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Be An Independant Contractor or Employee?
Which do you guys think is better--to be an independant contractor or an employee of the club in which you work? The person who did my taxes said that I should be an employee of the club; that way I will pay less taxes because my employer will pay for a percentage of the state and fed taxes. I owe over $3000 in taxes this year--son of a *&@!% >:( ! I saved for taxes, but my gosh I didn't think I would owe that much. Anyway, should I become an employee of my club if that is an option? I mean, God, I PAY to work there and I still have to follow all the rules and come in at scheduled times. Not so independant.
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Re: Be An Independant Contractor or Employee?
You should talk to an accountant before making any decesions but it has been my experiance that being an Independent Contractor is a better way to go, only if done right. I formed a LLC (Very easy to do and only costs $75.00) and by doing that, Alot of my expenses became deductions. Even living expenses in msome cases. Like if you use a portion of you hous, apt, condo as aq "office" you can deduct a percentage of your expenses. Stuff like mileage to and from work, repairs...it keeps going if you have an accountant. For example, My company (Me) earned 130,00.00 last year bu8t we only had to pay taxes on about 14,000.oo after the deductions. Then, since I didn't recieve a paycheck, I paid zero persoanl taxes. This is 100% legal, you just need to find an accountant
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Re: Be An Independant Contractor or Employee?
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Originally Posted by DragonKnight
For example, My company (Me) earned 130,00.00 last year bu8t we only had to pay taxes on about 14,000.oo after the deductions. Then, since I didn't recieve a paycheck, I paid zero persoanl taxes.
I'm sorry...but that sounds absolutely ludicris and like there are going to be some MAJOR red flags swinging up. Let us know in 3 years if the IRS comes after you. 130,000 and paying taxes on 14,000? That makes absolutely no sense what-so-ever. Of course, you can claim however much and whatever you want...the question is if the IRS will accept that. And, usually, the IRS doesn't come after you for at least a couple of years after the taxes have been filed.
Go see an accountant AND a lawyer...you'll need both to do this smoothly.
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Re: Be An Independant Contractor or Employee?
Yes, that sounds crazy. Thanks for the advice, but no thanks. I care not to get audited. The person who did my taxes WAS an accountant, and we wrote off everything we could--the mileage, fees paid to the club, etc. But all the write-offs in the world only go so far. DragonKnight's way of doing taxes is a great way to get the IRS at your door. I wondered how some dancers would make like, over $100,000 a year, drive around in a Mercedes, live in a huge mansion, and only end up paying like, $800 in taxes--and sometimes they get a crapload of money back. Aren't they afraid that they will get caught, making a six-figure income and only claiming like, $15,000?Anyway, so what does everyone else think? Independant contractor or no?
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Re: Be An Independant Contractor or Employee?
Some girls are able to get away with driving luxury cars because they have had a co-signer to get those vehicles.Some girls get them put in their mom or dad's names.Now your parents have to make a comfortable income for this to happen without any red flags.
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Re: Be An Independant Contractor or Employee?
there's more to this issue than the dancer deciding whether to call herself an employee or not. If a dancer files a tax return as an employee, the IRS computers are immediately going to start searching for a W2 income report and estimated tax payments from the club made in the name of the dancer. IRS and state computers are also going to swing into motion looking for matching club payments of their 'employer's share of the dancer's social security tax, medicare tax, disability and unemployment insurance premiums on behalf of the dancer. Thus a dancer attempting to file as an employee potentially makes her club liable for thousands (or tens of thousands) of dollars worth of 'employer' contributions - which will probably result in both the club and the dancer being audited (and perhaps every other dancer working at the club as well). With all clubowners, a dancer getting them in this sort of IRS trouble will not be conducive to that dancer's future job security if you catch my drift.
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Re: Be An Independant Contractor or Employee?
