Obamacare... The rise of the cheap contractor.

[Mr_Fiux]

Hey guys, I was thinking since I will be opening up a business in Oregon.

Since Obamacare is the law of the land, I will have to implement new tactics for the hiring scheme of workers.

I believe that being a contractor is a better way to go that way I don't have to pay their taxes nor do I have to pay their gay Obamacare.

This will ultimately lead to the working class to work and pay for their own healthcare LOL.

Contractor for 40 hour work weeks for $1650 a month is reasonable right? Or am I still obligated to pay for Obamacare?


$10.30 for warehouse and boxing labor seems legit.

All I would need is liability insurance.

[Strychnine]

Lots of IRS rules around the contractor vs employee status. Make sure you research and stay on top of it. There's a 20 point checklist you can review.

Our accountant and I do an annual review of this to ensure that we're staying on the contractor side of the line. We're doing everything we can to not have to make people employees.

You should be able to answer NO to red and YES to blue.

1. Must the individual take instructions from your management staff regarding when, where, and how work is to be done?
2. Does the individual receive training from your company?
3. Is the success or continuation of your business somewhat dependent on the type of service provided by the individual?
4. Must the individual personally perform the contracted services?
5. Have you hired, supervised, or paid individuals to assist the worker in completing the project stated in the contract?
6. Is there a continuing relationship between your company and the individual?
7. Must the individual work set hours?
8. Is the individual required to work full time at your company?
9. Is the work performed on company premises?
10. Is the individual required to follow a set sequence or routine in the performance of his work?
11. Must the individual give you reports regarding his/her work?
12. Is the individual paid by the hour, week, or month?
13. Do you reimburse the individual for business/travel expenses?
14. Do you supply the individual with needed tools or materials?
15. Have you made a significant investment in facilities used by the individual to perform services?
16. Is the individual free from suffering a loss or realizing a profit based on his work?
17. Does the individual only perform services for your company?
18. Does the individual limit the availability of his services to the general public?
19. Do you have the right to discharge the individual?
20. May the individual terminate his services at any time?

In general "no" answers to questions 1-16 and "yes" answers to questions 17-20 indicate an independent contractor. However, a simple majority of "no" answers to questions 1 to 16 and "yes" answers to questions 17 to 20 does not guarantee independent contractor treatment. Some questions are either irrelevant or of less importance because the answers may apply equally to employees and independent contractors.

One of the random things that our acct told me was that he had another client go through this with the IRS. They were trying to determine if he actually had "employees". One thing they checked was whether or not those people's voicemails identified them as an individual / contractor ("Hi, you've reached Strychnine, leave a message") or if their voicemail msg identified them as specifically being part of the company ("Hi, you've reached Strychnine with ABCD Bullshitting, leave a message"), and also whether or not they had business cards identifying them as being a more permanent part of the company.

[Mr_Fiux]

Well fuck... its mostly to all yes.

I guess we will have to over work them so I can get back at Obamacare.

[The King]

Well fuck... its mostly to all yes.

I guess we will have to over work them so I can get back at Obamacare.

Slave labor???

[Snatch Napkin]

Slave labor???

We'll change that to gov't contractor.

[Vertnut]

I started being fanatical about 1099's when Hussein got elected. The IRS is the new Gestapo. With Obama-care being connected to them, it will be devastating for companies that do not keep records and/or comply. I would not even consider starting a new small business at this point in my life.

[dblack1]

You really need to learn/understand the definition of a contractor.

Are you telling them a time they have to be there five days a week? If so, not really sub contract.

[stevo]

Well fuck... its mostly to all yes.

I guess we will have to over work them so I can get back at Obamacare.

Part time every one of them.

Stevo

[dblack1]

It would be much easier to have 20% more employees for 28/hrs a week for slightly more per hour. If you can get the gross above $300/wk it won't be hard to find someone for four days a week.

Are you worried about the insurance part? If so I believe you have to have a certain number of employees before that becomes a concern.

[Mr_Fiux]

It would be much easier to have 20% more employees for 28/hrs a week for slightly more per hour. If you can get the gross above $300/wk it won't be hard to find someone for four days a week.

Are you worried about the insurance part? If so I believe you have to have a certain number of employees before that becomes a concern.

Dont you have to pay for Obama care in part time employees? I would only need 4 workers

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[dblack1]

You really need to do more research, but obamacare is only relevant as a business owner if you have more than a certain number of employees and they work more than 30 hours a week.

Really easy to get around even for a large company. See papa johns.

The cause/effect of obama care will be people working two 24-28 hour jobs at different locations as no large company will employee unnecessary full time employees when you can have 25% more employees and make them all part time.

I think it will actually increase employment due to this fact, but it will be mainly sub $10/hr jobs, which don't spur much economic activity, and unless you work two it might be better to sit at home and pop out kids.

[Dlachance]

The purpose is to help eliminate private health insurance so we will be forced onto Obamacare.

[Sean88gt]

The hard part is for the companies. I can see a lot of individuals existing on a cash income to avoid it, but the companies have to report.

[YALE]

I think we might end up seeing people working 2-3 part time jobs. Remember that you can't punish people for working more due to exigent circumstances. That's how Wal-Mart got a class action suit against them.

[4eyedwillie]

The purpose is to help eliminate private health insurance so we will be forced onto Obamacare.

You should do some research before opening your dick skinner. *Obamacare* IS private insurance moron.