I agree with shop-a-holic. I have the gas and FF in my area but the low pay is not worth the hassle of getting the FEIN. I think if everyone refuses to do it and sends them an email explaining why it is a problem then they will have to make some choices. They will need somebody to do the shops. Oh by the way I never get offered a bonus either.

This will be costly if other companies follow suit this will combine income from all shops and increase your taxes and you will have to pay social security all this for a $7.00 to $15.00 shop.

I do a lot of shops for them also. I will miss them and they will miss me:-)

flashbob Wrote:
-------------------------------------------------------
> This will be costly if other companies follow suit
> this will combine income from all shops and
> increase your taxes and you will have to pay
> social security all this for a $7.00 to $15.00
> shop.

I fail to follow your line of thought. Your EIN will be 1099ed just like your SS is 1099ed when you pass the threshhold for 1099s. It appears to me that you will be able to report it all on a single Schedule C if the forms continue to look like they did in 2009. When your Schedule C net income is $400 or more you are liable for FICA whether it is reported as an EIN or a SS or both. And in any event, whether you receive a 1099 or not you are responsible for reporting your shopping income on a Schedule C. So in terms of taxation I don't think it matters a hill of beans whether you use an EIN or a SS. It is just the baloney around needing to get an EIN that makes its requirement an issue

I see that new changes to all profiles will be required by January first 2011. I for one, will not be providing them with this information unless I see that all Shopping companies will be implementing them. Do others that work with this company have the same convictions? I have always found this company easy to work with, and they are very responsible with their payments.

I sent out a posting a few minute ago regarding this very same situation. I guess I should have scrolled down before taking up my pen. I will not be giving them the requested information as I believe that a requirement to show drivers insurance is a little extreme. After all we are independent contractors. Too bad because they are a great company to work with. However, there is enought intrusion into private lives as it is.

this is the first email i have received about this from the 50 or so companies that have my name... granted i think i only have done shops for 20 or less.... but usually vast changes like this take time... im sure it will be across the board... but probably not too soon

and also im young and my credit score is in the toilet... plus i subscribe to a credit monitoring site... heck i have a hard enough time getting a credit card... my car took 2 hours to finally buy because no bank would give me the time of day... all this to say someone stealing my identity would have a pretty tough time of it being worth it



Edited 1 time(s). Last edit at 11/19/2010 07:24AM by cooldude581.

I gave them my social - they don't need a FEIN from me - I'm shopping as an individual, independent contractor - not a company. To do business as a company-to-company, YES, they do need your FEIN on file, in case THEY get audited.

They are just covering their aXX (Butt).

specialpi Wrote:
-------------------------------------------------------
> I gave them my social - they don't need a FEIN
> from me - I'm shopping as an individual,
> independent contractor - not a company. To do
> business as a company-to-company, YES, they do
> need your FEIN on file, in case THEY get audited.
>
> They are just covering their aXX (Butt\

Yes, but they now want us to all get a FEIN and use that with them or no more assignments. I have enjoyed doing their gas shops, but I think this is goodbye, and I will be buying my own gas after January 1.

I love working for Maritz - they are my favorite company. I haven't decided if I will do the FEIN, but probably if that is what I need to do to stay with them;>)
Does anyone know of a company like Maritz? I like their reports - hardly no narratives. I also like to do reveals or audits. The pay is pretty good also.

Thanks for the help.

First time posters who praise Maritz sound like Maritz employees.

ShopUntilyoudrop- you are SO correct...
sounds like an employee for sure......

I've done work for them too - but like I said, I have not even received an email about FEIN.

Again, I am an individual, not a company. I report from my Social Security Number, not a FEIN. I get a 1099 for my work.

Are the rest of you set up as companies, corporations, or LLCs? If so, you have an FEIN and must report it.

Can someone share with me a copy of the email?

Thanks!

Here it is specialpi:

Dear Shopper,

We wanted to give you an advance notice of a few new requirements which will be necessary in the near future for you to continue conducting shops for us. These new requirements are being put in place to further protect both your interests and ours regarding the continued scrutiny on independent contractors by the IRS and certain states. This will help establish that you are your own business entity and are adhering to the contract you have signed with us.

