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statutory status

Posted By: amdahwd on 2007-10-12
In Reply to: Any statutory employees out there? - A New Beginning

I sent you an email.


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Statutory status
When I worked statutory, they took out Federal, SS, and Medicare.
Statutory status question....sm

if you are statutory status they take out federal, but not state taxes, is that correct?  What about SS? Thinking of taking a job on statutory status. Thanks.


You're probably doing nothing wrong, employee status seems to be the norm with IC status primaril
SE status instead of IC? For me,SE status is heaven -with part of taxes paid and flexibility in my schedule. Have you ever applied to MDI-MD? They only accept qualified, experienced MTs and stress quality in their transcription. From what I read of your qualifications, it sure would be worth contacting them.

Per "see mssgs" comment regarding age discrimination later on in this discussion, I'm 64 - no problem getting hired at a line rate higher than average. Age is not a factor with MDI-MD - knowledge and quality is !!!
Who has gone from IC status to employee status? sm

I'm sure this has been asked a million times, but I am an IC and I am thinking of going to employee status to get benefits.  My husband will be self-employed in 2 weeks and we will have no insurance or anything.  I love the freedom of being an IC but need bennies.  We have no kids but probably will in a year or two.  Would like to know who has done the switch and if you regret it.


Thanks


Are you asking about IC status or employee status? sm
As an IC, I must have a contract before I will work.  However, never heard of employee status signing a contract. 
statutory
I know this has been asked before, but could someone please tell me the difference between statutory employee and just employee?  TIA
statutory vs IC SM
Thanks for clearing that up, all this time I'm statutory and thought I was IC. So does that mean I could apply for partial unemployment??
statutory vs. IC sm
 So if companies cannot dictate schedules to an IC, what about statutory employees?  I haven't discussed any of this with my company in 5-7 years!! Now they suddenly need an update, wherein they want to demand a set schedule....
Statutory employees too?
Is the new pay plan for statutory/IC employees too?  Cant you only switch to full time employee status twice a year, I think May and October or November.
statutory employees - MQ
When you have to take off, do you call in sick like you would a regular job?  In the past, I have and they have been quite unreasonable if I needed to take a day off for sick or personal reasons.  What upsets me is when there is no work, Im stuck, no work, oh well, but when I need to take off, I better be there, I better work or they have been quite nasty with me..What has been others response?  What have others done when they needed to take off?  Thanks for your response!
time off statutory
As they are quick to point out, as statutory you are NOT an employee and do not have empolyee benefits; they can't have it both ways, if you are IC and want to take off they really don't have a right to say anything; offices differ, but that's the bottom line.
SE as in statutory employee at MQ nm
 
Any statutory employees out there?
I'll be starting a new job soon with a service as a statutory employee. I want to get on top of my tax situation now so that come April I won't get hit with a big bill from the tax man.

Any suggestions/guidelines for how much of each of my checks I should be setting aside for taxes? I know that my employer will be paying 1/2 of my Social Security taxes. What about the rest?

Thanks in advance for your help.
Statutory employee s/m

was statutory for years until MQ made us all go to regular employee status.  The one thing I loved about this job was freedom and they really took that away when they set us up as regular employees. 


I just took another job as a statutory employee and am working out my notice with MQ.  Love, love, love it.  Statutory is the best of both worlds for me since I don't need bennies.  The PTO was nice, but the freedom is worth so much more. 


Statutory, I guess
PT, no benefits, no paid vacation/holidays, etc. The only thing they do is withhold my state/fed taxes. I work hours and days specified by them.
means statutory employee...
The link someone gave above has a section on statutory employee (SE) but are still independent contractors
Statutory MT/Independent contractor

Does anybody know of companies that still hire Statutory or independent contractors?  Since I take the standard deduction on my personal taxes I can no longer deduct my MT expenses and that's a major ouch.  Thanks for any help.


 


 


question for statutory workers
What percentage would you recommend setting aside from each check to cover your taxes?  thanks.
Doh! I thought SE was statutory employee. Sorry! NM
x
Statutory versus employee
Are there any advantages to being statutory versus an employee?  Anyone out there working statutory who can help?  Thanks!
Does MQ have STATUTORY EMPLOYEEs anymore under new plan????

