Can I 1099 to populace working below my janitorial bond? And Whom would I receive the best liability insurance?
this is my fifth year being self employed I would like to hire oblige. I'm not sure about all the law on insurance and if it would be better to 1099 or pay quarterly fees to government ? What are leagal option in this matter?
Answers:
A bond single cover you if you filed it under a sole propiertoship, if you jam-packed it under a corporation or partnership it will cover your employees, but solely if you have disclosed them to the bond company. Remember that being bonded and have liability insurance are two different things.
A bond only helps you seize your license and permits with the state or local government, but it's not an actual insurance policy. If you want your employees to be covered you should look into purchasing a general liability policy which are not that expensive.
You as a sole Proprietor will be covered for a dishonest act ( theft) lone under your name. The facilitate you hire whether "independent contractors" or employees are not covered on your bond.
Many contracts provide you to have any a Bond or liability coverage.
My Janitor clients have both...because they provide different aspects of coverage.
You can hire "subs' as Independents to work for you and 1099 them. But it is advisable to have a "sub-contract agreement beside them for that specific job. This is because they can work other jobs and are technically not an member of staff. They basically are their own business. I would contact a local Independent agent on this. The cost could be any where from $550 to $1,000 depending on sale for liability. The bond for $5,000 limit is usually only $100 per year .
Remember that if you contract independents to work for you ..they should also show evidence that they own liability insurance as well. Also naming you as an additional insured. Their insurance would be primary. Source(s): Agent 37 years
Sure you can! But that doesn't be set to they aren't employees! If you tell them what time they hold to be there, and what they have to do, they're team. You're responsible for their injuries (workers comp) whether or not you 1099 them.
Calling them "subcontractors" and not withholding taxes does NOT protect you. It does NOT relieve you of any liability, either to them, or to your employers (clients).
However, usually a bond solitary covers employees. So if you DO 1099 them, they WON'T be covered by your bond.
Be sure to check out this link, roughly subcontractors vs. employees. http://www.twc.state.tx.us/news/efte/app… Source(s): Agent, 21+ years
Related Questions:
Answers:
A bond single cover you if you filed it under a sole propiertoship, if you jam-packed it under a corporation or partnership it will cover your employees, but solely if you have disclosed them to the bond company. Remember that being bonded and have liability insurance are two different things.
A bond only helps you seize your license and permits with the state or local government, but it's not an actual insurance policy. If you want your employees to be covered you should look into purchasing a general liability policy which are not that expensive.
You as a sole Proprietor will be covered for a dishonest act ( theft) lone under your name. The facilitate you hire whether "independent contractors" or employees are not covered on your bond.
Many contracts provide you to have any a Bond or liability coverage.
My Janitor clients have both...because they provide different aspects of coverage.
You can hire "subs' as Independents to work for you and 1099 them. But it is advisable to have a "sub-contract agreement beside them for that specific job. This is because they can work other jobs and are technically not an member of staff. They basically are their own business. I would contact a local Independent agent on this. The cost could be any where from $550 to $1,000 depending on sale for liability. The bond for $5,000 limit is usually only $100 per year .
Remember that if you contract independents to work for you ..they should also show evidence that they own liability insurance as well. Also naming you as an additional insured. Their insurance would be primary. Source(s): Agent 37 years
Sure you can! But that doesn't be set to they aren't employees! If you tell them what time they hold to be there, and what they have to do, they're team. You're responsible for their injuries (workers comp) whether or not you 1099 them.
Calling them "subcontractors" and not withholding taxes does NOT protect you. It does NOT relieve you of any liability, either to them, or to your employers (clients).
However, usually a bond solitary covers employees. So if you DO 1099 them, they WON'T be covered by your bond.
Be sure to check out this link, roughly subcontractors vs. employees. http://www.twc.state.tx.us/news/efte/app… Source(s): Agent, 21+ years
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