forms. Many times you will be asked to furnish dates and contact information that you no longer remember. It is good practice to write everything down and keep the information handy. This will help to make the application process go a lot quicker and smoother.
When job hunting, you need to apply to the right jobs so that you’ll be happy in the long run. Good tips can get you moving in the right direction. Use what you have learned in this article, and you are going to be more likely to get a position you enjoy at a place you love.
It is very unpleasant to have to look for work, no matter what the reason. However, this is an opportunity to get a job that you find much more fulfilling than your old one. The following advice will show you how to land the job of your dreams.
When you are job hunting, contact the people whom you already know. See if anyone you are familiar with knows of any jobs that you would like. Often job seekers skip this step; however, that’s not a good idea. A great recommendation can get your foot in the door.
When searching for jobs, you shouldn’t just search for a single job title. Keep in mind that there are many similar jobs that have different titles than the one you are searching for. Research online to find similar names for the job you are seeking. This can expand your scope when you are applying for jobs.
Include social media addresses in your resume. Nowadays, social media is an important component of many companies; therefore, this skill can assist you in landing a great job.
Make sure that the email address you list on your resume is a professional one. The first impression your potential employer has of you is through your resume and contact information. Pick out an address that’s simple and has your last name in it. Don’t fail to get the job you want because of your email address.
A company’s main priority is making money. Think about how you can show on your resume and during your interview that your talents will help lead to more company profits. While you need to show off that you’re honest and responsible, you need to give the company more than that.
A great resume is the key to getting that great position in the company. Make sure it is organized and easy to determine your history. Provide concise, relevant information regarding your education, professional history and assets. Volunteer positions and hobbies are great to include too, if relevant.
Consider networking within your desired field. Networking that’s successful uses many goals and strategies to help you build professional relationships that are meaningful. Use public events, seminars, and online forums to surround yourself with the people and ideas within the industry. Use networking to become educated about becoming a leader in that field.
If you need some help with a resume, try searching online for a template to use. There are many templates available for free. Highlight the different attributes that you bring to the table on your resume.
Your job search may be just the first step in having a long career in the field you enjoy. Getting up and going to a position you enjoy, wouldn’t that be great! Prepare yourself for a few tough battles and go grab the position that you have been dreaming of.
Trying to find a job isn’t exactly a pleasant experience. Continual rejection can be a hard pill to swallow. But, with some simple improvements, that no will soon turn into a yes. The tips below will show you how.
While you may be applying for a job at a factory, dress as the factory manager would. You’re looking to impress the person hiring, so show them what you are capable of.
Don’t get into fights at work. Being able to work and play well with others is of the utmost importance in the job world. Being known as someone like that can open up doors for promotions and future employment.
With your cover letter, you want to relate the advertisement to your specific qualifications. For example, suppose the listing states that the ideal candidate has experience managing others. Briefly point out past positions and projects that showcased your managerial abilities. Check the ad and highlight any keywords you can use.
You always want to look your best when attending a job interview. Be certain you choose appropriate clothing and remember to pay attention to hair and nails. You want to make the best first impression possible as this carries a great deal of weight with employers.
When writing a resume, position some sort of social media on it. Social media has been known to land people jobs, so take advantage of this current trend.
Your email address is a reflection of who you are, so it’s time to ditch the questionable moniker. Your email address can leave a first impression on the employer. Pick a simple address that at least has your last name in it. You want to avoid missing a dream job simply due to a childish email address you still use.
If you keep these things in mind, you can begin to make an about-face. Use the tips to become a better job candidate. You will increase your chances of getting a good job if you do that.
This economy has made some people hit rock bottom. Finding yourself out of work is a horrifying thing. Luckily, this article could provide you with just the information you need for a successful job search. Use these tips to start working again.
When job hunting, make sure you dress well regardless of the employer. Potential employers will view a well-dressed prospect as more qualified than someone who doesn’t dress well, regardless of their actual qualifications. Don’t wear a tux, but do look good.
