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I want to pay my employee by the Job

Discussion in 'Business Management' started by smworld, Aug 29, 2012.

  1. smworld

    smworld New Member

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    I am looking for any ideas or ways that someone is paying their production by the job. We do vinyl signs, banners and vehicile wraps. I am wanting to know if anyone is paying by the square foot or % of job and not by hour. We stay pretty busy and do a vehicle about every week and a half or two weeks.
     
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  2. Pat Whatley

    Pat Whatley Major Contributor

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    If your employee has a brain in his head he's going to agree to it then triple what he expects you to be paying him since you'll be treating him like a sub-contractor.
     
  3. ProWraps

    ProWraps Very Active Member

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    its called piece work. he will be an independent contractor unless you are not very bright and make him an employee. and he will do the same for other people unless he is really dim. weigh your options and advantages/disadvantages for that scenario. there are definately both.
     
  4. Coloradosigns

    Coloradosigns Major Contributor

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    Why would you do that?
     
  5. Billct2

    Billct2 Major Contributor

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    Pay your emplyee to do what?
     
  6. CS-SignSupply-TT

    CS-SignSupply-TT Very Active Member

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    This begs the question, is he/she an EMPLOYEE -or- SUBCONTRACTOR? Are you trying to bypass payroll taxes and unemployment insurance? Do you want this person in your shop from open to close, or come and go as the work demands?
     
  7. MikeD

    MikeD Active Member

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    A shop would be better off subcontracting the work out.
    The employee wouldn't have much incentive and would most likely not develop any loyalty to you as an employer. They most likely would not perform at the level your customers require.

    It's like having a nice boat and putting crap fuel into it.
     
  8. thinksigns

    thinksigns SnowFlake

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    If a person doesn't set their own schedule and use their own tools, they are an employee. Employees are paid either a salary or by the hour.
     
  9. Red Ball

    Red Ball Active Member

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    And don't forget a subcontractor comes and goes at his own discretion. If they are hitting your time clock also that makes them an employee as far as the Fed is concerned.

    I have a brother in law who keeps making the same dumb mistake and the IRS just keeps handing him his head every few years.
     
  10. SD&F

    SD&F Very Active Member

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    If they are paid as a sub-contractor be sure they understand that they are responsible for their own taxes. They should sign a form acknowledging this upfront. They will have the freedom to come and go at their leisure. I don't know how that would work for you. He can work for you and for someone else as well, no issue.
     
  11. ironchef

    ironchef Very Active Member

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    Hey guys. I agree with the hourly pay. Just pay them good... you get what you pay for. Always. I offer small incentives to keep them happy. Like end of the year bonuses. Keep the fridge stocked with gatorade and other beverages. Having several employees, I'm flexible with scheduling. If given a notice. Its not like the restaurant busy, way more hardcore.
     
  12. ironchef

    ironchef Very Active Member

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    Now we have a subcontractor that does all our electrical installs and high installs.
     
  13. just close your doors now and keep the money you have, because you will be out of business sooner or later....
     
  14. CS-SignSupply-TT

    CS-SignSupply-TT Very Active Member

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    ????

    David Darlak, did you really just say that? :noway:
     
  15. yes.
     
  16. CS-SignSupply-TT

    CS-SignSupply-TT Very Active Member

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    ??? cont.

    oh my!
     
  17. ironchef

    ironchef Very Active Member

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    You talking to me? Punk!. Lol jk jk... its ok my friend to each its own. We been in business 17 years.
     
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