Yes I/C is most likely the way to go but as others have said, 130K incoime with 116K worth of expenses is as close to calling the IRS and begging for and audit as you can get, and you shouldn't think that just because you filed and got your refund that everything is "OK" when it comes to audits they are always like a year behind they are only beginning to now looking at 2003 tax returns, some people believe that they wait on purpose like this just so they can catch people in multiple year tax scams, some people have already filed thier 2004 taxes and probably did the same things as last year because they "got away with it"
Depreciating your home office is popular but if you know the "rest of the story" you wouldn't do it. Why, You say? if you are never going to sell your house it works out, but otherwise it is just a pay me now or pay me later situation. What am I talking about?
Here is how this works. Lets say you have a 2000 Square foot , 10 room, 200K house, you have 2 methods to choose from, percentage of rooms or sqaure feet, so if the room yiou choose happens to be 200 sqare feet it works out to 10% either way and you can depreciate 20 dollars of your homes value. Great you say, well the problem comes when you sell your house and go to figure the amount you made and owe taxes on. if you got 300K and did not depreciate your house it would be 100K, but because you depreciated your house down to 180K your profit is 120K.
So you can choose to get paid now over a number of years and then pay the IRS later, all in one year or just leave well enough alone.
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Re: Be An Independant Contractor or Employee?
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Originally Posted by Melonie
there's more to this issue than the dancer deciding whether to call herself an employee or not. If a dancer files a tax return as an employee, the IRS computers are immediately going to start searching for a W2 income report and estimated tax payments from the club made in the name of the dancer. IRS and state computers are also going to swing into motion looking for matching club payments of their 'employer's share of the dancer's social security tax, medicare tax, disability and unemployment insurance premiums on behalf of the dancer. Thus a dancer attempting to file as an employee potentially makes her club liable for thousands (or tens of thousands) of dollars worth of 'employer' contributions - which will probably result in both the club and the dancer being audited (and perhaps every other dancer working at the club as well). With all clubowners, a dancer getting them in this sort of IRS trouble will not be conducive to that dancer's future job security if you catch my drift.
I'm sorry--I don't think I do catch your drift. I know that clubs do not want to have dancers as actual employers because they don't want to have to pay the insurance, for any injuries that may happen on the job, their share of the taxes, etc. But I suppose they do pay for it anyway, just as they do for the waitresses and bartenders. If they follow this rule, they should not have to get audited, right? And it would be solely my responsibility to claim any tips I have made, so they should not have to worry about that. Right?
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Re: Be An Independant Contractor or Employee?
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Originally Posted by onlythebest
Some girls are able to get away with driving luxury cars because they have had a co-signer to get those vehicles.Some girls get them put in their mom or dad's names.Now your parents have to make a comfortable income for this to happen without any red flags.
I understand what you are saying.;) But some girls say they have gotten the expensive cars all by themselves, with the money they have earned from dancing. If they are able to afford a luxury car and expensive designer everything, they are obviously making a lotta lotta money, yet they are only claiming like, less than half of it and paying a teeny tiny amount in taxes, sometimes getting money in return.
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Re: Be An Independant Contractor or Employee?
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I'm sorry--I don't think I do catch your drift. I know that clubs do not want to have dancers as actual employers because they don't want to have to pay the insurance, for any injuries that may happen on the job, their share of the taxes, etc. But I suppose they do pay for it anyway, just as they do for the waitresses and bartenders
No, they don't pay these things ! The only way a club actually pays the 7% 'employer' contribution to Social Security plus the club pays state disability and unemployment insurance premiums is if the club issues the dancer weekly paychecks and if the club issues the IRS and the dancer a W2 form showing line item amounts for these things. No W2 ? - you can be certain that the club has not paid these things.
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If they are able to afford a luxury car and expensive designer everything, they are obviously making a lotta lotta money, yet they are only claiming like, less than half of it and paying a teeny tiny amount in taxes,
In today's computer age, this sort of thing will NOT escape the notice of the IRS forever because motor vehicle title offices report the new titles as well as the value of the vehicle to the IRS. Therefore if a dancer is in this situation, it's like jumping out of a 6th story window versus jumping off the Empire State Bldg - the view is great on the way down, with one 'free ride' lasting longer than the other one. But sooner or later the ground is going to meet them and the result will be very nasty, and the higher the fall the nastier the result.
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Re: Be An Independant Contractor or Employee?
