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- by juzme Oct 4, '11Hi everyone,
I just interviewed with an agency who will be giving me a 1099 instead of a w-4 because I will be an independent contractor. I was a little stunned, I said I would have to check with an accountant 1st(the case seems so nice to that I interviewed for and I am meeting the family this week). She basically blew past my comment and talked of how I can write off my milage and some other expenses. I googled some info and not crazy what I read, holding at least 30%, having to pay quarterlies...geez I am bad at paying my local taxes on time!lol The case is only 9 hours a week, split into 3 different days, but so close to my home. The wage is good, but I am really sure about the tax situation. Has any other nurse been an IC? If so, can you give me advice, or tips. Thank you.
- Oct 4, '11 by caliotter3If you consult the IRS information on the subject, you will probably come to the conclusion that you are really an employee and the employer is simply doing this to keep more of the money at your expense. The IRS literature that I read on the subject comes right out and states in black and white that most workers are employees and not independent contractors, in spite of what the employer says. Beware.
- Quote from caliotter3If you consult the IRS information on the subject, you will probably come to the conclusion that you are really an employee and the employer is simply doing this to keep more of the money at your expense. The IRS literature that I read on the subject comes right out and states in black and white that most workers are employees and not independent contractors, in spite of what the employer says. Beware.
Thank you Caliotter3. Yes, I agree! I think, I am going to have to contact the agency.
- Thanks Callioter... I did this 1099 deal with a home health agency....what a nightmare....i paid a lot on taxes and that fly by night home health agency closed...wish i had known...
aviationurse ( heavymetalrn )
- I just read over the IRS info and if it definitely seems that I would NOT qualify as an independent contractor...how do some agencies get away with this???? They control my rate of pay, control my shifts...so do they think this really qualifies as an I.C.?????? I already sent an email to the manager of the agency and told her my accountant said it did not sound like I would be an IC, so I probably should not meet the family....so I can't wait to see what she replies...it's a shame, seems like a nice case!
- I checked my email again and haven't heard back from her..in fact, the woman who interviewed me is the owner/operator. I think she really needs to consult her accountant, from what I found below, which is right from the IRS website...she could be in some hotwater with her tax situation with her business!
Employee or Independent Contractor?
The IRS (Internal Revenue Service) lists three categories of information to be considered in the determination of whether an individual is an employee or independent contractor:
- Behavioral: Does the company control or have the right to control what the worker does and how the worker does his or her job?
- Financial: Are the business aspects of the worker’s job controlled by the payer? (These aspects include things like how the worker is paid, whether expenses are reimbursed, who provides tools/supplies, etc.)
- Type of Relationship: Are there written contracts or employee-type benefits (i.e., a pension plan, insurance, vacation pay, etc.)? Will the relationship continue and is the work performed a key aspect of the business?
An employer must show there is a reasonable basis to classify the worker as an independent contractor in order to escape the burden of paying taxes for the worker.
If you still aren't sure whether a worker is an independent contractor or employee, the IRS provides Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding (PDF); either the worker or the employer can fill out and send in the form, and the IRS will review the situation and tell you its determination on the matter.
Claiming an Employee as an Independent Contractor
If you have claimed an employee as an independent contractor, the IRS may hold you responsible for employment taxes for that worker; there are steeper penalties for "willful neglect" as well under Internal Revenue Code Section 3509.
- Oct 4, '11 by caliotter3Employers get away with this ruse the same way they get away with refusing to pay wages owed for overtime according to labor laws. They count on the employee being meek and in need of a job. As long as no one takes them to task, they are free to walk all over their employees.
- i agree with caliotter...id run faster than a speed of light if i were you..dont be a victim like me...thats why
my previous HH agency can afford mercedes for themselves and their kids .....tummy tuck...personal zumba instructor...new set of teeth....travels galore....let us entertain you restaurants every night....ballad singer flown in from other country serenade them for their bday...etc..
i pretty much work for free with that 1099 crap they had me into...I was meek..a dingbat...an in need of a job
..i was paid peanuts with skyscraper paperwork and no gas...or phone reimbursements...
- Thank you all so much! The owner did call and ask me to call her back, I just sent her an email stating that there is no way that I could be considered an independent contractor but if she decided to make the nurses regular employees, I would definitely come on board. Hey and she did have a heck of a sweet ride and a thousand dollar purse!hmmmmmm...you got something there Aviationnurse
- Quote from juzmeway to go.....i am able to buy nice gucci purses at the flee market a lot ( probably once owned by these richThank you all so much! The owner did call and ask me to call her back, I just sent her an email stating that there is no way that I could be considered an independent contractor but if she decided to make the nurses regular employees, I would definitely come on board. Hey and she did have a heck of a sweet ride and a thousand dollar purse!hmmmmmm...you got something there Aviationnurse
HH agency nurses who either retired or died )...