Legal Question in Employment Law in New York
If someone receives a "draw" instead of a salary from their employer, which has nothing withheld from it, and they get a 1099 at year end after paying quarterly estimated tax payments, can that person collect unemployment benefits if they are let go? My question is basically whether a person is entitled to unemployment benefits if their compensation from the firm is 1099 income and not W-2 income?
Asked on 12/18/12, 2:07 pm
1 Answer from Attorneys
Mark S. Moroknek
Kelly & Curtis, PLLC.
Yes, you would be entitled to benefits. If your employer thinks you were an independant contractor, they will make that objection to your claim. The form of your compensation alone will not disqualify you.
Answered on 1/08/13, 1:06 pm