kellieacosta Posted April 20, 2017 Share Posted April 20, 2017 Hello! I am currently working in my first job out of school in the ED with a big organization, with whom I don't have to figure out insurance, disability, salary, taxes, retirement, etc. I am in discussions with a women's clinic that would be an ideal environment to work in, but I am not sure how to project what salary I would need with the way the SP wants to pay me. She has other "independent contractors" (i.e. Chiropractor) in the office who take home 40% of what they bring into the overall practice/office. She offers no benefits, but does offer malpractice insurance. She wants to do the same with me. She has never worked with or hired a PA. She will be meeting with her business advisor to put together a business plan to see what I would have to bring in to make a certain salary. However, I am assuming there are many items I need to consider above a straight salary - such as paying taxes, and ? (I don't even know what else!) Can anyone please direct me with resources to start with? Can I be hired on legally as an independent contractor? What questions or specifics should I have SP address with her business advisor while drawing up a plan for me? Should I assume to make x amount more than average salary for PA assuming taxes/disability/??? If so, what should I expect to need to make on top of "salary?" Any help or advice is greatly appreciated! Thank you! Link to comment Share on other sites More sharing options...
GetMeOuttaThisMess Posted April 20, 2017 Share Posted April 20, 2017 If you don't have absolute control of your work days/hours you don't meet IRS qualifications to be an IC. Employment taxes become 15.3% but half can be deducted at tax time. You're also required to pay estimated taxes through the year. I think this is all moot because you most likely don't qualify though the employer may try to tell you otherwise. Link to comment Share on other sites More sharing options...
sas5814 Posted April 21, 2017 Share Posted April 21, 2017 Look up the IRS 20 test for independent contractors. It will give you good guidance. It is highly unlikely you will meet the standard. Your potential employer is setting themselves up for an IRS audit, taxes and penalties if they try. I have a horror story I could tell you. Link to comment Share on other sites More sharing options...
Moderator ventana Posted April 21, 2017 Moderator Share Posted April 21, 2017 ahh no for a couple reasons 40% of collections IS THE EMPLOYEE RATE if you are doing 1099 it is more like 60-80% as you have to cover all expenses of employment this doc sounds VERY SHADY in the hiring of a PA and I would likely avoid unless you incorporate and have all the payroll, med mal, worker comp and everything else you need think about it - you get exposed to body fluids hiv, hep c - as a 1099 you have no workers comp unless you carry it... if you are full time in her office, her staff scheduling and answering phones, her billing company collecting, you are an employee. period..... Link to comment Share on other sites More sharing options...
roger777 Posted April 22, 2017 Share Posted April 22, 2017 Yeah the vibe is very sketchy. A women's clinic w/ a chiropractor that wants you do do 1099. There are so many jobs out there. Link to comment Share on other sites More sharing options...
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