I asked about becoming an employee yesterday, and it won't work. I really am better off being an independant contractor and would rather pay all the taxes by myself. If I were an employee, I'd have to do 10 dances, and every penny of those would go to the club. I would only get to keep 50% of the money from dances after the required 10. I would be required to sell 7 drinks. So I would leave with only like, $150, and that includes the hourly wages they would pay me. The managers were'nt kidding when they said that being independant is better.
Now, something about doing taxes only according to your bank account was mentioned. Does anyone's accountant do this? The only income you claim is whatever is in your bank account (you show the accountant your bank statements for the year), so you only pay taxes on that. Isn't that risky? I mean, if you only made $2000 in deposits to your account, there's no way the IRS would believe a dancer made only $2000 for the year. ::) If anyone has had this done, please do tell. I'm curious now.
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Re: Be An Independant Contractor or Employee?
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Originally Posted by exotica17
Now, something about doing taxes only according to your bank account was mentioned. Does anyone's accountant do this? The only income you claim is whatever is in your bank account (you show the accountant your bank statements for the year), so you only pay taxes on that. Isn't that risky? I mean, if you only made $2000 in deposits to your account, there's no way the IRS would believe a dancer made only $2000 for the year. ::) If anyone has had this done, please do tell. I'm curious now.
Paying based on your bank accounts is not a good idea. Pay based upon the money you make each night. Just because you didn't deposit $5,000 doesn't mean that you don't pay taxes on it. If you only claim to make $25,000 (that you can show moving into your bank account) but are living at a means much higher than that...the IRS will know...and you will pay all back taxes, fines, liens, etc accordingly.
Just keep a nice daily log of how much you make each night. Use that to pay your taxes.
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Re: Be An Independant Contractor or Employee?
Actually, based on the IRS precedent with the Casino Settlements and the literal wording of the IRS code, if a person is truly considered to be an 'employee' then ALL tip income is supposed to paid out to the employee and reported to the IRS through the 'employer's' payroll system, with the 'employer' withholding income taxes, and paying the employer share of SSI taxes and unemployment/comp premiums proportional to the total reported income. Receiving both a W2 and a 1099 from the same 'employer' for simultaneous work/earnings is a dicey situation, which probably increases the chance of an audit all by itself.
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Re: Be An Independant Contractor or Employee?
That's what I thought, Scorpio. Funny how these girls get lucky and never get audited. It just kind of makes my blood boil that I work my ass off to pay taxes and other people are making over 4 times more than I am and paying very little to nothing in taxes. I feel kinda stoopid, following the rules and all and lots of other girls in the industry are living it up virtually tax-free. I suppose I can expect karma to catch up with me?;) Thanks for your posts everyone!
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Re: Be An Independant Contractor or Employee?
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Originally Posted by Melonie
No, they don't pay these things ! The only way a club actually pays the 7% 'employer' contribution to Social Security plus the club pays state disability and unemployment insurance premiums is if the club issues the dancer weekly paychecks and if the club issues the IRS and the dancer a W2 form showing line item amounts for these things. No W2 ? - you can be certain that the club has not paid these things.
Excellent call. It turns out that workplace injury coverage is the primary reason for non-IRS IC vs. employee determinations. A labor lawyer I know passed on a reference to this landmark california case which gives a detailed analysis of the historical issues behind (non-IRS) IC vs. employee determination. Apparently, the standards spelled out in this cal supreme opinion are spreading across the country and match up well with federal law as well.