Use networking to your advantage. See if anyone you are familiar with knows of any jobs that you would like. People will often forget to do this, but it’s a necessary step for getting a good recommendation on a job.
If you cannot find a job, you may want to think about changing your job searching strategy. Do not let the limited number of companies hiring stop you from working. You may consider going to another area, but be certain you can live in the area if you do actually secure a job.
Dress well for the interview, even if it’s for a job that requires casual attire. Just because this company does not require formal business attire, you should still impress the interviewer by dressing like the job is meant for you.
Try and steer clear of conflict with coworkers. It’s important to be known as someone that other people can get along with so that you’re not known as a difficult person to get along with. When your employer sees that you have your eye on work, not being the office trouble maker, that will help you move up the ladder before the difficult people do.
It’s crucial that you make an effort to condinually upgrade your job skills. Technology and practices in business are always changing. Stay on top of changes so you can be prepared for a new job. Many professions have seminars and workshops that can keep you updated in the latest information. This makes you more of an asset to your prospective employers.
Your cell phone number, rather than your landline, should be your main point of contact. This way, you won’t miss an important phone call asking you to an interview when you’re at the grocery store or walking around the block. You can carry your mobile with you around the house and yard, too.
Do not worry about over-communicating with your new boss when you start a new job. Many issues in the workplace can be traced back to poor communication, eroding trust. Report to your boss even more than normal. Supervisors appreciate this quality because it allows you to seek valuable feedback, which leads to improved performance.
It may seem dire now, but don’t lose hope. Try rewriting your resume when times get hard. Apply for the jobs you normally would not. Use all of the resources that you can muster so that you can get back out there and show everyone what you got. These tips, along with your persistence, should help you get a job.
A big part of a person’s self worth is oftentimes their job. Much of this comes about due to spending 40 hours or more each week at the job. You may see your coworkers more often than you see your family and friends! Given that fact, you want to be sure that you will be happy where you work. This article will help.
Don’t slack off on your current job just because you are searching for a new one. Not doing your absolute best can cause you to have a bad reputation. This can follow you down the line. Success depends on your ability to work to your full potential.
Check out LinkedIn, and take advantage of its many resources. The Questions and Answers section of the site is an excellent place to demonstrate your knowledge and expertise in your chosen field. This area can provide answers from other users about their jobs, experience and ideas about certain industries.
Offering extra perks can help recruit strong candidates. This could range from a daycare to a gym. These little improvements will drive the demand for your position higher and increase the supply of workers that apply for the job. This means that employers will be able to select from a larger pool, which means they have access to top candidates.
When it comes to your coworkers and managers, remember to keep your personal and professional lives separate. This will ensure you know people in the field before you leave the company. You never know where they might end up when you leave. Instead, prevent being friends with them and keep your relationship on a professional level so that your position isn’t put at risk.
Don’t just search for one job title, as the position you are seeking might be listed under different names. Spend time online conducting research about available job titles, focusing on the similarities. You will likely find many more opportunities to apply for.
Patience is incredibly important for both job hunters and job posters. No matter what your circumstances are, you do not want to rush into hiring someone just so an empty spot is filled. Making this mistake can result in a great deal of regret and a lot of money wasted on an employee that provides little benefit to your company.
Answer the phone with a polite tone for phone interviews. It is vital to make a good first impression and to show that you mean business from the start.
Make sure your resume reference information is current and accurate. It never looks good when a prospective employer finds they have been given information. Call each of your references so that you can ensure their number and location are properly recorded on your resume.
As you read at the start of this article, it is important to search for a job correctly to get the results that you are hoping for. It is all about good information. This information will assist you in obtaining a great job at a company you will love.
You may be overwhelmed with finding work that is right for you. Would you rather work with others or on your own? Before accepting a job, think that question over. This article will help guide you in selecting the job that is right for you.
Ask friends and family for help. Check to see if they have contacts that can help you land an interview. People will often forget to do this, but it’s a necessary step for getting a good recommendation on a job.
