Freelancer Management

The adage goes “If you want something done, ask a busy person.” But what about when you’re the one known for getting it all done? Whether you’re managing a massive event or a one-camera production, it’s time to think about multiplying your time. Engaging a partner who specializes in event management works out well for clients and workers alike. That’s because the right partner has all the tools and skills to be efficient in the worker management and payroll pieces of the process. Those skills require a huge learning curve, but when you engage someone who specializes in it, you skip all of that! It’s one of the quickest ways to increase bandwidth. When you delegate the pieces you don’t specialize in, everyone wins. Go ahead: Take some of that time saved to order yourself a World’s Best Boss mug to celebrate your victory.

Easy Events 

The right partner can handle any event, whether you’re payrolling thousands of workers, sending a crew to an NBA game, or something in between. Knowing some of the major details are handled frees you up to focus on other details (of which there are always plenty!).  

Events don’t operate on a nine-to-five schedule and neither do we. The right partner needs to be able to operate with the reality of your schedule. An after-hours phone number to provide speedy answers can come in clutch in time-sensitive situations. Our online system allows clients to take care of just about anything—and at any hour! PayReel handles all the paperwork and the bonus is that we do it without any actual paper. Not having to sift through piles of identical paperwork cluttering up your desk and your headspace makes the process quicker and easier for you and for your workers.

Speedy Payment And Paper-Free Paperwork Makes Happy Workers

Happy workers make smoother events. By managing all the payment details, including the mountains of W-4s, payroll becomes a non-event. Workers submit timecards on Mondays and we pay them on Fridays. When they’re paid quickly, they don’t need to call your office, which frees you up to do your job better. Of course, it also keeps workers happy so they are free to focus on your project and happy to come back for your next event. 

The last thing you need once you’ve hired people is to lose their loyalty on the back-end details. Whether they’re working for one day or over multiple events for months, we make sure workers get paid quickly and accurately so if you want to bring them on again, they’ll be ready to pick up the call.

We’re devoted to making every single client and worker interaction a good one, which makes working with you mighty attractive for workers.

The Bottom Line

In short: the key to multiplying your time is delegating/engaging partners whenever it makes sense. Clients work with PayReel because we make event management easier and free up clients’ time for the things they do best. Our team manage event payroll and payroll taxes and, as the employer of record, we even take on much of the risk associated with a variable workforce. Think you might benefit from hiring a payroll service? Contact us at 303-526-4900.

We’re like anyone else: if there’s not a good reason for red tape, we’ll happily skip it. Sometimes, though, it seems there’s no work without a mountain of paperwork. Still, there’s one thing we know is important enough to require our independent contractors to carry: general liability insurance. We are so serious about it because we want clients to be as successful as possible. It may seem to slow things down up front, but we know it helps our clients pull off the best projects, productions, and events as possible.

Priceless Protection

Like all insurance, it can seem like overkill to carry insurance for just about everything under the sun. That is, until you need it. Once you’re in that position, the benefits are priceless. Keeping certificates of insurance on file positions you for stress-free, penalty-free audits. When an independent contractor doesn’t have coverage, it puts everyone involved at risk of costly audits and potential lawsuits. When you’re tied up in a legal battle or struggling to pay fines, it’s really hard to pull off flawless events, projects, or productions. Insurance protects clients in the event of property damage, audits, and more.

The Bottom Line

Sometimes clients don’t see the value in requiring insurance for what they perceive as low-risk roles, but let’s answer that first question right now and bust a myth while we’re at it: Requiring insurance for every independent contractor protects all parties. There’s no such thing as a low-risk role.

It’s always a good idea to treat your workers right. Aside from just being the right thing to do, it also makes business sense to make onboarding easy and payment quick and accurate. The current labor shortage just makes it extra important because workers have options and you want to be sure that your project is the one that gets priority and they answer the call when you need them. Whether you’re hiring temporary workers for a massive event or a one-camera shoot, having a partner equipped to onboard and pay temporary workers quickly and accurately makes both clients’ and workers’ lives easier.

How to Make Onboarding and Paying Event Workers The Easiest Part of Your Job

It’s simple: Partner with an Employer of Record (EOR). Here are some of the benefits:

• EORs are in position to onboard and pay workers–even thousands of workers– to staff events. They can handle all the details for big and small events alike. 
• They have the systems in place! Here at PayReel, much of the system is automated so you can take care of just about anything…at any hour…with a few taps or clicks. You don’t have to talk to anyone if you don’t want to but humans are available when you do need them. Our Client Relationship Managers are not limited to a nine-to-five schedule either. We have an after-hours phone line so we can be sure to provide speedy answers. 
• Paper-free paperwork. Not having to sift through piles of identical paperwork cluttering up your desk and your headspace makes the process quicker and easier for clients and workers. Paperwork without the paper? Yes, please! 
• EORs are in position to process payments in a speedy manner. In our case, workers submit timecards on Mondays and we pay them on Fridays. When they’re paid quickly, they don’t need to call your office, which frees you up to do your job better. Of course, it also keeps workers happy so they are free to focus on your project and happy to come back for your next event.
• Keeping workers happy means the people you’ve hired once stay loyal. Whether they’re working for one day or for a month, quick and accurate payment ensures that when you’re ready to hire them again, they’ll be ready to pick up the call.
• Not only does an EOR manage event payroll and payroll taxes; as the employer of record, they even take on all risk associated with a variable workforce.

The Bottom Line

The bottom line is that, by managing all the payment details, including the mountains of W-4s, an established EOR makes payroll a non-event. Here at PayReel, we’re devoted to making every single client and worker interaction a good one. Clients who put on events say they work with us because we make their lives easier. Think you might benefit from hiring a payroll service? Here’s a handy guide to find out more. Or contact us at 303-526-4900.

