📕 x Employee vs. Independent Contractor

All of the following are characteristics of an independent contractor relationship with a broker EXCEPT :

you do not need a license
90% or more of your compensation must come from sales productivity
you must have a written contract with the broker defining the relationship
you assume responsibility for paying your own income tax

When acting as an employee rather than an independent contractor, a salesperson is obligated to

list properties in his or her own name.
advertise property on his or her own behalf.
assume responsibilities assigned by the broker.
accept a commission from another broker.

For many people being an employee is far more familiar and instinctive than being an independent contractor.

true
false

MATCH: Independent contractor

Someone who is retained to perform a certain act but who is subject to the control and direction of another only as to the end result and not to the way in which the act is performed. Unlike an employee, an independent contractor usually pays for his or her own expenses and the employer does not withhold social security payments and income taxes.
A main party to a transaction; the person for whom the agent works.
An agent who is authorized to represent the principal in a specified range of matters.

Determining whether a broker/agent needs an employee or independent contractor should largely be based upon the type of work the assistant would be doing, and the extent of supervision the broker/agent desires to have over the assistant.

true
false

When supervising independent contractors, you can

expect that they comply with laws that affect your business.
restrict the territory in which they can list properties
require that they attend sales meetings.

Alice is an employee of Mid-State Realty Services. She would likely be required to do which of the following?

List properties in her own name
Attend weekly staff meetings at the office.
Accept commissions from referral agents.
Pay for worker's compensation.

A broker would have the right to dictate which of the following to an independent contractor?

Commission rate the person would receive
Number of hours the person would have to work
Work schedule the person would have to follow
Dress code.

📕 x Employee vs. Independent Contractor

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