Classifying Workers: Rules, Risks, and Red Flags: S4E10

How can businesses determine whether a worker should be classified as a W-2 employee or a 1099 subcontractor? Our resident bookkeeping mensch, Paul Rosenblum, breaks down the two main tests—the Common Law Test and the ABC Test—used by states and the IRS to assess worker classification, highlighting the serious tax implications of misclassification and the challenges employers face in navigating these rules. Turns out, bookkeeping isn’t just about numbers—it’s also about dodging financial punches… speaking of which, why did the bookkeeper break up with the calculator? It couldn’t handle their negative balance!Episodes mentioned: - W2 or 1099...The Question That Haunts Business Owners (ep 5)https://www.buzzsprout.com/2188873/episodes/12836055-w2-or-1099-the-question-that-haunts-business-owners- W2 or 1099: A closer look (ep 6)https://www.buzzsprout.com/2188873/episodes/12836054-w2-or-1099-a-closer-look- 1099 Reporting Changes (ep 21)https://www.buzzsprout.com/2188873/episodes/13852295-1099-reporting-changes- QuickBooks no more? (ep 26)https://www.buzzsprout.com/2188873/episodes/14240698-quickbooks-no-moreSend us Fan MailSupport the showAbout the hostPaul Rosenblum has been doing hands-on bookkeeping for over 30 years, starting with QuickBooks Desktop and adapting to the world of cloud-based QuickBooks Online. He shares practical, in-the-weeds lessons from real client files every episode.👀 Why Niche Podcasts Are The Bedrock Of The Industry: https://podalization.substack.com/p/why-niche-podcasts-are-the-bedrock😄 Send Paul a text or 📞 voice message (include your contact info if you want a reply) https://www.buzzsprout.com/twilio/text_messages/2188873/open_sms📨   Email:   [email protected]💸  Website: https://bookkeepermensch.com🎧 Producer Steph: https://linktr.ee/stephfuccio 🎵 Music: SourceAudio: https://www.sourceaudio.com/🔉 Sound effects: https://freesound.org