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Saturday, July 30, 2011

Employment Definitions


1099 Employee – A 1099 employee is in most cases a temporary employee (technically, not even an"employee"). Because they are not permanent, they do not need to complete a W-4 or have the employer withhold taxes. They are responsible for paying their taxes directly to the IRS. The IRS requires that the employer report the earnings paid on a form 1099. The IRS would rather put the burden oftax withholding on the employer and therefore has fairly stringent rules regarding when someone can be considered a 1099 employee.
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Corp-to-Corp – Indicates that the employer would prefer todeal directly with another corporation. The main reason for this preference isto avoid some of the potential liability that might exist in dealing with an independentcontractor on a 1099 basis. This would include corporations dealing directlywith other corporations or corporations dealing with individuals who haveincorporated. 

EB-1 – Employment-based immigration category for aliens ofextraordinary ability.

EB-2 – Employment-based immigration category for alienswith advanced degrees or exceptional ability.

EB-3 – Employment-based immigration category for alienswith bachelor's degrees. Most immigrants become residents through thiscategory.

H-1B – Visa for temporary skilled workers (sponsored).

H-4 – Visa for family members of H-1B Visa holder.

Independent – The employer is willing to hire a temporaryemployee on either a 1099 or W-2 Basis.
The IRS classifications of workers are independent contractors oremployees according to the "common law" standard. The common lawstandard holds that if an employer controls and directs, or has the right totell a worker how, when, and where to work, then the worker is an"employee". A worker free from such direction and control can beclassified as an "independent". 

J-1 – Visa for doctors and researcher usually tied to somesort of research grant or exchange program.

J-2 – Visa for the spouse of an J-1 Visa holder.

Job seeker – Candidate looking to better their employmentopportunities. There are three types of Job Seekers:
  •    Announced are Job Seekers that are readyto work in 30 days and appear on the Hot-list.
  •    Passive Public are those Job Seekers thatare not actively looking for a job but would entertain the right opportunity.Passive Public Job seeker names display on the Hot-list, but they will be on thepassive list.
  •  Passive Confidential are those Job Seekersthat do not want anyone to know who they are. Job Seekers can chose to beconfidential and they will show up in the passive list as a confidentialcandidate.

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