S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989)
48 Cal.3d 341
http://login.findlaw.com/scripts/cal...341.html#B0476
This ruling is fascinating reading on this topic and brings up an important issue I hadn't thought about. If a worker (dancer) sustains a serious injury at the workplace, who should be burdened with the cost for health care and missed work due to injury? If an IC, this would mean the worker would be responsible. But if the club controls workplace safety conditions, i.e. faulty dance pole, then why should the worker (IC) be responsible. If the worker is not responsible, but the club is, shouldn't the club be required to carry insurance to cover this? The answer is yes, and the dancer status reverts to employee. An interesting read on the topic, although not specifically related to IRS classification. From the decision:
The growers suggest that by signing the printed agreement after full explanations, the sharefarmers expressly agree they are not employees and consciously accept the attendant risks and benefits. However, the protections conferred by the Act have a public purpose beyond the private interests of the workers themselves. Among other things, the statute represents society's recognition that if the financial risk of job injuries is not placed upon the businesses which produce them, it may fall upon the public treasury. (See discussion, ante.) [9] Of course, a worker's express or implied agreement to forego coverage as an independent contractor is "significant." (See Tieberg, supra, 2 Cal.3d at p. 952.) However, where compelling indicia of employment are otherwise present, we may not lightly assume an individual waiver of the protections derived from that status.
[48 Cal.3d 359] [2e] Moreover, there is no indication that Borello offers its cucumber harvesters any real choice of terms. Richard Borello testified only that the family heads sign the preprinted contract. He conceded that recent seasons have brought a surplus of workers to the local cucumber harvest, suggesting further that no real bargaining takes place. Nor is there evidence that nonsignatory members of the sharefarmer's family have accepted Borello's disclaimer of employment responsibilities. The record fails to demonstrate that the harvesters voluntarily undertake an "independent" and unprotected status.
fn. 15
Sharecropper farm workers may sound like a somewhat crass comparison, until you realize the workers in this case were actually cucumber harvesters.
Seriously, these standards are now applied accross the board. Sorry to stray a bit here from the tax issue, but other witholding and insurance deductions are also a factor.
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Re: Be An Independant Contractor or Employee?
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Seriously, these standards are now applied accross the board. Sorry to stray a bit here from the tax issue, but other witholding and insurance deductions are also a factor.
No doubt that this is the future direction for corporate clubs and for federal and state tax agencies looking to pay off their deficits. But there is no free lunch - when clubowners start having to pay 'employer's' SSI & medicare tax, state unemployment and worker's comp premiums on every dollar of 'employee' dancer income, the money to cover these expenses has to come from somewhere. The most likely place of course is for clubs to start collecting 50% of every private dance purchased by a customer through the club's cash register, or even requiring that the 'employee' dancers perform private dances for no extra money whatsoever by making it a condition of employment (with the club keeping 100% of money customers spend on private dances).
Of course when 'employee' treatment of dancers finally does decrease the dancer's typical income by 50% in order to cover the taxes and insurance, it's going to remove the vast majority of incentive - in other words if dancers aren't receiving any extra money for private dances why would they work hard to convince customers to buy them. Then of course a handful of dancers will figure out that the only remaining source of extra money is in fact 'extras' money !
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Re: Be An Independant Contractor or Employee?
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Originally Posted by Melonie
...when clubowners start having to pay 'employer's' SSI & medicare tax, state unemployment and worker's comp premiums on every dollar of 'employee' dancer income, the money to cover these expenses has to come from somewhere...
Good post. As I'm sure you've noticed, I've taken the opposite side of this argument, for a variety of reasons, a number of which are not directly related to wages, such as working conditions. When you spell it out the way you did, however, the various government programs being funded are either currently or projected to be rife with problems. Of course by funding these various programs, the club and "employee" dancer gain tangible security. Unemployment insurance of course has obvious benefits, and in what appears to by a fairly physically risky profession, worker's comp also has a tangible benefit to both parties.
I'm not familiar with the raw financial compensation differences between current IC vs. employee clubs, but it is far from obvious to me that a dancer's takehome income over a 12 month period would be higher under an IC arrangement than as an employee. A variety of business models for paying "employee" dancers is available, and I expect the most optimal one will emerge for each side.
I realize some dancers that travel frequently and work completely uneven schedules vastly prefer the IC model. This business form may in fact be legally appropriate for them. Even so, in my opinion, the independant contractor arrangement should be properly structured to discourage and eliminate capricious manager skimming, a potentially large drain on club capital currently.
Does anyone have an estimate, or even a guess, as to the number of dancer injuries that happen on the job, and the typical "out-of-work" period. If the How common are danjer injuries received at work that leave likelihood of such injuries is high enough, this could be an important justification for converting to employee status. Particularly for dancers that are single mothers, and risk losing custody if they run out of $$$. Getting injured as a single mother dancer that leaves her out of work could be very bad in this situation as an IC.
