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WHAT'S NEW?
Our apologies for not publishing an October Newsletter. The November Newsletter is full of good information.
No Such Thing as 1099 Employees
There is no such thing as a 1099 employee. There are either employees: part time, full time, or temporary; or there are independent contractors who have their own business, their own equipment, materials, office, business license and employees. Take a look at the IRS discussion of this topic at the following link:: https://www.irs.gov/businesses/small-businesses-self-employed/independent-contractor-self-employed-or-employee .
Unfortunately, some employers think they can just pay these temporary workers the flat amount of wages due and not treat them as employees with state and federal deductions taken out and appropriate matching or other payments by the employer. That is INCORRECT. The IRS considers this to be wage theft and can and will assess the employer for the both the employer’s AND the employee’s share of federal withholding as well as a penalty. Additionally, the IRS reports this to the State Taxing Authority so a contractor may well see a second assessment and penalty from the State Taxing Authority.
While there are legitimate owner operators who are in fact 1099- independent contractors, each such individual must meet the IRS test as well as any State Independent Contractor definition.
NEW DOL Prevailing Wage Workshops
US Department of Labor is holding Prevailing Wage Workshops on the following dates: November 13-14, 2024; March 18-19, 2025; June 25-26, 2025; and September 24-25, 2025. The webinar is free, but you must register. Sometimes these fill up, so please register early. https://www.dolg/gov/agencies/whd/government-contracts/construction/seminars
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