How to pay my employees???

4 replies
Ok so I read a post a couple weeks ago by Claude that made sense about if you hire sales people it will make you work harder. I totally agree as I used to have employees, so always had to be at work on time, set a good example, lead, etc.

Anyways, I put up a bunch of job postings around the country for outside sales reps and am starting to get applications. My question is though how do these sales people collect payment and how do I then pay them? I currently have a Paypal business account...can they use that to collect payment too?

Once they have collected payment do I issue them a 1099? Also, any solid programs you guys use for keeping tabs or holding meetings, etc. I heard yesware was good

Any help would be appreciated
#employees #pay
  • Profile picture of the author Aaron Doud
    I would advise paying a few hundred bucks and talking to a lawyer. Messing up w2 vs 1099 can land you in hot water.
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    • Profile picture of the author vndnbrgj
      Originally Posted by Aaron Doud View Post

      I would advise paying a few hundred bucks and talking to a lawyer. Messing up w2 vs 1099 can land you in hot water.
      I agree completely.
      I am not a lawyer, or accountant... and don't play one on tv.

      If someone is an independent contractor, then they get a 1099.
      However, if that independent contractor works only for you, they are considered an employee. Along with a few other things that can really skew the line between 1099 and W2.

      I think you will do best with just having them as W2 employees, and paying a company to handle it. Someone like ADP or PayChex. They handle all the W2 paperwork and issuing checks to your employees. You just tell them how much to pay the employees. They charge somewhere around $30 a month per employee. Worth every penny to not have to deal with it.
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      • Profile picture of the author Jeremy Bratcher
        Keep it simple and legal, what type of workers do you want: independent contractors or office employees?

        Hiring office employess is more than just getting them a W2 and payroll. They will expect benefits and a healthy base salary. Don't underpay employees, you aren't a Fortune 500 company, pay them a fair wage or excellent benefits.

        Personally, I always post positions explicitly for independent contractors. Sales people love these positions because of the freedom it gives them. Also, you don't have to worry about payroll or benefits. Your contractors will often work harder and longer hours because they understand the work they do creates their paycheck. They are also easier to pay because when they make a sale, you make money so that you never have to say "Sorry, no payroll this week."
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        “The question isn’t who is going to let me; it’s who is going to stop me.” – Ayn Rand
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  • Profile picture of the author sladeryan
    No benefits, no base...they are outside sales reps commission only. Quick books has an easy way of doing it so I'm good to go... Thanks for the tips guys
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