Complete Labor Law Poster for $24.95
from www.LaborLawCenter.com, includes
State, Federal, & OSHA posting requirements

Announcement

Collapse
No announcement yet.

Independent contractor? Indiana

Collapse
This topic is closed.
X
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Independent contractor? Indiana

    i have worked for the same person for 3 years, i get an monthly salarie,I was told by this person they will put me as a bussiness.But really i dont have a bussiness
    i dont know the first thing about running one.In fact i only get paid by this person for the work i do.
    example= i wash dishes for this person so this person says, well we will call this joes dishwashing service,but i dont make any money washing dishes elsewhere.i only made money washing dishes for this person for 3 years,this person buys all supplies etc.WELL now i am in a big tax mess,and someone told me this person is taking advantage of me and the irs...So is this legal and should this person be responsible to pay these taxes? thanks
    Last edited by OHIOMAN; 01-24-2008, 03:54 PM.

  • #2
    Seems like an employer/employee relationship to me. Other opinions, please.
    Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

    Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

    Comment


    • #3
      What does shell game mean? Right now i am making payments on taxes for the past 3 years.And to be honest i dont know anything else i should have been paying,Like i said i know nothing of running a bussiness,
      I did some research on this ss-8 form,Now if they declare "bob" is my employer will he be responsible for all the past taxes etc,,,I have all the tax papers he sends me at the end of the year under this made up bussiness that he created.
      Also i guess they will send him a ss-8 form to so i will probally have to quit,which i am in the process of applyin for jobs right now.I guess what i am asking is can he lie on the form ?Can he take any actions against me?

      Comment


      • #4
        The employer (and the company is your employer, you are its employee) is trying to save $ by not paying FICA (their cost, 7.65% of your pay), unemployment taxes and workers comp premiums.

        If you were an independent contractor, you would have to pay a self-employment tax (basically your share of FICA and the company's share, too), have zero unemployment benefits should the company terminate your services and, if injured on the job, no indemnity payments or medical expenses covered by a workers comp insurance policy. Flip side is that the employer has opened itself up to a general liability claim.

        As pointed out, above, fill out the SS-8 and file with the IRS. I have no idea how long they take to address such a problem.

        There are cases where the call on IC or employee may be tough, but this is not one of them. The company is taking advantage of you and you really would be best off finding a better employer. Almost any other employer is bound to be better.
        Last edited by ScottB; 01-25-2008, 02:27 AM.
        Senior Professional in Human Resources and Certified Staffing Professional with over 30 years experience. Any advice provided is based upon experience and education, but does not constitute legal advice.

        Comment


        • #5
          Yes thinking about it I dont see how the irs would see it different.I accutully been working for him for 6 years.I always thought it didnt sound right but i need the money.AND ITS NOT MUCH,UNDER 10.000 A YEAR.(i am only allowed to make 800 a month i am on dissabllity,and yes they know )This person will try to work me full time on this salary but i dont do it.
          Do i need to start saving proof or is my story enough?For proof i mean right now i can go to the hardware store get an item on charge on his account but i have to sighn for it.should i start saving these reciepts?I think this will show that he buys the supplies.
          What i am worried about is that this person knows alot about the tax system and i dont have a clue and has money and i have none,
          Does he get some sort of tax break when he files what he has paid me?
          Is it some sort of bussiness write off for him?
          When he needs more help he does the same ,meaning they dont really have a bussiness ,he creates one and sends them the tax paper at the end of the year.So I cant understand why he even bothers with the tax part cause im sure he knows the money he should be paying if we are "employees".And cant understand if he knows this could come back on him.or he must think i am to stupid to figure it out.thanks

          Comment


          • #6
            The employer has to prove that he treated you as an employee by providing pay records, payroll tax returns, W-2s etc. He obviously can't do that. If you have pay stubs, that will be your best documentation.
            I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.

            Comment


            • #7
              I dont have pay stubs,I get payed 800 a month, some times he will wait a few months and have me sign a check for the months he has paid me cash,
              So i cant produce any paycheck stubs big mistake i know.

              Comment


              • #8
                That's OK. The burden of proof is going to be on him, not you.
                I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.