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Re: Be An Independant Contractor or Employee?
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Does anyone have an estimate, or even a guess, as to the number of dancer injuries that happen on the job, and the typical "out-of-work" period. If the How common are danjer injuries received at work that leave likelihood of such injuries is high enough, this could be an important justification for converting to employee status
I've got to jump in and clear up a couple of de-facto misconceptions first. Where current 'employee' dancers are concerned, in the vast majority of cases the only portion of income actually reported via W2, and therefore used as a base for benefit calculations, is minimum wage. Even though it is not technically correct, most clubs which treat their dancers as 'employees' do not allow dancers to report their private dance or tip incomes - therefore the amount of 'official' income which would be supplemented by unemployment or worker's comp benefits in the event of an injury is laughably low. In other words, a girl earning $150 a week in 'employee' base pay plus $850 a week in undocumented private dance and tip money is not going to be helped much by receiving a weekly unemployment or disability check for $100 ! The only way that the dancer would actually receive a decent sized unemployment or disability check is if the club allowed her to report the $1000 in gross income she actually earns. Of course, a club allowing this would have to pay out probably an additional $80 a week for their employer's share of the dancer's entire gross income (instead of paying just $12 on her minimum wage base pay), plus paying major large unemployment and disability insurance premiums to cover her actual gross income level.
On the flip side is the fact that if that additional $850 in tip/private dance income is documented, all of a sudden the dancer finds herself probably having to pay an additional $300 a week in income taxes. Granted many SW dancers do declare this tip/private dance income anyhow, but many many dancers simply slip it into their purse. Thus in a perverse sort of mentality, some dancers would consider having to take a $300 a week pay cut in order to be decently covered by unemployment and workmen's comp is a seriously bad deal.
Additionally, while broken toes etc. are an occupational hazard, they usually don't prevent girls from dancing. In fact the only major problem which could sideline a dancer for a number of weeks or months is complications as a result of plastic surgery, something which workmen's comp would go to great lengths to disallow.
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Re: Be An Independant Contractor or Employee?
Very illuminating. You've exposed the substitute scam by clubs, but also pointed out some real reasons IC's could be a better option, notwithstanding the "legal compliance" problem.
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Originally Posted by Melonie
I've got to jump in and clear up a couple of de-facto misconceptions first. ... Even though it is not technically correct, most clubs which treat their dancers as 'employees' do not allow dancers to report their private dance or tip incomes
"Do not allow" [compliance with the law]? Wow! I doubt this rule is written down anywhere, however. I had no misconceptions about the flaunting of tax and labor laws by many clubs, but I did make some probably highly unlikely assumptions that this industry would ever come close to a legal structure. Your reality check reminder of typical club modus operandi cured me of this delusion for the moment.
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....Of course, a club allowing this would have to pay out probably an additional $80 a week for their employer's share of the dancer's entire gross income (instead of paying just $12 on her minimum wage base pay), plus paying major large unemployment and disability insurance premiums to cover her actual gross income level.
This $68 inrease in weekly witholding seems by no means justification for the percieved catastrophic revenue gouge that the below analysis describes.
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On the flip side is the fact that if that additional $850 in tip/private dance income is documented, all of a sudden the dancer finds herself probably having to pay an additional $300 a week in income taxes. Granted many SW dancers do declare this tip/private dance income anyhow, but many many dancers simply slip it into their purse. Thus in a perverse sort of mentality, some dancers would consider having to take a $300 a week pay cut in order to be decently covered by unemployment and workmen's comp is a seriously bad deal.
Of course your assertion here is that willfull non-compliance with the tax code is prevalent, and that any "collateral effects" of the switch to employee/employer (such as insurance coverages and other legal protections such as workplace conditions), would be revenue neutral. Possibly, but certainly a reasonable assumption in the short term.
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Additionally, while broken toes etc. are an occupational hazard, they usually don't prevent girls from dancing. In fact the only major problem which could sideline a dancer for a number of weeks or months is complications as a result of plastic surgery, something which workmen's comp would go to great lengths to disallow.
