Hiring independent contractors gives business owners more control over having workforce on your own terms. Not only that, you don’t you won’t have to worry about payroll taxes, paying benefits, overtime, or specific employment laws that are geared towards companies with traditional employees. Before you begin a business relationship with an independent contractor, our attorneys for employers in Tampa have some tips for you. Be sure to read the second part of our article for the rest of our tips.
Know the difference between an employee and an independent contractor. Federal and state agencies conduct audits to ensure companies are not misclassifying workers. If you think you may have already misclassified an employee, don’t hesitate to contact an employer defense attorney in Tampa. If you fail to correctly classify employees, you may be subject to severe fines.
If you are the sole source of an independent contractor’s income, this will raise red flags. To cut out guess work, stick to hiring independent contractors that have already established themselves as independent under federal stipulations. Also avoid using terms such as “salary” in your recruitment of independent contractors. This way, you will lessen the likelihood of confusion.
Avoid making verbal agreements and have an attorney draft an independent contractor agreement for you. Contracts should address specific project end dates, dates, dollar amounts, and expected deliverables and outcome. It is also a good idea to have them sign a confidentiality agreement since they could potentially be exposed to sensitive company information.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.