Independent Contractor vs. Employee


Misclassification of workers is a very hot audit topic. The IRS is investigating employers who incorrectly classify workers as independent contractors when they are really employees. It is tempting for employers to have workers classified as contractors rather than employees—no payroll tax, no worker’s compensation implications, no unemployment and no fringe benefits such as health insurance or retirement plan contributions. In this course, you’ll learn the differences between an independent contractor and an employee, as well as how to correct a misclassification of employees.


Upon completion of this course, you will be able to:

  • Distinguish between an independent contractor and an employee.
  • Utilize the compliance programs available for correcting the misclassification of employees.
  • Determine when to use Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding.
  • Help your clients avoid penalties for misclassifying workers.

Course Details

This course includes an e-book and exam questions to help you earn CPE. CPE is issued after the exam is successfully completed.


Presented by:

How to Earn CPE

To receive credit for this self-study course, you must successfully pass the course exam with a score of 70% or better.

Self-study courses and exams generally expire one year from the date of purchase. The AFTR course expires on December 31 of each year as required by the IRS.

Cancellation Policy

​Because this is an online education offering, it is nonrefundable.

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