1. Federal Employer Identification Number (FEIN)
Also known as a Federal Tax ID, this number can be easily obtained from the IRS website by clicking here. There are no fees for obtaining this number and the process should take only a few minutes. Starting in 2011, all Maritz shoppers will be paid using this number instead of their social security number.

2. Business Name
Created at the time you create your FEIN, this is the name of your mystery shopping business. In 2011, all payments for mystery shopping services will be written to this entity instead of you personally.

3. Proof of Auto Insurance
As an independent contractor, you have already stated that you would provide your own insurance for conducting your shops. We will now need a scan of your auto insurance card to ensure that you are meeting this requirement. Should you change your insurance, we will ask that you let us know, but otherwise this is a one-time only requirement.

4. Photo Identification
We will also require a one-time only submission of some sort of photo identification. This can be your Driver’s License or any other form of photo identification you possess.

After January 1st, 2011, all shoppers who have not provided the above requirements will no longer be able to perform mystery shops or audits. After those requirements are met, each individual shopper will be able to resume conducting shops.

In the next few weeks, we will give you further information about how to provide these items to us. This email is only to prepare you for this change as it could affect your ability to perform the shops you would normally be awarded in January.

If you have any questions or concerns, please reply to this message. Each message will be directed to the applicable people.

Thank you,


Maritz Research Confidentiality Warning: This e-mail contains information intended only for the use of the individual or entity named above. If the reader of this e-mail is not the intended recipient or the employee or agent responsible for delivering it to the intended recipient, any dissemination, publication or copying of this e-mail is strictly prohibited. The sender does not accept any responsibility for any loss, disruption or damage to your data or computer system that may occur while using data contained in, or transmitted with, this e-mail.If you have received this e-mail in error, please immediately notify us by return e-mail. Thank you.

ShopUntilYouDrop Wrote:
-------------------------------------------------------
> First time posters who praise Maritz sound like
> Maritz employees.


I am sorry you feel like that - but I am not an employee of Maritz. Like most of us I am an IC. Maritz has treated me good like a lot of other companies I work for. I just found this message board while searching for more information on the FEIN. It just got the best of me not to see more people standing behind Maritz's changes.

Shnndoa Wrote:
I love working for Maritz - they are my favorite company. I haven't decided if I will do the FEIN, but probably if that is what I need to do to stay with them;>)
Does anyone know of a company like Maritz? I like their reports - hardly no narratives. I also like to do reveals or audits. The pay is pretty good also.

-------------------------------------------------------
> ShopUntilYouDrop Wrote:
> --------------------------------------------------
> -----
> > First time posters who praise Maritz sound like
> > Maritz employees.
------------------------------------------------------->
>Shinndoa wrote:
> I am sorry you feel like that - but I am not an
> employee of Maritz. Like most of us I am an IC.
> Maritz has treated me good like a lot of other
> companies I work for. I just found this message
> board while searching for more information on the
> FEIN. It just got the best of me not to see more
> people standing behind Maritz's changes.

Shinndoa, there is a reason for Maritz employees to "stand behind Maritz's changes" because that is what they are paid to do, but there is not really a reason for ICs to be expected to stand behind Maritz changes. The relationship of an IC is totally different than that of an employee. We choose who we shop for and where. We do one-at-a-time jobs and report. Maritz is free to make whatever changes they choose and if those changes meet the needs of its ICs, those ICs will continue to shop for them. If the changes make life more difficult for some ICs, those ICs likely will no longer shop for them. In the same vein, if my circumstances changed and I no longer met Maritz's needs/requirements, they would no longer allow me to perform assignments. Having said that, I also like Maritz and the reports do require less narrative than many which makes them fast and easy to complete. I would not say the pay is pretty good, I would class it on the low to average side. The ability to self-schedule is nice. They rely a little more on telephone rather than e-mail which I don't like, I prefer e-mail. And I have stopped taking most of their phone calls - I get a lot of begging "please, please, as a favor" requests to take dog shops that are far away with no offer of a bonus. (Hello: why would I take an orphan shop paying $15 that will cost me $10 in gas and over 2 hours of time, including driving time?) I don't do reveals and audits, but they do have several shops I like. One major client has just moved to another MSP. I'm not planning to get a FEIN, so December will likely be my last month to shop for them. I haven't really seen very much posted this month with Maritz, which is unusual, so I am wondering if they have lost multiple clients.