It does not mention statutory anything in my letter dated 9/2/05.

I see "newly defined FT employee classification w/flexible...


I see New Part-Time employee classification w/flexible ...


I see Opportunity for PTO for part-time employees and increased PTO of up to ....


but I don't see nuttin about STATUTORY EMPLOYEES.......Statutory is not part-time


I only work part time statutory and
full time with another company, I have a little bit extra withheld from my FT job each paycheck. I try to save 30% of my SE job pay to have on hand when tax time comes, even though I don't need that much, it covers me for everything plus after tax time I still have money in savings. It does depend a lot on your life though, what deductions you have, what tax bracket, etc. I am single with no kids, so I wind up in a higher tax bracket, therefore feel comfortable only when I save more.
Question for you Statutory Employees about retirement?
Any of you who work as an SE, have you ever looked in to an SEP IRA or an individual 401K for funding a retirement plan?  I  was just wondering if this is allowed, since the income is considered self employment income, but I have searched on the Internet and can't find anything to tell how the laws specifically apply to SE's.  I know if I was an IC there would be no question.  I already have a Roth IRA but the limit for that or a regular IRA is $4000 a year and that is not enough IMO for retirement, would love to be able to save some of my SE income tax-deferred.  I'm going to ask my accountant about it but figured out of courtesy I would wait til after the tax filing season winds down.  Just curious if any of you could help out in the meantime??  TIA.
What are the benefits of working as a statutory employee?
x
Statutory Employee vs. Independent contractor
I work for company "A" as an IC. I work on Dictaphone ichart platform. I make 9 cents a line. Good accounts. Good managers. I have been offered a job as a statutory employee with company B, still on dictaphone, still 9 cents a line. Is justifiable to make a lateral move to company B just for the sake of being an employee? Tell me pros and cons please! Thank you!
Did you get the email this morning about the new pay plan for statutory employees. What is your
feeling. I know I cant struggle any longer or harder for money anymore. I agree. I am in all these different accounts to make lines, being QA'd on all of them and I just cant do anymore than what I am doing now so I am not sure what step to take next. I guess just wait and see what happens with the new pay plan. I hope that is not why they are hiring so many people because of concerns of a lot of people leaving because of it. Have you heard of more accounts being lost. I wonder where all these accounts are going.
What companies other than MQ hire statutory employees and are they hiring now.
:
too many variants. are you employee or statutory? what office? what reports?
not my office.  you have to work so many weekend hours per pay period but you can choose the hours.
Did everyone get that email from Frank L. about the new pay plan coming out for statutory employees
this morning. Does anyone have any idea what this is going to be. I hope I dont lose money after all the years with MQ but we shall see.
On this new MQ rewards plan what exactly is it offering statutory employees and I suppose that that

is going to be the end of our quarterly bonus. My concern still is if there is no work how do you get any incentive if they lower the base rate. Sounds like employees will have a larger window to get their work done which means we all will be scrambling around for work at all hours.


Question about SS - I am statutory employee and my employer withholds 7.5% for Social Securty - sm

I have only been a statutory employee for a couple of months (I was an employee with benefits with my prior company). My employer withholds 7.5% or "half" of the Social Security/Medicare 15% and I was told that will need to pay the other 7.5%. How does that work?  Thanks in advance!


Can a statutory employee draw unemployment if terminated from job due to restructuring of company?
nm
What status are you?


An employer should constantly evaluate the employment status of its workers to ascertain if any of them should be reclassified from an independent contractor to an employee. Misclassifying a worker could end up being quite costly in terms of time, money, and resources. If an employer is forced to reclassify independent contractors as employees, the payment of back taxes, penalties, and interest could create major financial problems. Ultimately, the risks of incorrect classification are borne by the employer. 


 


These factors should be used as indicators to determine whether sufficient control exists for a worker to be classified as an employee. However, they should serve only as a guide. They are subjective in nature, and each factor may not be present in all situations. Moreover, the weight apportioned to each one is not always constant. No single factor can determine a worker's status; all must be used in conjunction with each other to assess whether sufficient control is present to establish an employee-employer relationship. They are as follows.


