Filing IRS Form 1099-MISC For Independent Contractors

November 13, 2018

By ComplyRight –

Tax PrepIf you work with independent contractors, you have to file a Form 1099-MISC with the IRS at tax time. Essentially, the 1099-MISC is to contractors what the W-2 is to employees. It covers income amounts, while also indicating you haven’t deducted any federal, state or other taxes.

Here are answers to common questions about filing requirements:

Q: What is the purpose of the Form 1099-MISC?
A: The form is used to report payments of at least $600 to any service provider (i.e., contractor, freelancer, consultant) who isn’t an employee. If the service provided was less than $600, you don’t need to file a 1099-MISC. One monthly payment of $300 wouldn’t require you to file the form, for example. But two separate $300 monthly payments within the same calendar year would.

Q: Do I need to withhold taxes from my contractor’s pay?
A: No. Independent contractors are responsible for calculating their own payroll taxes and submitting the amount to the government quarterly.

Q: What’s the filing process?
A: Filing annual 1099-MISC forms for independent contractors is a two-step process. First you distribute forms to your contractors and then you file with the government.  (more…)

Proceed with Caution: Important Considerations Before Terminating an Employee

September 24, 2018

By ComplyRight –

ComplyRight Tip SheetDetermining whether or not to fire an employee can be complicated. There are numerous personnel factors to consider, as well as critically important legal considerations. A single misstep can complicate the process and expose you to a potential lawsuit.

But it doesn’t have to be this way! With an eye toward proper progressive discipline in the workplace – and by following some important precautions — you can make the best choices for your business.

How to Document Performance Issues

Lack of solid documentation is the single most common mistake employers make when handling disciplinary situations or terminating an employee. Good records, on the other hand, can mean the difference between winning and losing a legal dispute.  (more…)

Labor Law Postings: 5 Things to Know When You Have Remote Workers

August 6, 2018

By ComplyRight –

Remote WorkerIf you find employment laws confusing, you’re not alone. The 2018 National Small Business Compliance Pulse Survey, sponsored by ComplyRight, revealed that small business employers continue to be troubled by the increasing complexities of employment laws. According to the study, managing federal, state and local laws is the top concern among employers.

Employment laws are confusing. And one example is how labor law postings impact remote workers. You probably know you have to display current federal and state postings (and in some cases, city or county). But what about telecommuters? How are these employees supposed to receive this information?

When you have employees who work remotely, here are 5 things you should know about posting compliance for labor laws.

1) Remote employees must have access to postings

By law, you’re required to provide mandatory notices to all employees. Although the regulations don’t specify the format (paper or electronic), you’re responsible for communicating the same information to your home-based workers as those on-site.  (more…)

5 HR Snafus That Could Sink Your Business

July 30, 2018

By Jennifer Lobb –

business personFor many small business owners, HR is a complicated web of internal and external policy, law, regulation, and documentation. Neatly packed into the HR box is an array of considerations and tasks that govern the relationships between your business and those you hire (or fire), as well as your business and the organizations that govern labor and industry (federal, state, and local).

For small business owners, failure to properly manage human resource tasks can quickly lead to substantial and detrimental personnel and legal problems. And while there are plenty of factors that must be considered to meet all HR responsibilities and factors, here are 5 common HR snafus that can sink your business:

1. Ignoring the value of an employee handbook and established workplace policies

Writing an employee handbook and a few workplace policies may sound like an exercise in rigidity, but for businesses of all sizes this type of documentation is invaluable when it comes to on-boarding employees, maintaining organization, and protecting your business should legal issues arise.  (more…)

Managing Sexual Harassment in Today’s Workplace

May 16, 2018

By ComplyRight –

Today's WorkplaceThe issue of sexual harassment in the workplace continues to attract extensive media coverage, as more victims are empowered to report misconduct against them.

Since the start of 2018 alone, the U.S. Equal Employment Opportunity Commission (EEOC) has filed or settled several high-profile sexual harassment lawsuits. Beavers’ Inc., which owns several Arby’s fast-food franchises, is among the latest companies to face the courts after the EEOC filed a lawsuit against them. The federal agency charged that the company broke the law when it subjected several teenage female employees at an Arby’s in Atmore, Alabama, to sexual harassment.

According to the lawsuit, an Arby’s team leader trainee repeatedly pressured young female workers to have sex with him, used sexually graphic language, and touched a female employee in an unwelcome and inappropriate manner. The lawsuit also revealed that, although these employees complained to supervisors and managers, Arby’s did not address the problem for several months until the harasser physically harmed one of the victims.  (more…)