Hiring Unlicensed contractor to perform some work
2 Replies
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Sanjay Gupta Flipper from fremont, California
posted 3 months agoHi,
We need to do start project and we will be hiring Licensed Contractor but we would like to some work done by Unlicensed Contractors( Handyman).
Do I need to take Workers Comp insurance ? What kind of insurance we would need to protect us ?
Second question is when payment is made to contractor, we just need to issue them 1099 in the end and have all receipts of payment , do we need to care about payroll tax or any other tax.
Brendon Woirhaye Investor from Whittier, California
replied 3 months agoWe have used unlicensed contractors for various jobs. I think you need to be aware of the risks you take on when you hire someone without workers comp insurance, if you hire someone who falls off a roof and is paralyzed while on your job site, you may have significant liability.
We issue 1099's to our independent contractors and W-2's to employees.
Sanjay Gupta Flipper from fremont, California
replied 3 months agoThanks Brendon
Can we as owner take workers comp insurance for Indepdent workers ( We don't employ them full time) ? If so, any rough idea how much does it costs ?
Originally posted by @Brendon Woirhaye :
We have used unlicensed contractors for various jobs. I think you need to be aware of the risks you take on when you hire someone without workers comp insurance, if you hire someone who falls off a roof and is paralyzed while on your job site, you may have significant liability.
We issue 1099's to our independent contractors and W-2's to employees.
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