 


1. Instructions. If the person for whom the services are rendered has the right to instruct the worker how, when, and where to work, then the worker is ordinarily an employee. This control factor is present if the employer retains the right to require compliance with the instructions, irrespective of whether the employer actually exerts the right to control. The instructions can be either oral or in the form of manuals and/or written procedures that state the details and means in which the result is to be achieved. In contrast, an independent contractor is responsible only for the end result.


 


2. Training. An employer trains workers by requiring them to work with experienced employees, holding training meetings, corresponding with them, or any of several other methods. By training a worker, the employer explicitly or implicitly states that the services to be rendered must be performed in a particular manner. The employer demonstrates a right to control by teaching the worker to achieve the desired results in that manner. Independent contractors, however, use their own methods and means to obtain a result and do not receive training from an employer.


 


3. Integration. If a worker's services are integrated into the business operations, then the worker is generally subject to direction and control. When the success or continuation of a business depends to an appreciable degree on the performance of certain services by a worker, those services are assumed to be subject to a certain amount of control by the employer.


 


4. Services Rendered Personally. The requirement that services must be rendered personally by the worker indicates that the employer is interested in the methods used to accomplish the work as well as in the result. Generally, inability to delegate the services to another individual indicates that the employer controls the details and means by which a result is to be achieved.


 


5. Hiring, Supervising, and Paying Assistants. if the employer hires, supervises, and pays a worker's assistants, then the employer has control over those assistants and the worker should be considered an employee. However, if the worker hires, supervises, and pays his own assistants and provides the employer with materials and labor under a contract in which the worker is responsible only for the results, he is an independent contractor.


 


6. Continuing Relationship. Continuous interaction between the worker and employer indicates an employee relationship. Such a relationship may exist in which work is performed at frequently recurring, though irregular, intervals.


 


7. Set Hours of Work. Establishing certain hours in which a worker is to perform a job indicates an employer's control. The fact that an employer can dictate a worker's hours is indicative of an employee relationship.


 


8. Full Time Required. If a worker must devote full time to the employer's business, the employer has control over the amount of time the individual actually spends working and, by implication, restricts the worker from performing other gainful work. In contrast, independent contractors are free to work when and for whom they choose.


 


9. Doing Work on Employer's Premises. Workers required to perform their services on the employer's premises when the work could be performed elsewhere are under the employer's control, which is beyond that which would ordinarily be exerted over an independent contractor. The importance of this factor depends on the nature of the services involved and the extent to which an employer generally requires its employees to perform services on its premises. Control over the place of work is indicated when the employer compels the worker to travel a designated route, canvass a territory within a certain time, or work at a specific place.


 


10. Order or Sequence Set. If an employer has the right to indicate the order or sequence in which work is to be performed, then the worker is probably an employee, particularly if the same results can be achieved in a different order or sequence.


 


11. Oral or Written Reports. The requirement that a worker submit regular reports to the employer can indicate a degree of control. It means the worker must account for his actions on the job to the employer.


 


12. Payment by the Hour, Week, or Month. When a worker is paid by the hour, week, or month and such payment is guaranteed, whether or not certain results are achieved, the worker is generally an employee. In contrast, payments made by the job or on a straight commission basis generally indicate that the worker is an independent contractor.


 


13. Payment of Business and/or Traveling Expenses. The IRS is of the view that when an employer pays a worker's business or traveling expenses, the worker is ordinarily an employee. Conversely, a worker who is paid on a job basis and must pay all incidental expenses is generally an independent contractor. Another issue to consider when evaluating this factor is the agreement between the employer and worker as to how such expenses are to be paid.


 


14. Furnishing Tools and Materials. If the employer furnishes tools, materials, and other equipment for a job, this indicates that the worker is an employee. Independent contractors ordinarily furnish their own tools and materials. In determining what the classification should be, the value of the tools and materials supplied to the worker should be considered as well.


 


15. Significant Investment. A significant investment by a worker in the facilities used in performing services for another is a factor that often establishes an independent contractor relationship. Conversely, the lack of investment in facilities indicates a dependence on the employer for the facilities--which means an employee relationship exists. The rationale is that whoever provides the equipment necessary to perform the services controls the use of the equipment.


 


16. Realization of Profit or Loss. A worker who stands the risk of suffering a financial loss or realizing financial gain as a result of providing services to the employer is generally an independent contractor. In contrast, a worker who has no risk of financial loss is usually an employee.


