Independent Contractor Support Services

Many organizations underestimate the risks associated with using independent contractors, with the primary risk stemming from worker misclassification. According to the Department of Labor (DOL), up to 30% of independent contractors are misclassified.

The IRS has increased its audits on misclassifications. If an independent contractor is found to be misclassified, employers may be required to pay the employer portions of Social Security, Medicare, and Federal and State unemployment taxes. In some cases, the organization may also be held responsible for the employee’s portion of Social Security, Federal and State withholdings, as well as potential IRS and State penalties, interest, workers’ compensation issues, and employee benefits.

24X7 Consultants offers custom software tools and solutions specifically designed around IRS guidelines. We ensure compliance with both IRS and DOL regulations. Currently, 24X7 Consultants is assisting numerous companies in staying compliant while maintaining the flexibility of utilizing independent contractors. If you need support with independent contractor vetting or compliance, please contact us to connect with one of our experts.