Interns can be a great resource for small business. It’s a great way to get projects done on a budget. Interns are often college educated, tech savy individuals looking for experience. The cost savings is huge. In fact, some interns will work for college credit!
Texas has a new website just for matching up businesses with interns. Check it out at www.texasinternship.jobs. Get help finishing those nagging projects and scratch it off your to-do list!
The IRS dominates the regulations on determining employment vs. contractor status. http://www.irs.gov/businesses/small/article. There are several factors to take into consideration like independence, tools, schedules etc.
But, there are other important decisions that can impact your business as well. Starting off with one or two contractors can be a great idea, if they meet IRS regs. Once you get to 5+ contractors, it can get unwieldy.
Contractors can be mavericks and coordinating independent contractors can be a real pain, especially when your client services begin to suffer. Contractor turnover and reliability issues can negatively impact all aspects of your business, not to mention your need for prescription anti-depressants!
When you get to 5+ contractors, consider converting them into employees. Those contractors, who are solid, reliable and customer-friendly, will most likely want to be an employee for benefits and a regular paycheck.
So look at the big picture when deciding to hire or contract. If you are not sure how to decipher IRS regs, call me!
that you could be paying for unemployment chargebacks two years from now? Even if your ex-employee moves onto another job, if their reason for leaving you qualifies, you pay.
Texas Workforce looks at the “base period” for determining which employer pays. That often covers a span of two years. This is why you may receive a “chargeback” notice long after a person has left your employ.
Pay attention to these notices. And, pay attention to how your employees leave. The most costly unemployment claims occur down the road.