HR Insights


Can a Business Add Benefits for 1099 Workers?

Posted by Ginger Sullivan on March 22, 2016

Can a Business Add Benefits for 1099 Workers? | Ginger Sullivan | HR Insights blog by CareATC, Inc.Can a business offer benefits to its freelance and contracted workers? Short answer: nope.

The IRS has drawn a fine line between a traditional workforce and employees contracted for a specific task or time duration.

Employers who might want to offer benefits for a valued freelancer employee would be advised to "put a ring on it," so to speak, and hire the individual as a traditional employee.

But in this case, all of the benefits of traditional employees would have to be provided as well: payroll, Social Security, unemployment, and all the standard benefits given to employees.

With no middle way, this benefits trouble shows a growing problem for businesses around the country, and for the millions of contract workers they employ.

Read full article at Star Tribune.

Photo credit: via FoterCC BY-NC
Ginger Sullivan

About The Author

Ginger Sullivan

As CareATC's Recruiter, Ginger primarily focuses on recruiting top talent for our clinics and Corporate office. She also uses her creativity to help plan Corporate events.

Post Topics Benefits & Compensation