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Valentina Varricchio's Profile

Hi, my company is currently operating in NY, and we are looking to bring someone on for the next three months part time. There are going to be no benefits paid out, and there is no job at the end of the duration. How do I need to go about this? Any help would be useful, as I am clearly no HR expert. thanks!

Answers

Topic Expert
Keith Perry
Title: Director of Global Accounting
Company: Agrinos, Inc.
(Director of Global Accounting, Agrinos, Inc.) |

Valentina,

If it is under 30 hours per week, then there likely is no ACA implication (thus you shouldn't need to worry about the liability of no benefits). If they're over...check with your benefits provider; you may still want to no provide benefits...but...be clear of the 1099 guidelines (eg, they're someone else's problem) or the potential liability for not providing benefits under ACA (and potentially NY State law).

If they are incorporated (beyond filing a schedule C...a real LLC or similar), then you can easily 1099 them. Business cards, other employers, etc. can bolster the "they're not an employee so I don't need to W-2 them".

If they're really a w-2 hire, make sure your documented policy does not conflict with the no-benefits approach.

In any case, a simple form of your standard employment agreement (stating appropriately whether they're a 1099 contractor or a W-2 employee), that indicates the start and end date, should be fine.

Check with your benefits provider to be sure that, dependent on your approach, you don't need to do anything with worker's comp, etc. I would guess that whichever path you choose, it will be automatic in your payroll / AP system, but it is good to check.

Cheers,

KP

Topic Expert
Malak Kazan
Title: VP, Special Projects
Company: ERI Economic Research Institute
(VP, Special Projects, ERI Economic Research Institute) |

There are some "small" independent HR consulting firms (mostly sole proprietors). Search in the local area, reach out to a few and you will likely find a 1099 there or through their network. here's a link to one for example in northern NJ. http://www.hralternatives.com/our-services/compensation-and-employee-benefits

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