misclassified worker?

[Banned_Princess]

What is the name of your state (only U.S. law)? NY

I don't want to rock the boat I'm in, especially in these toxic waters.... but I think (i know) I am being misclassified as a 1099 worker.

is just my agreeing to be paid as a independent contractor, make me one? could I complain about being misclassified (and getting no tax deductions, just an invoice and a check for the cleaning service i provide which my "employer" tells me what to clean, and provides the cleaning equipment and products pays by the week not by the hours, well yes by the hour, but I get paid monthly) -without fear of termination? no i suppose not. what if the IRS decides to audit me? what if I know the IRS or the state is investigating, have determined my employer to be classifying his employees wrongly, and making him pay taxes on them? could I be punished beyond paying he self employment tax?

what if I was a real independent cleaner (residential customers paid me for my services) before excepting this job? (commercial building, employer gets paid by the company being cleaned, then I am being paid by employer to actually clean)

I appear to be a third party independent contractor, because my boss is definitely a outside contract for the factory he pays me to clean. (he pays several people as independents although we have our own area to clean, in different parts of the factory) and distributes his contract to clean this place onto us...

 

[justalayman]

If you are misclassified as an IC, there is no penalty for you. In fact, you are (or should be) currently be paying things that you aren't actually responsible for certain taxes). You also do not have the benefit of unemployment insurance should you lose your job. You also do not have the benefit of workers compensation should you be injured on the job.


as to being fired; ultimately, yes, you could be fired for filing the SS-8. I don't know if they can not fire you for submitting the form but ultimately, yes, they could justify a firing for other reasons, eventually.

 

[Banned_Princess]

Thank you.


I guess the income is more important then being classified right. I suppose we will find out how worth it it is in feb.

I already know about the no workers comp or unemployment, no surprise there. I knew what I was getting into when I started working for this guy, but I didn't know the IRS has a standard of what the difference between the classifications ... but he has had to pay me with a personal check the last few months because his business account was frozen, and his last co check to me bounced. he said the state froze it for back taxes they audited him with due to employees / independents. I guess at that point I knew something was fishy...

I just hope the 1099 doesn't cause me more taxes then what I have paid the last few years claiming self employed. (no 1099 no w2 just income statement) does it??




if I was terminated for whatever reason, the IRS said I can complain back 3 years from filing the 1040... they don't promise a refund for overpaid taxes, looks like they just want to know who the employer is, to go after him...


what if I take my earnings from the 1099 and include it with my independant earnings? does the employer send the 1099 in to the irs?

 

[st-kitts]

this link may be helpful to you if you haven't already seen it.

Independent Contractor (Self-Employed) or Employee?

No one can say what the company will do, but if the company is following the law they will report the 1099 income to the IRS. If you are paid by 1099 (and if you are classified correctly), they are not technically your employer... The fact they provide the supplies raises a few flags.

 

[Banned_Princess]

this link may be helpful to you if you haven't already seen it.

Independent Contractor (Self-Employed) or Employee?

Thank you, It is actually the link that brought this whole thing to my attention.

I know I'm classified wrong, I'm just wondering about the tax repercussions. IRS / state repercussions.

I know I put this with hiring / firing / wrongful, but that was accidental in my haste to get the thread in.

 

[st-kitts]

You will not be in any trouble for the company misclassifying you so long as you pay the self employment taxes.