Worker Classification Evaluation

The IRS, the Department of Labor, and state agencies all place strict limits on when a worker can be classified as an independent contractor ("IC"), and impose serious consequences on entities that misclassify a worker as an IC rather than as a W2 employee, even if the worker prefers to be a contractor, and sometimes even if they have established an LLC or similar entity through which they will be paid. Penalties to Goodnation and your program can be very steep.

To that end, please help Goodnation classify your team members appropriately by answering the following questions before onboarding your new worker.

To consider: If you are hiring an individual, sole proprietor, or single member LLC, you should complete the below form. Otherwise, you may proceed with the onboarding form. Goodnation reserves the right to revise our evaluation after seeing the draft agreement and scope of work.

When: Complete the form at least two weeks prior to when you plan on an independent contractor beginning work

Who: The form is to be completed by a program team member, not by the contractor

What to expect after the form is submitted:

  • Goodnation will review the submission and, based on government worker classification tests, determine if your new worker should be classified as an independent contractor or a W2 employee.

  • Within a few days, we will follow up with appropriate next steps based on the decision. Our process assures that the steps move along quickly and efficiently.