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Employee? Independent contractor? How to keep it legal

SeattlePI.com Wednesday, 23 January 2019
NEW YORK (AP) — Small business owners who want to use independent contractors need to be sure these workers really aren't employees. Federal and state government agencies are on the lookout for businesses that use independent contractors, or freelancers, to evade Social Security, Medicare and unemployment taxes and workers compensation and disability insurance. Companies that are audited and determined to be using employees misclassified as independent contractors face fines. "The penalties for non-compliance can be significant," warns Wendy Silver, owner of Beyond the Workplace, a human resources consultancy based in Needham, Massachusetts.

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