I worked for an insurance company for many years. They provided office space and supplies for agents who were not company employees, but rather independent contractors. Because of the degree of control over those independent contractors, my employer got slapped hard by the IRS who deemed these agents to be employees, not ICs. There continue to be repurcussions years later. Not just for the insurance company, but also for the agents, as they had to go find and fund an office space or change careers.

I think the mystery shopping companies have a valid concern, and they're trying to be proactive. I don't know if this is the best approach, but it is the one Maritz has chosen.

Having worked in the insurance industry for 29 years, though, I have concerns about the Maritz requirement to provide proof of insurance. That is not an uncommon requirement from an employer, since actions (and accidents!) on the part of an employee acting in the course of their assigned duties results in employer liability. In those instances employees require proof of insurance since they want the employee/driver's insurance carrier to provide primary coverage.

If the person involved in the accident is an independent contractor, then the sole recourse should be against the driver. By asking for proof of insurance it seems that Maritz is wanting to make sure that if Maritz gets sued the driver has the necessary insurance--just like if they were an employee.

A better stance in the "independent contractor" push might be "We do not employ Mr/s Smith, we have no contractual relationship, we do not direct Mr/s Smith's actions, and as such we have no liability for this incident."

I must be missing something in all the SSN vs FEIN discussions. Regardless under which number I work and am paid, I can't see how my taxes would be any different. If I make above "$X" in a year, regardless of whether I get any 1099s, I owe tax. Period. I'm fairly new to mystery shopping, though, so it's entirely possible I'm missing a portion of the tax equation, so I'm staying tuned.

In the past two months I have completed 33 shops for Maritz. I have found them to be fair, flexible, and fast payers. It initially really bothered me that I couldn't effectively communicate with them via e-mail, only by phone. I have a full-time job with a governmental agency, and can't take/make personal calls during work hours. So, now I let the calls go to my cellphone voicemail, and return calls on breaks. I still wish I could deal with them via e-mail, because I can't be sure the scheduler I need will be available at breaktime, and e-mail eliminates that, but the schedulers are so great to work with it's become a "non-issue" for me.

I have had a business license for some time, so the new Maritz requirements aren't going to be burdensome for me--I'll just have to get a FEIN. I recognize that the procedures, and costs, for business licensing vary by state, and there may be some states in which it may not be worth it.

So, for now, I'm just taking a "wait and see" approach. I'm enjoying reading the posts, though, as this is a pretty big departure from the current "norm" and I like to hear other shoppers' thoughts on the topic.

Happy shopping, Carla

I share much of your opinions, Carla, except for one. The FEIN requirement does not in any way change the relationship between Maritz and the independent contractor, other than the name of the payee. Maritz could require every one of their schedulers to obtain FEIN's as well but they would still be employees.

Certainly a much more convincing argument to IRS regarding the true independent status of independent contractors is in the self-selection of work and the pay-per-job relationship. Requirements regarding the nature of the business entity of the contractor actually approaches employer controls, as did Maritz's former shipping shops that required you send packages they provided. It is true that independent contractors who are being provided space, materials and direct supervision are not truly independent contractors, and it is this which IRS wants to end and have appropriate taxation and employee protections in place. When we do not get paid when and as agreed and must take it to Small Claims instead of Labor Relations Board, it is painfully obvious we are independent contractors!

The last two posts are really on point. It matters not whether you have an SSN or and EIN; the IRS will ignore that entirely when making a call. The relationship is what counts, and the type of ID we use does not count at all towards defining the relationship. I think that Maritz should fire their legal advisor over this.

But, what do I know? I only have a doctorate and 40+ years in labor relations and employment research.

