Independent Contractor Management

Independent contractor management is more crucial for American business owners than ever before in the history of the country. As remote employment work opportunities proliferate, the misclassification of independent contractors cannot be ignored. Employers must follow worker classification policies while avoiding compliance issues and regulatory fines.

Independent Contractor Management

Independent contractor management is complex and ever-changing. As an Employer of Record (EOR), we guarantee that your company’s employees will be appropriately classified.

At Strategic Contracting Services (SCS), we never allow the hiring of an independent contractor to become a hindrance to your business flow. Instead, we optimize a client company’s hiring and employment options.

As an EOR, we are responsible for the following:

• Evaluation of Employment Classification
• Document Collection and Management
• Contractor Agreements, including Statements of Work
• Ongoing Independent Contractor Relations

The Challenge of Independent Contractor Management

When it comes to hiring an independent contractor, the HR and staffing experts at SCS estimate your company’s risk level, potential liability, and possible penalties. However, we do not gamble with your company’s future. If there is any risk whatsoever, we let you know, advise you on a course of action, and lets you make the decision.

Since the use of independent contractors is expected to grow by nearly 180% in the next ten years, the IRS is cracking down on worker misclassification. Failure to provide W-2 forms for an employee misclassified as an independent contractor can lead to back taxes of up to 41.5% of an employee’s wages for up to three years. Moreover, if the misclassification is determined to be intentional, a company can face fines as high as $500,000. Such a financial blow can be very damaging to most small to mid-sized businesses, leading to your doors being forever closed.

Even worse, did you know that misclassifying workers can trigger both IRS and state tax audits? Also, it can result in costly investigations by the United States Department of Labor. Such investigations invariably lead to lawsuits, hefty fines, penalties, and potential business interruptions for your company.

Independent Contractor Management = A Good Night’s Sleep

At Strategic Contracting Services, we promise such outcomes will never happen when you work with us as an Employer of Record. Indeed, SCS guides you in the process of classifying employees correctly.

We take on much of the liability and the risk as an EOR, ensuring that your company is safe and secure.

If you're interested in our services use our Get Started Today page to arrange a consultation.