 


17. Working For More Than One Firm. If a worker performs services for more than one unrelated person or firm at the same time, it generally indicates that the worker is an independent contractor.


 


18. Making Services Available to the Public. Workers who make their services available to the general public on a regular and consistent basis are usually independent contractors.


 


19. Right to Discharge. Employers generally possess the right to discharge only employees. The threat of dismissal demonstrates a degree of control over workers. In contrast, the IRS's viewpoint is that independent contractors cannot be fired unless they violate the terms of the contract for services rendered.


 


20. Right to Terminate. If the worker providing the services can terminate the relationship with the employer at any time without incurring liability, an employee relationship usually exists. Conversely, an independent contractor engaged to accomplish a task or provide a service may incur a legal liability if the relationship is unilaterally terminated before the results of the task are accomplished.


 


These 20 factors may not always be appropriate for determining a worker's employment status, especially in the case of a professional, such as a physician, lawyer, or dentist. Control may not be the dominant issue in determining a professional's employment status. Revenue Rulings 72-203 and 66-274 state that other factors should be considered when determining the employment status of a professional, taking into consideration the skill required for the task, the intent of the parties involved in the employment relationship, and the custom in the industry.


IC - status

Have been an IC-MTSO for close to 20 years.  Deduct my office part of the house, phone, internet, cell phone, mileage for anything work related including banking, errands,  (of course  I pick up and deliver and that give me a $5,000 write off), medical insurance payments, retirement contributions,  supplies,  partial utilities.   Start out with 50 to 55K and pay my SS taxes on 12 to 15K.  To me it is well worth it.  I always over withheld from my husband pay check or just paid the small penalty at the end of the year but you can do quarterlies.   I went to a tax guy for one year saw how he did it and then just bought Turbo Tax and followed him.   Works well for me.   Sure his fee is deductible but you still gotta pay it.  I prepared so much for him that I felt I could just as easily plug those figures in as his "help" so that is what I do.  Any more questions, youcan e-mail me at pjsword @aol.com.


Patti


IC status
Just discussed a few days ago, do a search and it will come up.  If not I will let you know but just wrote a long answer to this last week. 
For the SE status
Because where I live it is rural and both hospitals outsource, one to MQ, the other to another big trans service.  While being an SE, I had a flexible schedule which my TC allowed me to work around my other full time job as that one was not flexible.  In order to move on, most companies do not supply the equipment and I did not want to put out another $1,000+ on another computer when I had just updated the MQ computer in the year 2000 and again in 10/2004, to transition to DQS.  So, I stuck around thinking well being an SE at least, if nothing else, I have flexibility.  Well, I have nothing anymore, the flexibility made everything else tolerable.  Nothing with MQ is tolerable anymore.  However, the new company I just hired on with has better pay per line, higher tier, higher differential and higher incentives plus, IMHO, better benefits.  To all of you MQ lovers, great, glad you have a job you love, however, I sure wish you would check around, talk to some recruiters..You will be amazed at what other companies offer.
IC status

I have a question about independent contractor status. Have do you pay taxes? Can you deduct office supplies, electricity, etc? If anyone have information please let me know. Thank you.


IC Status
If you are working as an independent contractor, you are responsible for all of your taxes, federal, state, and local, in addition to self employment tax.  You can deduct for office space in your home, supplies, and a percentage of your utilities.  Depending on the amount of work you are doing, it may be beneficial to look into incorporating yourself (S Corp).  I did years ago.  I bought a book called How to Incorporate in Ohio Without an Attorney.  It cost me 40 dollars to form as S corp, and as a corp, I did not have to pay self-employment tax.  You may want to talk to a good accountant.
IC status
 Thank you very much for the information. I will look into it.
MT status
I am 44 years old, have been an MT for 5 years.

Have 3 grown children.

