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  1. #1
    Senior Member Reputation points: 73140 Olderguy's Avatar
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    Quote Originally Posted by Yankeeman07 View Post
    You are incorrect - NY Labor Law states that a commission only individual must have a written agreement in place.

    https://www.workingnowandthen.com/ne...k-commissions/

    An employer would issue a W2 if they are withholding taxes, matching Social Security & Medicare Taxes.

    Best Option, is to consult with a Labor Attorney to cover all of the bases.
    Draw against commission will still be W-2 and min wage.
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  2. #2
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    Quote Originally Posted by Olderguy View Post
    Draw against commission will still be W-2 and min wage.
    Draw against commission will still be W-2 and min wage.

    You are still incorrect - I can pay commission and offer a "draw" - but make the sales rep responsible for their own taxes.
    I would issue a 1099 MISC Income at the end of the year. Think of Real Estate Agents - MFG Rep, the devil is in the details.

    If I decide to deduct SS-Medicare Taxes, State Income Tax (If a State has such Tax) that would require a W-2
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  3. #3
    Senior Member Reputation points: 73140 Olderguy's Avatar
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    Quote Originally Posted by Yankeeman07 View Post
    Draw against commission will still be W-2 and min wage.

    You are still incorrect - I can pay commission and offer a "draw" - but make the sales rep responsible for their own taxes.
    I would issue a 1099 MISC Income at the end of the year. Think of Real Estate Agents - MFG Rep, the devil is in the details.

    If I decide to deduct SS-Medicare Taxes, State Income Tax (If a State has such Tax) that would require a W-2
    If you do that you can't have them work in an office, they will be a contractor...and the original poster said work in office. If they choose their own hours and work where they want then yes that's true.
    Last edited by Olderguy; 12-19-2023 at 02:03 PM.
    Steve Benjamin
    Professional Business Loans

    522 Contessa
    Irvine, CA 92620
    steveprobiz@gmail.com
    https://probizloans.net/
    Broker, Underwriter, general business loan expert
    949.228.1050


    @ 24 hour funding working capital loans
    @ Term loans from 3 years to 10 years at 9.5% and up
    @ Equipment financing up to 7 years
    @ Property loans - Hard Money and traditional - Primary, Investment, commercial, land, fix and flip, construction.
    @ SBA loans - 7A and 504.
    @ Private money equity and debt for major investments
    @ Personal Loans up to gross income from personal tax return.

  4. #4
    Quote Originally Posted by Olderguy View Post
    If you do that you can't have them work in an office, they will be a contractor...and the original poster said work in office. If they choose their own hours and work where they want then yes that's true.
    What if you "offer" the office as a work space for the contractors to get the task done, in this case cold calling etc

  5. #5
    Senior Member Reputation points: 73140 Olderguy's Avatar
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    Quote Originally Posted by abcloser View Post
    What if you "offer" the office as a work space for the contractors to get the task done, in this case cold calling etc
    You can do that but they have to be able to work anywhere and choose their own hours to be a true contractor and be paid 1099.
    Steve Benjamin
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    522 Contessa
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    steveprobiz@gmail.com
    https://probizloans.net/
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    949.228.1050


    @ 24 hour funding working capital loans
    @ Term loans from 3 years to 10 years at 9.5% and up
    @ Equipment financing up to 7 years
    @ Property loans - Hard Money and traditional - Primary, Investment, commercial, land, fix and flip, construction.
    @ SBA loans - 7A and 504.
    @ Private money equity and debt for major investments
    @ Personal Loans up to gross income from personal tax return.

  6. #6
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    Quote Originally Posted by Olderguy View Post
    You can do that but they have to be able to work anywhere and choose their own hours to be a true contractor and be paid 1099.
    I didn't know that you were an employment attorney. While I am against 1099 for sales reps for a few reasons, you can 1099 a sales rep and they can be in the office.

    Out of curiosity, how many employees do you have? How much have you spent on a legal opinion for your hiring strategy?

  7. #7
    Senior Member Reputation points: 73140 Olderguy's Avatar
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    Quote Originally Posted by mistamca View Post
    I didn't know that you were an employment attorney. While I am against 1099 for sales reps for a few reasons, you can 1099 a sales rep and they can be in the office.

    Out of curiosity, how many employees do you have? How much have you spent on a legal opinion for your hiring strategy?
    You can work in an office and be 1099. You just can't make them work hours designated by you...they can pick when and where they want to work.
    Last edited by Olderguy; 12-19-2023 at 04:33 PM.
    Steve Benjamin
    Professional Business Loans

    522 Contessa
    Irvine, CA 92620
    steveprobiz@gmail.com
    https://probizloans.net/
    Broker, Underwriter, general business loan expert
    949.228.1050


    @ 24 hour funding working capital loans
    @ Term loans from 3 years to 10 years at 9.5% and up
    @ Equipment financing up to 7 years
    @ Property loans - Hard Money and traditional - Primary, Investment, commercial, land, fix and flip, construction.
    @ SBA loans - 7A and 504.
    @ Private money equity and debt for major investments
    @ Personal Loans up to gross income from personal tax return.

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