To you solo surveyors out there, have you ever had to hire a part time helper to help out on a large job? If so, how do you go about doing that? Is paying them as a 1099 worker legitimate or do you have to put them on your payroll (which I would have to create because I don't have a payroll right now)?
Thanks,
Have you tried breeding yet? I'm really quite fond of it!
🙂
N
> Have you tried breeding yet? I'm really quite fond of it!
>
> 🙂
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> N
Yeah... but he's only 7 and I would rather not put a machete in his hands yet. I doubt he would be rather productive either.
It has been a while since reading them, but the IRS has published guidelines on determining if a person is an employee or can be claimed as a independent contractor.
Off the top of my head, I would expect you are:
setting the work hours
providing gear to work with
paying more than the very minimal amount that would exceed not having to worry
the helper will not be in charge of his own work
Which would equal employee in my opinion.
Chris and I, both solo operations, team up on larger jobs, and run solo the rest of the time. We either work on a percentage basis, lump sum daily rate, or just swap out time, depending on the job.
It has been working for us for almost 2 years now. We just issue each other a 1099 at the end of the year.
As explainded to me, in order for them to qualify as a 1099er they'd have to be responsible for their end of the work. In other words are they in charge of when to show up, when the work is completed, etc... Thats what was explained to me and since I'm altimutly in charge I didn't think I could hire someone and put them on a 1099. I don't really trust that accountant any more and they gave me a lot of bad advice so I'd take their word with a grain of salt. I'd talk to your accountant and see what he says.
In the past I have hired temporary help as contract labor. If I paid them more than $600 in a FY, I needed to send them a 1099.
Insurance is a big deal on certain jobs. Some have required a general liability policy for my contract labor. If my temp help couldn't afford it or have it, they couldn't help with the job.
One option I had was working with a licensed dirt contractor. He would hire me as a sub-contractor for layout, then when I needed help on my other projects he would send me the helper I had on his jobs under his payroll and insurance and bill me hourly for a general laborer.
I use the local temp. agency. I send the prospective worker to the temp. agency to sign up. The helper is employed by the temp. agency. I send the helper's time sheet into the agency at the end of each work week. They pay the helper. I get a bill from the temp. agency for the hours worked, which includes the helper's wages plus a percentage (25% if I send them the worker). I've done it this way for 17 years now. I used the same worker for about 14 of those years on an as-needed basis. The trick is finding a good helper who only needs to work on an as-needed basis.
I'm not solo but here goes anyway...
There is some good advice above. From a business standpoint also make sure you review any and all insurance requirements, especially issues that deal with workman’s compensation, and hiring a “subcontractor“ to work with you. You may call him/her a “helper” but in Florida the helper is a subcontractor and certain rules apply.
Great to see a young’un succeeding! :good: :good:
Hiring anyone is not worth the trouble to me, I married mine and don't think I would want a wife who was unwilling or incapable of helping. Grew up on a ranch where the women worked and thought nothing of it. Don't need to supplement my workforce because I can say no to work I don't think I can comfortably handle, never get rich by being a surveyor so why exchange wealth for stress.
jud
Just say no to doing a 1099 for that situation!!!!!!!!!!!!!!!! 1099's are abused and everything is fine UNTIL the IRS comes a calling! Then that 1099 labor doesn't seem so cheap any more.
I have worked with another solo operator as one option, the firms just bill each other
OR
Hire somebody from the local temp agency, you are their supervisor AND the temp agency is their employer, pays all taxes, unemployment insurance, etc.
Both ways work well, if you just need some unskilled labor, the temp agency is probably better AND everything definitely meets labor laws because that is their business and they make sure you and them are covered. They usually don't have a pool of skilled surveyor helpers so might not work if skilled labor is needed.
All this has already been mentioned, BUT wanted to add another voice just emphasize your options.
SHG
What Shelby said except that I have found it is the unemployment and workmans comp peopple who are aggresively investigating misidentification of employees as subcontractors. A couple of months back, I did a survey for a guy who owns a tree business. He paid me with a company check. What was significant is that a few weeks after I had been paid, I got a call from the unemployment department. They had accessed the guy's checking account and wanted to know why I was being paid by him. I convinced them it was all legit, but was interesting to see the extent that they go to fish for violators. They were specifically looking for people being paid as subcontractors whom really should have been paid as employees.
Myself, I have found it no big deal to carry a workman's comp policy. We're lumped into the engineer's classification and as such receive a relatively small cost of coverage. I have found the benefit of being able to pick up employees when I need them to be more than worth the cost of unemployment and workmans compensation insurances.
This is what we do for any helpers. It's not worth our while to get in the middle of all of the taxes, insurances, audits, etc.
Licensed Land Surveyor
Finger Lakes Region, Upstate New York
> Yeah... but he's only 7 and I would rather not put a machete in his hands yet. I doubt he would be rather productive either.
Okay, but think about the future. You need more than one kid!
See my Avatar? Not all kids like working outside, but if you get enough of them you can handle any job. Right now I have 3 boys that fight to go in the field and one who is learning CAD, because he wants money, but not to be outside. The oldest daughter, scans old drawings and is learning web design. A couple more years and I may not have to even get off this couch, except to walk to the bank. 😉 Oh yeah, SWMBO takes care of that.
Again, think about the future. You need more than one kid!
Hiring anyone is not worth the trouble to me, I married mine..."
Married your what?
Inquiring minds, etc.
Don
Oh, almost forgot the smiley:-)
I agree with the temp agency supporters, they will take care of your taxes, work comp, etc.
I went this route when I was starting out and didn't yet want to run a payroll. It is definitely the smart way to go! 😉