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You could 1099 them but considering the likelihood of someone who's taking an entry level music job claiming the income on their taxes seems like a recipe for a

You could 1099 them but considering the likelihood of someone who's taking an entry level music job claiming the income on their taxes seems like a recipe for an audit for both parties. Realistically you should probably do what everyone else does in this situations and pay under the table. Think of the lost taxes as billing the government for making stupid laws that can't reasonably be followed even when you want to follow them.

gamblor956 7y ago
Or instead, if you're really not willing to learn something you'll do with every future hire, you could just use a small business payroll service provider that specializes in this sort of stuff to do it for you so that you don't risk prison time. Payroll might be complicated to learn the first time. But it's like riding a bike, once you learn it's trivial to do.
- dsfyu404ed 7y ago
  It's not about the complexity, it's the cost and risk exposure. Employees come with costs (workers comp being the big one) and risk exposure that 1099 workers do not have (and what the employer gets in the trade-off is more direct control). For someone doing menial work and getting industry experience on the side (most trades have entry level jobs like this) that additional cost/risk could be the difference between their position existing and just tacking the responsibility onto some other existing employee.
  - deleted 7y ago
    [deleted]
blisterpeanuts 7y ago
The fact is, there's a lot of people paying under the table, for these very reasons. One estimate from 2012 of the underground economy in the U.S., i.e. transactions of goods and services other than illegal drug trade, was around $2 trillion[1]. That was during a severe recession; it's not clear whether the subsequent recovery has exacerbated the situation or encouraged more people to work "above ground". One thing is certain: as long as there is friction & obstacles to hiring part time help, there will be people trying to work/hire under the table. 1. https://www.investopedia.com/articles/markets/032916/how-big-underground-economy-america.asp https://www.investopedia.com/articles/markets/032916/how-big...

gamblor956 7y ago

Or instead, if you're really not willing to learn something you'll do with every future hire, you could just use a small business payroll service provider that specializes in this sort of stuff to do it for you so that you don't risk prison time. Payroll might be complicated to learn the first time. But it's like riding a bike, once you learn it's trivial to do.

dsfyu404ed 7y ago
It's not about the complexity, it's the cost and risk exposure. Employees come with costs (workers comp being the big one) and risk exposure that 1099 workers do not have (and what the employer gets in the trade-off is more direct control). For someone doing menial work and getting industry experience on the side (most trades have entry level jobs like this) that additional cost/risk could be the difference between their position existing and just tacking the responsibility onto some other existing employee.
- deleted 7y ago
  [deleted]

blisterpeanuts 7y ago

The fact is, there's a lot of people paying under the table, for these very reasons. One estimate from 2012 of the underground economy in the U.S., i.e. transactions of goods and services other than illegal drug trade, was around $2 trillion[1]. That was during a severe recession; it's not clear whether the subsequent recovery has exacerbated the situation or encouraged more people to work "above ground". One thing is certain: as long as there is friction & obstacles to hiring part time help, there will be people trying to work/hire under the table. 1. https://www.investopedia.com/articles/markets/032916/how-big-underground-economy-america.asp https://www.investopedia.com/articles/markets/032916/how-big...