Form W-9 is used by an organization to request the name, address, and Social Security number for an independent contractor who will be providing services to the organization. Another term for an independent contractor would be consultant or freelancer. There's a distinction made between independent contractors and employees. They are treated differently in how their [...]

A general rule is that anyone who performs services for your church is your employee if you can control what will be done and how it will be done. The church should maintain an accurate and current record of employees. If the church pays an individual more than $100.00 during the year, with exception of [...]

Form W-9 is used by an organization to request the name, address, and Social Security number for an independent contractor who will be providing services to the organization. Another term for an independent contractor would be consultant or freelancer. There's a distinction made between independent contractors and employees. They are treated differently in how their [...]

Furthermore, musicians are not independent contractors and their compensation should comply with federal regulations. If the church can control (1) who performs the work, (2) what will be done (the end result), and (3) when it will be done, then the person performing that job is an employee of the church.

If your church incorrectly classifies an individual as an independent contractor, it can be held liable for employment taxes for that worker, plus a penalty. Even worse, you can be liable for some of his taxes! An employee is to be paid using the system of a W-2, which includes withholdings for Social Security and [...]