A very important consideration for those offerred the option. IC's can also purchase any number of forms of private insurance coverage. Insurance companies may suck, but the worker's comp system is likely even more screwed up and rife with fraud.
You've successfully made me rethink some of my earlier prosyletizing. The reality no doubt is that no uniform best option exists.
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Re: Be An Independant Contractor or Employee?
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"Do not allow" [compliance with the law]? Wow! I doubt this rule is written down anywhere, however. I had no misconceptions about the flaunting of tax and labor laws by many clubs, but I did make some probably highly unlikely assumptions that this industry would ever come close to a legal structure.
Yes this is a potentially very dangerous situation for dancers who work for such clubs. On the one hand, if they attempt to independently report their private dance and tip incomes on their own tax returns (because their club will not allow them to), the only way they can do this is "technically incorrect" as well - i.e. they must report these tip and private dance earnings as if they come from a separate and distinct IC business, which if discovered during audit could cause problems for both the dancer and the club. On the other hand, if they go along with the club's 'procedure' and don't report their tip and private dance incomes, if discovered during audit the dancer is 100% at fault and the club can take a position of 'plausible deniability' i.e. the dancer never reported to us that she earned tip and private dance income. Either way the dancer loses.
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This $68 inrease in weekly witholding seems by no means justification for the percieved catastrophic revenue gouge that the below analysis describes.
Actually, it would be more like a $300 a week increase in tax withholding, plus a new $80 weekly payout by the club for their 'employer's' share of SSI tax on the dancer's $1000 weekly income, plus probably another $150 weekly payout by the club for state unemployment and disability coverage for the dancer reported as earning $1000 a week rather than $150 a week. Thus following 'proper procedure' would not only take an extra $300 a week out of the dancer's earnings, but it would also take a new $230 a week out of CLUB earnings to pay for her employee benefits at her actual income level (i.e. for coverage which would result in say a $500 weekly unemployment or disability check based on a properly reported $1000 weekly income).
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Of course your assertion here is that willfull non-compliance with the tax code is prevalent, and that any "collateral effects" of the switch to employee/employer (such as insurance coverages and other legal protections such as workplace conditions), would be revenue neutral.
In the real world, a switch to a properly reported employee/employer situation would be very revenue negative from the club's standpoint. It would be revenue neutral from a dancer's standpoint only if she had been properly reporting 100% of her IC income plus paying for her own private IC insurance coverage.
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The reality no doubt is that no uniform best option exists.
We haven't even broached the subject of non-financial consequences to clubs and dancers of the 'employee' arrangement. For example, in most states employees have seniority rights, which encourages older dancers to keep dancing and makes it more difficult for clubowners to staff their clubs with beautiful young new girls. Also, many states have fringe benefit laws which kick in for 'full time' employees, which provides a strong incentive for clubs with 'employee' dancers to limit their allowed working hours to 24 or less per week to avoid mandatory benefit coverage costs to the club.
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Re: Be An Independant Contractor or Employee?
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Originally Posted by Melonie
Actually, it would be more like a $300 a week increase in tax withholding, plus a new $80 weekly payout by the club for their 'employer's' share of SSI tax on the dancer's $1000 weekly income, plus probably another $150 weekly payout by the club for state unemployment and disability coverage for the dancer reported as earning $1000 a week rather than $150 a week. Thus following 'proper procedure' would not only take an extra $300 a week out of the dancer's earnings, but it would also take a new $230 a week out of CLUB earnings to pay for her employee benefits at her actual income level (i.e. for coverage which would result in say a $500 weekly unemployment or disability check based on a properly reported $1000 weekly income).
My $68 increase in witholding figure deliberately ignores the effect of reporting or not reporting income, merely to emphasize that the worker's comp insurance is really a minor impact on regular take-home income, in and of itself. More interesting is what is revealed by your analysis of the club's costs, which are substantial, regardless of what the dancer decides to report. Of course the club faces other compliance issues of mismatched reporting if the dancer complies and they do not, as you mentioned. This is beginning to resemble the cautionary quote: "Oh what a tangled web we weave, when first we practice to decieve."
