Possibly. Your clients may require you to carry the coverage so you don't come back after an injury and claim you're their employee rather than their contractor. Though your state may provide an exemption (be sure to properly exercise the exemption if you opt to take it), there are many benefits to comp, such as lifetime medical for work related injuries. If you're hurt & can't work, who will continue to pay your health insurance premiums? Your agent can give you a quote and discuss your situation in detal to make an informed decision.
Contact your state - but just because you're exempt doesn't mean you should forgo coverage. Maybe you want lifetime medical benefits due to a work related injury - maybe you sometimes use subcontractors - talk with your insurance agent first, and if you opt to take the exemption, do so legally. And some of your clients may require you to carry this coverage even if the state says you're exempt.
A self employed contractor general liability ins., Workers comp if a corporation, but whoever is the bond company they should be able to assist in insurance coverage for the company.
You are allowed up to three employees before you have to do workman's comp.
In some states being a sole proprietor with no employees allows you a waiver for the state required workmans comp insurance. However, many large companies as well as state and federal projects will require WC insurance, regardless of the waiver status.
Yes, if your self employed you are responsible for a retirement fund. If no 401k account is created, and you remain self employed you will only have what cash you have in the bank to live on.
i am a small business owner have my own LLC and dont have any employees - i do small landscaping jobs - - a client is now telling me that he will not pay my invoice until i provide him my workmans comp insurance number - can he do that - why does my having or not having insurance have to do with my invoice
If you are injured in the course of self-employment, YOU alone pay your med bills. If unable to work after a work accident, you earn zero income. In many states, the self-employed CAN buy WC insurance from the state employment commission to cover those risks.
of course if you insure yourself and are injured on the clock. You only get compensated for set pay though, so if the business keeps running while your out and you normally just make profits then theres no point
A self-employed (or independent contractor) hair stylist should have personal liability insurance and a business license.
Being paid by on a 1099 basis means you are an independent contractor, basically self employed. The amounts that would be paid by an employer for his employee are now your responsibilty, like the employer portion of FICA (7.56%). However, as someone self employed, you probably aren't covered by WC protection, and certainly not Unemployment, so you won't be making contributions to it. It's probably negotiable. But just because a company pays into WC for you doesn't make you an employee. Many states are "ladder states," meaning liability follows up the ladder until someone can pay. In Texas, General Contractors are required to carry Comp for their subcontractors (who are 1099 workers) who don't have it, or remain liable if they don't (since TX is the voluntary Comp state.) If you can carry your own WC, it may make you more marketable. You can check with those you do work for before you decide.
You need to report all of your income to the IRS whether you are self-employed or not. Anyone who receives at least $400 in self-employment income must file a federal tax return. State rules vary.
A self employed architect is bob the builder
The IRS website offers a lot of information on self employed tax. They describe "who is self-employed", "what are my obligations to paying taxes if one is self-employed" etc.