Of course in life there are always challenges. Sometimes you win and sometimes you lose. In this case we lost.
As you know I"m a big advocate of our LCA program. We have paid them as independent contractors since we started testing the program 4 years ago. Unfortunately one of our LCA's left last year and filed for unemployment. This triggered and investigation as to whether LCA's are employees or independent contractors from the Department of Revenue.
We had our appeals hearing last week and unfortunately we lost and now have to add our LCA's as employees. In addition, we will have to pay back unemployment taxes and payroll taxes on these "employees".
So with that said, you have a few choices. You can pay them as employees, or you can pay them just commission and pay them as independent contractors. The reason we lost was that they had set hours and we paid them a base pay.
Just wanted to give you an update in case you are using this program!