According to this report, more than half of freelancers have over 50K in unpaid/late invoices. If you’re one of the clients whose invoice is showing up in the red, you are going to lose favor with your workers. To a big company, that amount may seem like small potatoes, but to smaller businesses, it can be the difference between thriving and staying in business. If you’re quick to pay, you solve one of your workers’ most consistent challenges: cash flow.

No matter what, being a freelancer is hard. Especially at the beginning, when many freelancers operate like a one-man band. They pound the pavement to get work, they do the work, and then sometimes, they have to pound the pavement to actually get paid.

Among the other discouraging statistics, survey respondents reported the following:

• 74% are not getting paid on time
• 72% have outstanding, unpaid invoices
• 59% are owed $50,000+

Here’s How You Can be a Hero to Your Workers

1. Pay a Down Payment

When it makes sense for the type of work, a down payment goes a long way for workers.

2. Guarantee Prompt Payment

Guaranteeing payment in 30 days max can be a game changer. Partnering with PayReel means your employees will be paid on time every single time. Not having to worry about whether your employees are taken care of means you remain in good favor and also that you don’t have to have a whole team to make sure it’s getting done. You already know it is! Make sure you are not the company contributing to someone’s $50K of lost or late payment and by extension, that people are ready to answer your call when you need them.

Hiring independent contractors has many benefits. Companies appreciate the ability to engage only when needed and end engagement whenever it makes sense, outsourcing tasks not related to your core business, have less onboarding hassle, and not having to pay for benefits. It makes sense why engaging independent contractors is often to a company’s advantage, but only when it’s done in accordance with IRS guidelines. Here’s what you need to know to stay out of trouble. 

Let’s Start at the Very Beginning

The very best place to start whenever you’re engaging a worker is to classify correctly from the outset. Whether a worker is classified as an employee or an independent contractor guides what benefits they’re entitled to by law. Legal disputes over worker classification have plagued everyone from Uber to FedEx. Following the rules and classifying correctly from the beginning saves time and the potential for legal troubles. 

Be Ready to Adapt

From workers to legislators, people are thinking about how to manage the evolving employment landscape. Some envision an entirely new system with changing guidelines that suit changing times. Such a system might include “portable benefits” that travel with workers from company to company. 

We can only guess how things will change, but we do expect them to change. Businesses that stay in tune with these kinds of conversations and legal considerations are in position to adapt as those changes come. When that’s not something a company can accommodate, engaging a third party to handle those details makes sense. 

Protect Yourself

There are some basic ways to protect yourself should the IRS ever come knocking. It’s always good business to create a contract with an independent contractor. This is beneficial for the business as well as for the worker as it makes sure everyone knows the expectations. From there, you must keep track of your payments to independent contractors and report them. Finally, while it’s usually unnecessary to withhold income taxes, you may receive a backup withholding notice from the IRS. In that case, you must withhold income taxes as indicated by the notice.

The Bottom Line

The world of independent contractors offers benefits to workers and companies alike. While those benefits do include flexibility for workers and lower costs to employers, they don’t cover things we’ve grown used to such as built-in 401K plans, health insurance options, and worker’s compensation. For many independent contractors, that’s a problem.

Currently, there is no roadmap telling you how to pay contractors fairly while keeping costs down. The good news is that we at PayReel have been on this road long enough to navigate it legally and ethically. If you can’t (or just don’t want to) keep up with the rules and developments, PayReel can keep up for you. Check out this handy guide to see if you might benefit from having a third party handle these details for you. Our team manages worker classification, payroll, and payroll taxes. In addition, as the employer of record, we even take on all risks associated with a variable workforce.

Going above and beyond in the ethics department isn’t just a warm and fuzzy notion. It’s a sound business decision, too. 

Clients tell us they grapple with worker classification over and over. They wonder whether workers should be treated as W-2 employees or as 1099 independent contractors. It can be a complicated subject and every time the game changes, the rules change, too. Fortunately, with brand ambassadors, it can quickly become simple. The answer comes down to the way you answer one question. 

How Does The IRS Distinguish Between an Independent Contractor And an Employee?

One of the most foundational questions the IRS considers is how much control the employer has over a worker’s schedule, payment, and other aspects of their job. The greater control the employer has, the more likely the worker will be considered an employee. For example, workers will be considered employees when most of the following statements apply: 

*Clients set expectations for work hours
*Workers perform services and expectations in a certain order (as directed by the client)
*Workers submit reports
*Workers perform their duties onsite at a specific location and for a set event
*Workers are paid hourly rather than on a project basis

Independent contractors, on the other hand, are autonomous workers and are not required to set a schedule (i.e.: show up at a specific time for a specific event) or perform tasks in a certain order. They are also often paid on a project basis rather than hourly. 

Where do Brand Ambassadors Land And Why Do Companies Care?

The above description for an employee usually applies to brand ambassadors. Their work simply does not look like the complete autonomy the IRS requires to consider a worker a true 1099 independent contractor.

If the answer really is this simple, why do companies want to justify a different decision? One of the most consistent arguments for attempting to classify any worker as a 1099, regardless how thin the justification, is that it’s cheaper. And it is! At least up front. But if there’s one thing we’ve learned, it’s that the IRS is paying attention. Should you ever get caught misclassifying a worker, you’ll find out it’s not so cheap after all. Aside from the money you risk sinking into paying criminal and civil penalties, you also risk losing credibility along with energy and valuable human resources spent dealing with the issue.

It’s stressful. It’s costly. It’s just not worth it.

The Bottom Line

In most cases, we’d absolutely recommend calling a brand ambassador a W-2 employee. If you need advice on your specific situation, our team knows this stuff inside and out.