Hope this helps.
what is SE status exactly
?
IC status
I had an office, and the rent was not that high, so that was a huge deduction. Unfortunately, I had to give it up and have not started working from home as I do not absolutely not want to include my home in my deductions (very tricky). Here are some things I deducted. The writer is internet based so it may not apply to her. Gas to and from everywhere, bank, office supply store, clients., etc, keep track of miles personal and business. Postage, supplies (of course), telephone bill, office cleaning, accountant fees, health care plan for myself, education (college courses which applied to my profession), dues and professional fees, i.e., memberships in AAMT, CMT fees, subscriptions to publications to enhance my business acumen. It's a whole new world working from home - don't like it. I feel for the writer as well. My accountant would charge me $250, only saw him once a year but it was worth it. He would make up four quarterly payment envelopes, according to what I made the year before. He told me if my income increased to call him and he would increase my payments. I usually did not owe anything, would be owed a refund and instead of taking the money would apply it to my first quarter of the next year. These are just some tips I hope will help someone else. I always feel if you want to be a professional, you have to spend money for professional advice, they know how to help you. Hope this helps someone. If I decide to work from home there is no way I will claim part of my house, when I go to sell it or die, I don't want it to be part of my "estate" in any way. This could happen to you.
IC status PS sm
Of course, i forgot to mention I claimed all of my equipment, computer, transcribers, books, etc., and the accountant took care of all of that as it was deductible either over time or for that year. It worked out great, always had the best equipment, etc. and it was mine to keep.
IC status

I am currently an IC with a small service and would like to venture out on my own to make more money.  My service now takes 25% of my earnings each month and this seems a little high to me. 


What I would like to know is how should I determine a line rate with new docs? Or starting out on my own.  I have 3 years experience and have also worked in a hospital setting. Any feedback would be appreciated.


IC status

I have also found that a designated line for my C-phone to work the best.  Open up a checking account for your business and write all checks for your business expenses out of this account, i.e. phone, supplies, internet, etc.  Easier to keep track of this.  Deposit only into this account.   Keep track of mileage pertaining to your business, banking, supplies, meetings, etc.  Every mile helps.  If you are married have you husband up his witholdings to cover your taxes.  Easier that way.  If you were only PT at the national keep both for a while to keep you going as it is sometimes slow in the beginning.  Hopefully this one doctor will lead to more for you.  Good luck, write back with more questions.   I used to do contracts at first but found that if either one of us wanted to part ways, the contract did not help out that much.  If you do one,  I would basically just outline simply what each person would provide and state what was expected  regarding TAT, etc.  But it already sounds like you have that covered.    Good luck.


Patti


IC status
I believe the licensing question is a state issue. I'm not positive. In Georgia, I don't have to have one unless the business reaches a certain size or if I have employees. I had a consultation with H&R Block, and the lady there readied my proposed monthly tax slips for me. She gave me a sheet with the many write-offs for my office supplies, etc. In the end, she didn't charge me at all. I got a lot of information and the tax slips, too. I'd consult someone in your state in case there are special circumstances. The consult was quick and painless and very helpful.
Are you an IC? Does that status
I am concerned about the tax thing, never been an IC before, but am about to jump in and try it

IC Status

I would really urge you to look up IC status on the Internet -- the IRS has recently changed their stance and established behavioral control as one of their yardsticks for independent contractor status.  I can tell you this, their first rule has always been that there has to be a contract.  The advantage in your situation is that the onus is always on the employer--that is, if the IRS were to determine that you had been treated as an employee since November, the physician's office would be liable for back pay, back benefits, back paying overtime -- all of that.  And the IRS would most likely find against them because the IRS would much prefer collecting taxes from an employer than 1000s of ICs around the country.  You have all the leverage here, when you in a strategic position to make a stand, you should.


Are you IC status?
Or employee status? I would love to be able to do that, I think. Was an IC for a long time and loved it. Then HAD to become an employee and have been unhappy ever since. But now I need the benefits, so have to do whatever is necessary. The part I hate is, on sleepless nights, I cannot get up and work. Have to wait till my shift starts and plug away with NO sleep for 8 hours and then do it all over again.. sigh!
Status bar...
Possibly you could try taking the entire status bar off, exit word and then go back in and turn bar on.

To display/remove the status bar, click Options on the Tools menu, click the View tab, and then select the Status bar check box under Show.

I never knew until now that you could click on that bar and bring up the find/edit/goto box! I rarely use my mouse. I Alt E F to get to that option.

If that does not work either uninstall and reinstall or do the repair part from CD.