                Comment


                • #9
                  Ok ,sorry if i am being a pest,but i am trying to cover all angles when i do this.Like i said in my other post this guy pays me xxx a month cash. sometimes he will wait a few months before i even sighn his bussiness check payable to "joes dishwashing service". SO the amount is high, Im not really sure if he lists the months worked so should i be afraid this guy can say well he only worked for me a few times a year(which i really work every week)I get no paycheck stubs the only thing i have is the tax paper he sends me for the last six years.thanks

                  Comment


                  • #10
                    IS there a company called "Joe's Dishwashing Service"? How are these checks endorsed? Just your name?
                    I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.

                    Comment


                    • #11
                      when he hands me the check it has his bussiness name on it , and he makes it out to "joes dishwashing service". and i sighn it and i give the check back to him from there i really dont know what he does with the check.No i dont have no company.When i started working for him he said he will put me as a bussiness.I mean i can do what i do for him before i ever knew him, but i never made money doing it ,i only work for him with the skill i have i dont make money elsewhere doing it never have,and never sought out to have my own bussiness.The first year i worked for him, at the end of it he asked for my ss # which i thought was odd.I never sighned anything saying i was contractor
                      I thought i could handle the taxes but never knew about all the other stuff involved until i started looking this up a couple days ago because something happened that made me feel like im being tookin advantage of.
                      He furnishes everything, i go to the store and charge it on his account but sighn for it.I am waiting on my tax paper to make sure it is correct cause i used to be paid hourly, and never really kept track of the money i made.as long as i didnt make over 800 a month i was alright.And i question last years tax paper but cant say nothing cause i cant prove it and might get fired,now though i am on a salary so i know what i have made and i want to see if it is going to be inaccurate.
                      As soon as i get my tax paper i am going to fill out that form but when i do all hell will break loose and this guy knows alot about taxes and i know nothing,I guess i am afraid that this guy will lie his way out of it and i will be screwed with no work, and all these things it looks like i will have to pay.
                      Now from time to time this person might need help and he will find a guy and do the same as he did me, make up a bussiness, and it just dont sound right.So what do ya think? I know i was a ******,do ya think im screwed ?If that form gos in my favor what then?Will this guy see what i write on the form?I mean it will be the truth but if he sees what i write is there a way he can juggle things around? im clueless and kinda afraid of doing it.thanks

                      Comment


                      • #12
                        Ok after doing more research i came across this 530 thing.
                        So if i am classified as a worker this person can get out of paying these things by this?

                        Comment


                        • #13
                          What "things"? Section 530 is a "safe haven" provision where an employer can classify a worker as an independent contractor IF 1) it is common in the industry for the type of work being done and/or 2) the employer has been audited and received a determination that other workers doing the same type of work meet the criteria for IC status. There is, generally speaking, NO WAY the employer could use Section 530 to defend IC status.

                          You're being taken advantage of big time. You are an employee, IMHO, pure and simple. If you are owed wages, or you are not being paid minimum wage and overtime pay, file a claim with the state Dept. of Labor.

                          And start looking for another job. Immediately.
                          I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.

                          Comment


                          • #14
                            yes thanks for your advice, I am applying monday.I am not owed anything,but i honestley did not know i was suppose to pay into work comp, ss,etc..I suppose i will be hearing from them too?
                            6 years worth.whats IHMO mean?
                            Last edited by OHIOMAN; 01-26-2008, 03:53 PM.

                            Comment


                            • #15
                              Originally posted by OHIOMAN View Post
                              whats IHMO mean?
                              It's IMHO. Patty was saying "in my humble opinion."
                              Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

                              Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

                              Comment

                              The LaborLawTalk.com forum is intended for informational use only and should not be relied upon and is not a substitute for legal advice. The information contained on LaborLawTalk.com are opinions and suggestions of members and is not a representation of the opinions of LaborLawTalk.com. LaborLawTalk.com does not warrant or vouch for the accuracy, completeness or usefulness of any postings or the qualifications of any person responding. Please consult a legal expert or seek the services of an attorney in your area for more accuracy on your specific situation.
                              Working...
                              X