Misclassifying a worker as a contractor when they are actually an employee can have big implications. The worker doesn’t receive the pay and benefits they deserve. Federal and state governments don’t receive the taxes they need to function. And when you get caught misclassifying workers, you can owe steep penalties.
But how do you know if a worker is an independent contractor or an employee?
What you will find in our guide to independent contractor vs. employee classification
This free resource will help you determine the difference between independent contractor and employee classifications. You will also learn about Forms W-2 and 1099, why you shouldn’t misclassify workers, and what to do if you misclassify workers.