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In the real world, a switch to a properly reported employee/employer situation would be very revenue negative from the club's standpoint. It would be revenue neutral from a dancer's standpoint only if she had been properly reporting 100% of her IC income plus paying for her own private IC insurance coverage.
What I'm referring to as revenue is the gross revenue of the club/dancer. I'm indirectly implying that improved working conditions and job stability may create a better total revenue stream. It's happened across a wide array of industries. But I'm certainly not sold on these as the only factors.
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We haven't even broached the subject of non-financial consequences to clubs and dancers of the 'employee' arrangement. For example, in most states employees have seniority rights, which encourages older dancers to keep dancing and makes it more difficult for clubowners to staff their clubs with beautiful young new girls. Also, many states have fringe benefit laws which kick in for 'full time' employees, which provides a strong incentive for clubs with 'employee' dancers to limit their allowed working hours to 24 or less per week to avoid mandatory benefit coverage costs to the club.
I do not believe seniority rights are statutory, although age discrimination certainly is. The full and part-time issue is a huge one I had forgotten about. Also, I can see a general issue of consistancy vs. variety from both worker morale and custy spending viewpoints. Which is a higher revenue generator? My guess is some of both, which is problematic for strict employee/employer compliance.
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Re: Be An Independant Contractor or Employee?
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Also, I can see a general issue of consistancy vs. variety from both worker morale and custy spending viewpoints. Which is a higher revenue generator? My guess is some of both, which is problematic for strict employee/employer compliance.
To the best of my knowledge, there is only one club which serves as a potential example - the Lusty Lady in California - which has truly 100% complied with treating their dancers as 'employees' in terms of payroll system and benefits. Coincidentally, the club has gone bankrupt under the original owners, was reopened as an employee owned business (financed by dancer 'givebacks'), and has implemented dancer pay cuts in order to remain in the black.
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Re: Be An Independant Contractor or Employee?
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Originally Posted by Melonie
To the best of my knowledge, there is only one club which serves as a potential example - the Lusty Lady in California - which has truly 100% complied with treating their dancers as 'employees' in terms of payroll system and benefits. Coincidentally, the club has gone bankrupt under the original owners, was reopened as an employee owned business (financed by dancer 'givebacks'), and has implemented dancer pay cuts in order to remain in the black.
I also believe a certain club or group of clubs in Alaska formed a union affiliated with the AFL-CIO, but I have no information about the long term outcome.
I'm sure we both would agree that one or two efforts at substantial reform for a chronic problem business segment is no reason for sweeping proclamations, or abandoning a worthwhile goal.
Just ask the neo-cons...."the experimental, preemptive and unprovoked Iraq Invasion has been a tremendous success, despite a tiny smattering of early problems." Enough spin to make a centerfuge test monkey dizzy.
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Re: Be An Independant Contractor or Employee?
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I'm sure we both would agree that one or two efforts at substantial reform for a chronic problem business segment is no reason for sweeping proclamations, or abandoning a worthwhile goal.
Agreed, I base my sweeping proclamations on a much simpler theory - financial incentive. Working as an independent contractor allows a dancer to keep the vast majority of the 'fruits of her labors', whereas working as an 'employee' removes a significant portion of those 'fruits' if she is very beautiful and works very hard, while mitigating her 'losses' if she is not so beautiful and/or not into hustling.
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Re: Be An Independant Contractor or Employee?
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Originally Posted by Melonie
Agreed, I base my sweeping proclamations on a much simpler theory - financial incentive. Working as an independent contractor allows a dancer to keep the vast majority of the 'fruits of her labors', whereas working as an 'employee' removes a significant portion of those 'fruits' if she is very beautiful and works very hard, while mitigating her 'losses' if she is not so beautiful and/or not into hustling.
You can just come right out and call me a commie-pinko-faggot. ;) Don't be shy.
Believe it or not we have the same goals.... Except for your offensive beauty-ist and lazyass-ist comments. The ugly and lazyass unfortunates among us deserve equal protection under the law, dammit.