Contract Workers vs Employees ??

@sandyf wrote:

Many mystery shoppers prefer to make their own work schedule and choices so the Independent Contractor status works best for them. There are many threads addressing this issue if you search. There is a thread near the top of the Mystery shop Company Discussion forum page that starts with Welp ACL. There are answers to many of your questions in that thread.

Yeah... What about one of my private clients that has me on the payroll and provides insurance, too? I use my EIN, and my business name is on the payroll and I get benefits. It's apparently possible to be both at the same time, it would seem.

Personally, I think it's too easy for IC's to be victimized, I've previously mentioned situations I know about.

Edited 1 time(s). Last edit at 06/23/2019 10:37PM by ap7isback.

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I could be confused, but isn't it the client that makes these stipulations, not the mystery shopping company?

@scorpionshar777 wrote:

MFJOHNSTON
AWESOME that's exactly how you should do it. NOW go get more info and cross check what you just wrote down using the new IRS ABC TEST.

1. They pick the hours they offer you do select from their list which they make it SEEM like you are picking your own hours. That is not what being Independent means According to the law in California and according to the new IRS.Gov regardless of which state you are in.
2. They require you to turn in info done a certain way Shoppers don't just go shop and turn in stuff that they learned at random. You don't just select any place anywhere on your own and do a mystery shop. They are provided for you on a list and you are given a list of rules on how to do them.

So even if you have two out of 3 of the ABC TEST it still equals Employee.

Independent Employee law explained where it came from etc
[www.youtube.com]
@barbage wrote:

It is like it doesn't matter! If you want to do mystery shopping for the legitimate MSC's and you do the work, YOU are an IC. You are not an employee! You do not get the choice of being an employee or an IC.

That’s not necessarily true. I work for some companies as an employee, which blurs the distinction even further.

Some schedulers and editors are employees. Others are hired as IC’s. You can choose which companies to work for and therefore have an effect on your classification.

Many MSCs for years have used to IC status to operate their business in the manner they choose, but what that has done is create a core group of shoppers who WANT to be an ICs.

My main career has a similar structure where some people are employees and others are ICs. I started out working as an IC when I was younger but have come to focus on employee based assignments as I learned more about the industry. There are distinct advantages to each...and some that I don’t think even the MSCs understand.

MSCs have 2 main problems they deal with every day; getting shops filed and getting shops completed accurately. The IC status helps with problem #1 but confounds problem #2.
Removed

Based in MD, near DC
Shopping from the Carolinas to New York
Have video cam; will travel

Poor customer service? Don't get mad; get video.
Moderator Note:

Post removed. No name-calling, personal attacks or insults.

When I hire a contractor to remodel my bathroom, that contract is an IC.

* S/he and I work out the times that s/he is in my house. There is NOT work done at 2:00 AM, no matter how much the contractor might want to work then.

* I tell the contractor what colors and building materials to use. I also insist that s/he work on my bathroom - not the one next door.

Your examples are false equivalences. IC's have to work with whomever they are contracting to come to terms with the type of work done, time the work is done, etc.

Mystery shopping is different, in some respects. Specifically, MSC's often have hundreds, if not thousands, of jobs that must be done. It is financially not feasible for them to negotiate terms with every single IC for every single job. Instead, they post what they need and we can choose to agree or not. Of course, I am free to contact the MSC and ask for some changes - such as additional compensation.




@scorpionshar777 wrote:

MFJOHNSTON
AWESOME that's exactly how you should do it. NOW go get more info and cross check what you just wrote down using the new IRS ABC TEST.

1. They pick the hours they offer you do select from their list which they make it SEEM like you are picking your own hours. That is not what being Independent means According to the law in California and according to the new IRS.Gov regardless of which state you are in.
2. They require you to turn in info done a certain way Shoppers don't just go shop and turn in stuff that they learned at random. You don't just select any place anywhere on your own and do a mystery shop. They are provided for you on a list and you are given a list of rules on how to do them.

So even if you have two out of 3 of the ABC TEST it still equals Employee.

Independent Employee law explained where it came from etc
[www.youtube.com]

Hard work builds character and homework is good for your soul.
This is what the IRS has to say:

(https://www.irs.gov/newsroom/understanding-employee-vs-contractor-designation)
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Help with Deciding
To better determine how to properly classify a worker, consider these three categories – Behavioral Control, Financial Control and Relationship of the Parties.

Behavioral Control: A worker is an employee when the business has the right to direct and control the work performed by the worker, even if that right is not exercised. Behavioral control categories are:

Type of instructions given, such as when and where to work, what tools to use or where to purchase supplies and services. Receiving the types of instructions in these examples may indicate a worker is an employee.
Degree of instruction, more detailed instructions may indicate that the worker is an employee. Less detailed instructions reflects less control, indicating that the worker is more likely an independent contractor.
Evaluation systems to measure the details of how the work is done points to an employee. Evaluation systems measuring just the end result point to either an independent contractor or an employee.
Training a worker on how to do the job -- or periodic or on-going training about procedures and methods -- is strong evidence that the worker is an employee. Independent contractors ordinarily use their own methods.
Financial Control: Does the business have a right to direct or control the financial and business aspects of the worker's job? Consider:

Significant investment in the equipment the worker uses in working for someone else.
Unreimbursed expenses, independent contractors are more likely to incur unreimbursed expenses than employees.
Opportunity for profit or loss is often an indicator of an independent contractor.
Services available to the market. Independent contractors are generally free to seek out business opportunities.
Method of payment. An employee is generally guaranteed a regular wage amount for an hourly, weekly, or other period of time even when supplemented by a commission. However, independent contractors are most often paid for the job by a flat fee.
Relationship: The type of relationship depends upon how the worker and business perceive their interaction with one another. This includes:

Written contracts which describe the relationship the parties intend to create. Although a contract stating the worker is an employee or an independent contractor is not sufficient to determine the worker’s status.
Benefits. Businesses providing employee-type benefits, such as insurance, a pension plan, vacation pay or sick pay have employees. Businesses generally do not grant these benefits to independent contractors.
The permanency of the relationship is important. An expectation that the relationship will continue indefinitely, rather than for a specific project or period, is generally seen as evidence that the intent was to create an employer-employee relationship.
Services provided which are a key activity of the business. The extent to which services performed by the worker are seen as a key aspect of the regular business of the company.
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Hard work builds character and homework is good for your soul.
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