Employee versus independent contractor Juan is an accounting graduate major who works during the day and...

Employee versus independent contractor

Juan is an accounting graduate major who works during the day and takes classes in the evening. He was excited to finally land his first accounting job doing bookkeeping for a local bakery. In his new job, Juan works 30 hours a week at the bakery’s main office.

His excitement quickly dampened when he realized that his new employer was not withholding any income taxes or FICA taxes from his paycheck. Apparently, Juan’s employer is treating him as an independent contractor. Juan likes his job, loves the money he is earning, but recognizes that he should be treated as an employee instead of an independent contractor.

Discuss what you think Juan should do. Provide your answer using the following sections: Facts, Issue, Research, Analysis, and Conclusion.

Solutions

Expert Solution

answer:

Juan works 30 hours every week in his present place of employment at the laundry's fundamental office.
The Fair Labor Standards Act (FLSA) does not characterize all day business or low maintenance work.
This is an issue by and large to be controlled by the business.
Regardless of whether a worker is viewed as full-time or low maintenance does not change the utilization of the FLSA, nor does it influence use of the Service Contract Act or Davis-Bacon and Related Acts wage and incidental advantage prerequisites.
Juan should hint his boss that FLSA and FICA both are pertinent for his situation.
Hence, FICA must be retain from the paycheck at the rate 7.65% (6.2& by virtue of Social Security Tax and 1.45% by virtue of Medicare Tax).
Juan should likewise hint that an equivalent measure of FICA must be stored from manager.
Further, If Juan Income surpass $ 9,225, his manager must retain Income assess too.

ekkarill92 answered 1 year ago

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