One of the most difficult things to figure out is whether your job is classified as a sub-contractor or as an employee.
I am not a lawyer but I have been trying to figure this one out without one. Basically you need one to determine each individual situation.
From what I can gather from some emails from someone researching this on their own and after taking a class from AMTA-WA put on by two local lawyers is:
Subcontractors – set their own hours, need to collect the money from the client, need to pay the employer a flat rate (not a percentage of what they make as that is a kickback). Basically as a subcontractor you are self employed and subject to self employment taxes. They employer is hiring a sub-contractor to do the work they have – same as contractors building a house.
An employee can be paid on commission but needs paid like an employee with benefits, taxes paid by the employer and the employer pays Labor and Industry fees. You can also be paid a hourly wage.
Some employers pay a different wage for when a person is actually doing massage compared to when they don’t have a client scheduled. I imagine it is legal but is just is really not fair. It isn’t the massage therapists fault that they don’t have a client so I don’t think they should have to pay for it.
There are many different arrangements that can be made with employers. Most do not know that it is illegal to charge massage therapists a percentage of the fee that is collected. Most are trying not to pay additional fees for the person being an employee or taking the responsibilities for an employee.
While the local AMTA chapter hired 2 lawyers (Pieck and Coniff) to help figure this out and makes some information available on their website if you are an AMTA member, you still have to pay to figure out your individual situation.
The employer is basically responsible for figuring things out because it is they who ultimately will have to pay the back taxes and L& I fees if they are found to be having employees rather than subcontractors.
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