Even if you’re already seeking employment, it’s important to do well at your current job still. You will get a bad reputation if you do not stay focused on your current job. Any potential employer might find out about your poor performance. You must apply yourself to whatever task is at hand in order to be successful.
Take some helpful classes. Getting a better job can mean you need to beef up your skills. If you don’t want to stay in the same job forever, it is essential that you learn and grow. You can find online classes and programs to fit your schedule.
Research the average salary for your industry so you don’t discount yourself while negotiating. A lot of people usually ask for low pay because they think their employer may not consider them if the amount is too high. While it is true that employers won’t want to overpay you, asking for a salary that is too little may harm your chances of getting the job just as much as asking for one that is too much!
Keep coworkers on your side when you leave your job. You will get good references if your co-workers and supervisors like working with you. This kind of reputation will serve you well when it comes time for promotions or raises.
Make it a point to show up to your job early. You never know when something could delay you, so make sure you have enough of a cushion to arrive to work on time. Proving that you can show up to work on time every day will have a positive impact on your employment.
In conclusion, it may be challenging to find a job to suit your personality type. You must assess yourself, and decide what will make you the happiest, or in some cases, the least frustrated. If you take heed of these tips, you’ll surely find the job that is right for you.
Everyone needs to be gainfully employed. If you don’t have a job, you may find yourself unable to find any kind of work at all. For this reason, you must apply yourself to your job search with great diligence. The article below can help.
Take some helpful classes. In order to gain employment, you may need to update and expand your skill set. To get something better for yourself, you need to better yourself so that you have more to offer a prospective employer. There are quite a few places to take courses on the Internet if you’re short on time.
Make sure you are properly dressed for your interview, even if the potential job is one that doesn’t require dressing well. Just because the place may allow you to dress casually, there is nothing wrong with showing a little respect to the person having the interview.
Offering above-average services, compensation and support is the best way to attract qualified candidates. There are many companies that offer gyms, small restaurants, and other things for their employees. This creates a better environment for people to work in and that makes other jobs more scarce in that area. This means that employers will be able to select from a larger pool, which means they have access to top candidates.
Carry a paper with pertinent application information. It is often difficult to remember specific contact numbers or dates that you may need to provide on your application. Keep a piece of paper with you that has all the dates and other pertinant info on it that you’ll need. This will speed up the process of filling out applications.
If you are looking for a good employer, stay patient. You want to find the right person when hiring a new employee. You don’t want to rush to hire the first person you come across, because that could mean trouble, especially if you are in a state where it’s not easy to fire someone when needed.
In order to get a job, you need to adequately represent yourself and your skill set. These are two basic requirements that must be addressed before every interview. All you have to do is use this article to catapult yourself into a nice job. By staying focused and determined, you can land a great job.
If you feel like you need a new job, this article should have some great advice on finding a new one. There are many different misconceptions, which this article can help clear up. Read further to find some of these answers.
Ask friends and family for help. Check to see if they have contacts that can help you land an interview. A lot of people forget to do this, but you must remember to begin here so that you’re able to stand out to potential employers.
If you are unable to find work, you might need to tweak your job search strategy. Do not let the limited number of companies hiring stop you from working. Make some time to visit other areas, however, be sure that it is some place you’d be willing to live in should you get the job.
Know what the industry standard is when it comes to pay, and do not undervalue yourself during salary negotiation. It’s not uncommon for people to make the mistake of low balling the amount they ask for up front, because they’re afraid of the employer saying no. This shows that you are confident in your abilities, and not afraid to take a chance and go for what you want.
Prepare several questions in advance on the day of the interview. Often times they will ask if you want to know anything else, and the answer is always yes! You could ask questions about the kind of work you might do, the company atmosphere and so on.
Avoid making friends with your co-workers and bosses. Keep things as professional as possible and always stay on task. You never know where they might end up when you leave. It will serve you well to keep things professional at all times.
As this article has shown you, finding a good job isn’t too difficult if you’re knowledgeable about the subject. By learning more about this process, you have completed the first step. Luck to you!