Our first U.S. hire sends invoices, but she works only for us and follows our schedule. Should we be more worried about payroll classification?
We called the relationship 'contractor' because it felt operationally simpler, but the facts are starting to look more like a normal employment arrangement. She works on our schedule, uses our systems, and does not really have other clients. As a foreign-owned business, we are especially anxious about getting the first U.S. worker wrong.
I need a practical way to think about whether invoice format is distracting us from the real classification problem. If we need payroll, I want to know before we build more quarters of the wrong habit.
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