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Is it legal ,in Ohio, to hire an individual on commission only? Also would be interested in the forms to do so. Thanks!

david shaffer jr's Profile

Answers

Anonymous
(Manager) |

Sure, but you still have to meet minimum wage requirements each week. The commissions must meet or exceed what minimum wage would be for the week based upon the hours worked. If they do not, you must pay the difference. So, if the first week is 40 hours of training and no commissions earned the employee should be paid at least $324 ($8.10 Ohio minimum wage x 40 hours).

As far as forms, they would need to complete the same forms for hiring any employee - Federal W-4, Ohio IT 4, I-9, and possibly any local forms, if required, in your area. To set up the commissions only agreement, it would just be part of your employee contract.

Topic Expert
Wayne Spivak
Title: President & CFO
Company: SBAConsulting.com
LinkedIn Profile
(President & CFO, SBAConsulting.com) |

Or they could be an independent Sales Rep, with both a contract and actual duties that clearly make them independent.

You should speak with your CPA/attorney.

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