Inexperience in Employment Law and Practices.

Many small business owners contemplating bringing on staff to support their growing business are fearful of the responsibility of becoming an employer. The IRS and State governing bodies have so may laws concerning taxes, insurances, reporting, etc. that understanding and complying with just the mandatory laws can consume you.

Using an accountant, bookkeeper or a payroll service only solves part of the problem as you still remain legally liable. An example of just how complex even the apparently simple first decision you must make is will be discussed here. Should my staff be Employees? It is simpler to pay someone as an independent contractor (1099), but the IRS has tightened the definition (IRS Code Section 1706) and in many cases the penalties for misclassification can be harsh.

Outstaffing specializes in the employment business, leaving you to specialize in your business!

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