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Employee Independent Contractor Guidelines Forms New Gettysburg
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People also ask
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What states have the ABC test for independent contractors?
The following states use the ABC test to determine if a worker is an independent contractor or an employee: Alaska. California. Connecticut. Delaware. District of Columbia. Hawaii. Illinois.
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Does FLSA apply to independent contractors?
The FLSA only applies to “employees” – it does not apply to “independent contractors.” Independent contractors are not subject to the minimum wage, overtime, or other employment benefits, but misclassification of workers as independent contractors can expose employers to signNow penalties.
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What is the new federal rule for independent contractors?
The new rule, which becomes effective March 11, 2024, rescinds the 2021 independent contractor rule issued under former President Donald Trump and replaces it with a six-factor test that considers: 1) opportunity for profit or loss depending on managerial skill; 2) investments by the worker and the potential employer; ...
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What states have adopted the ABC test for independent contractors?
ABC states include Alaska, Arkansas, California, Connecticut, Delaware, Georgia, Hawaii, Illinois, Indiana, Kansa, Louisiana, Maine, Maryland, Massachusetts, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, Ohio, Oregon, Tennessee, Utah, Vermont, Washington, and West Virginia.
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Who is exempt from ABC test?
The ABC test does not apply to certain careers that require licensure, for example, medical professionals. Doctors, dentists, nurses and pharmacists have their own licensing and educational requirements that exempt them. Other jobs that require a professional license also fit in this category.
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What forms do independent contractors need to fill out?
Generally, if you're an independent contractor you're considered self-employed and should report your income (nonemployee compensation) on Schedule C (Form 1040), Profit or Loss From Business (Sole Proprietorship).
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What states have their own regulations for independent contractors?
These include Alaska, Arkansas, California, Connecticut, Delaware, Georgia, Hawaii, Illinois, Indiana, Kansas, Louisiana, Maine, Maryland, Massachusetts, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, Ohio, Oregon, Rhode Island, Tennessee, Utah, Vermont, Washington, and West Virginia.
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What is the independent contractor rule?
The general rule is that an individual is an independent contractor if the person for whom the services are performed has the right to control or direct only the result of the work and not what will be done and how it will be done. If you are an independent contractor, then you are self-employed.
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