Creative agencies have long hired freelancers and contractors to handle a variety of projects. But a growing trend among taxing authorities is to collect as much revenue from those workers as possible. In many cases, authorities say contractors should actually be classified as employees.
One telltale sign your contractors behave more like employees is the level to which they are integrated into your company’s day-to-day operations — beyond the scope of a specific project or role. But by establishing clear boundaries between your agency and contractors, you can preserve a purely transactional relationship and maintain proper classification.
If you want to keep using your freelancers and contractors, download this important list of scenarios to avoid.
