Legal Question in Employment Law in Arizona
I have a gal that works for me full time as a property manager leasing agent. She has recently began to clean some of the properties during the evenings as a sub contracted vendor. I have told her that she would get a 1099 for the amount I pay her for her cleaning work. Is this okay? and is there any limit to the amount of hours she can work?
1 Answer from Attorneys
Thank you for the message. This arrangement will probably be fine, as long as the duties she performs during the day are much different from the duties she performs as a subcontractor. The risk is a court could hold she is actually performing both sets of services as an employee. If that were to occur, you would be liable for overtime, payroll taxes, etc. There are ways to minimize the risks this will occur. One way would be to have her incorporate and perform the services through another legal entity. There are other things, as well.