Carla Bailey Wrote:
-------------------------------------------------------
> I must be missing something in all the SSN vs FEIN
> discussions. Regardless under which number I work
> and am paid, I can't see how my taxes would be any
> different. If I make above "$X" in a year,
> regardless of whether I get any 1099s, I owe tax.
> Period. I'm fairly new to mystery shopping,
> though, so it's entirely possible I'm missing a
> portion of the tax equation, so I'm staying
> tuned.

Yes, you are right, SSN vs FEIN has no effect on taxes (at least for those of us who have been reporting all their earnings properly, regarless of the $600 per company minimum). However, for me personally, gettin a FEIN would mean having to disclose it to my current full time employer. If I want to have my own business, serve on the board of a company or be elected to a public office, I am required to notify my current emplolyer and have their legal department approve it to avoid any conflict of interest. I would definitely like to avoid any headache associated with going throught this kind of thing.
So yes, in many cases getting a FEIN has consequences beyond just having to report all your income to the IRS.

Any ideas how this will affect Canadian shoppers. I have emailed Maritz but, as expected, have received no reply!

fuschiagirl Wrote:
-------------------------------------------------------
> Any ideas how this will affect Canadian shoppers.
> I have emailed Maritz but, as expected, have
> received no reply!


Haha, yep, email = silence from Maritz. Best to call.

Email...they don't allow their schedulers to email, one of the reasons I rarely work for them, now I have another.....sounds crazy and without any validity.

ShopUntilYouDrop Wrote:
-------------------------------------------------------
> Here it is specialpi:
>
> Dear Shopper,
>
> We wanted to give you an advance notice of a few
> new requirements which will be necessary in the
> near future for you to continue conducting shops
> for us. These new requirements are being put in
> place to further protect both your interests and
> ours regarding the continued scrutiny on
> independent contractors by the IRS and certain
> states. This will help establish that you are your
> own business entity and are adhering to the
> contract you have signed with us. Continues on ---

Thank you ShopUntilYouDrop -- I guess I'm finished with Martiz too as of January 1st.

I give out enough information the way it is. I'm retire now - I want more simplification in my life - and this is NOT it.

There are MANY shopping companies out there - too many to go through hoops for one.

I live in Texas and I talked to my banker today(Wells Fargo) and he said no I could not add my name as a secondary name entity, even if my name was the business name,plus I would have to file with the county that I was starting a new business that would will be $17.00.I have already gotten my FEIN # and established a name.I do a lot of jobs for Maritz so I really have no choice if I want to keep doing this type of work.I primarily do their gas station image- audits,I do around 600 jobs from Jan through Oct.I've been with Maritz for over 3 years so I guess I will stick with them,I know most of the schedulers on a first name basis.I wish they paid more,but at least they do pay on time,which in this industry says a lot.I don't agree or understand the change.I do understand them wanting a copy of your drivers license and insurance,so they know who is representing their company.

You do not represent the company! That is the problem. You are an independent contractor, not a representative or employee.

patnewman Wrote:
-------------------------------------------------------
> You do not represent the company! That is the
> problem. You are an independent contractor, not a
> representative or employee.


Yes, AS ICs, we take one job at a time, perform it, report, and get paid. There is no employment and no contract of any kind. You represent the company in no way (except that their selection of a good shopper says something to their client about them as an MSP). The purpose of requiring all their shoppers to get FEIN numbers is supposed to "prove" to IRS and anyone else that their shoppers are ICs. So why the copy of a drivers license and proof of insurance? Shoppers are NOT driving for the company, they are not representing the company, and they are ICs .... but asking a shopper for a copy of DL and proof of insurance, which is documentation companies often require of their employees, is almost a validation of employment rather than IC. I'm disappointed in Maritz. Wonder who their legal counsel is.

If you live in California and use any other name other than your own. You must file a Fictitious name statement with the county $$$. Then have it publish in a newspaper for several days with your real name and what real address you use $$.

I was wondering about all of this and this just reeks of manipulation. I see no need for getting a FEIN when I already file tax returns as both a wage earner and a IC. I'm thinking I will just drop Maritz, because I don't like the feeling these new stipulations give me. you all know what they say about listening to your gut instinct!