PDA

View Full Version : Getting Laid Off. Sort of...



Boozer
05-21-2007, 08:05 AM
So my employer has to make cuts and I get to be one of them.
My boss has asked me to take a severance package and work for him as an independant contractor.
My question is this. If laid off but retaining a position as an independant contractor am I legally able to draw unemployment?

Ziggy
05-21-2007, 08:08 AM
As a contract worker(aka jobshopper) you will still be 1099'd...........unless your ex employer is planning on doing it under the table..

al cole'holic
05-21-2007, 08:10 AM
..who knows when he is gonna independently contract you...?...draw the unemployment, and be honest when you do work....or not.

BrendellaJet
05-21-2007, 08:12 AM
sounds like he is trying to get out of paying employment taxes...If he can still afford to pay you then go for it while you look for another job if thats what you want to do.

RitcheyRch
05-21-2007, 08:12 AM
I've been jobshopping since the 1980's and have always been W2. The place am working at now gave me the option of either W2 or 1099.
As a contract worker(aka jobshopper) you will still be 1099'd...........unless your ex employer is planning on doing it under the table..

Boozer
05-21-2007, 08:18 AM
As an independant contractor I will be 1099'd and paid straight commission. Considering my average sales cycle is 12-24 months I wont be drawing a commission for at least 6 months. This leaves a monster gap in my income. :mad:

Baja Big Dog
05-21-2007, 08:30 AM
You need to check with the labor laws in your state. In Cali I think you would both be breaking the law as you described. Its called tax evasion.
Word it as you like, and you can describe it in your best interest, but it sounds like a potential problem.
Forget unemployment (in Cali), you have income, weather your self employed or not.
Yes, again you can read between the lines in any situation, but you know what your doing...in my older years and growing up to be my "father type" Ive learned its better to not draw attention.:confused:

AZKC
05-21-2007, 09:30 AM
My question is this. If laid off but retaining a position as an independant contractor am I legally able to draw unemployment?
No. I did something similar once and had to pay back about 3K in benefits I recieved:)

zudnic
05-21-2007, 09:45 AM
You need to check with the labor laws in your state. In Cali I think you would both be breaking the law as you described. Its called tax evasion.
Not sure on the details, glanced a news article on a family biz (invading with relatives employed) that got fined pretty big for something like this in Cali.....

Boozer
05-21-2007, 10:53 AM
I am officially an independant contractor.
5 minutes before given the official word I was given a job offer. It's in the 909 though...... :jawdrop: :jawdrop:

HCS
05-21-2007, 12:06 PM
Go find more work.
It's the Conservative way, quit looking for hand outs.

Riverkid
05-21-2007, 04:56 PM
I am officially an independant contractor.
5 minutes before given the official word I was given a job offer. It's in the 909 though...... :jawdrop: :jawdrop:
Great! Stop by and have a beer.

photo chick
05-21-2007, 05:01 PM
When you fill out your weekly unemployment sheet it will ask you if you made any compensation for the week...if you haven't you simply write none....if you've made money as a contractor that week you fill in the amount you've made....it's totally legal!

shueman
05-21-2007, 06:46 PM
As an independant contractor I will be 1099'd and paid straight commission. Considering my average sales cycle is 12-24 months I wont be drawing a commission for at least 6 months. This leaves a monster gap in my income. :mad:
With a severance package, you can collect EDD. If you work, rather you get paid or not, that has to be declared, and will be deducted from your EDD check.

topless
05-21-2007, 06:52 PM
I am officially an independant contractor.
5 minutes before given the official word I was given a job offer. It's in the 909 though...... :jawdrop: :jawdrop:
Well then Mavericks it is.:D

Boozer
05-21-2007, 07:20 PM
Well then Mavericks it is.:D
My bill collectors need a forwarding address. I gave them yours :jawdrop: :idea:
Also... I might need to store a few things. You're garage should do the trick. :notam: :) :)