4 Compliance Tips for Onboarding and Paying Your Contract Workforce

Ultimate Guide

INTRO

You’ve already built out a flexible and cost-effective workforce, combining full-time, contingent, and remote workers, and as you’ve probably already noticed, the management of that workforce is much more complicated. As with anything, great variability comes with greater risk.

 

TIP #1 - ONBOARDING

A critical piece of the onboarding process is to categorize your new worker properly. The line between employee and contractor isn’t always easy to define, so make sure to ask potential providers if they can automate this process.


classificationTIP #2 - MONITORING YOUR VARIABLE WORKFORCE

Spend some time getting to know this reporting feature, as it could greatly simplify your compliance efforts. You'll have peace of mind, knowing that you can quickly access reports that attest to the freelance status of your contracted workforce, should the IRS ever come knocking.

 

TIP#3 - INVOICING

Instead of scheduled, regular payments, consider having your contractors invoice you to protect their status as a freelancer.

 

TIP #4 - ISSUING PAYMENTS

Consider partnering with a company that manages the invoices and payments of your individual contractors, simply charging you one consolidated bill.

 

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