Statutory Employee

Statutory Employee

In the United States, a person declared an employee by law. Persons declared to be statutory employees include: full-time life insurance agents, drivers who distribute laundry, meat, produce, or beverages (excluding milk) to customers, individuals who work from home on material provided by an employer, or full-time salespersons who seek orders for resale on behalf of an employer. While statutory employees file their expenses on a Schedule C, they are not considered independent contractors and thus do not pay the self-employment tax.

Statutory Employee

A worker who is treated as an employee for social security and Medicare tax purposes and as self-employed for income tax purposes. The "Statutory employee" box on such a worker's Form W-2 should be marked.
References in periodicals archive ?
Thus, a payroll service company with statutory employees who worked for multiple common law employers had to apply the FICA and FUTA wage caps to the wages paid to each statutory employee by each common law employer.
192) The circuit court dismissed the lawsuit because it determined the plaintiff was the defendant's statutory employee, (193) and, according to sound precedent at the time, any claim filed against a plaintiffs statutory employer was within the division's exclusive jurisdiction.
Domestic Workforce Private Limited takes complete responsibility for all HR administrative activities, statutory employee benefits and compliances for the outsourced resources.
To further complicate matters, a person can be a statutory employee for FICA, FUTA, and Medicare purposes even if she is not an employee under common law rules.
The determination of who qualifies as a statutory employee turns on the facts of the situation.
The first phase will concern about 3,600 of the 8,700, covered by Kesko Pension Fund's statutory employee pension insurance (department B).
There are eight elements of the statutory employee test, which can be found in IRS Publication 15-A.
In their answer, the defendants asserted, inter alia, that Cooke was either the statutory employee of the hospital or a borrowed servant at the time of the accident, and therefore, the exclusive remedy under the Workers' Compensation Act (Act) served as a complete bar to the Cookes' tort suit.
Last year's Box 15 on the W-2 included boxes to indicate a statutory employee, deceased person, pension plan coverage, legal representative or deferred compensation.
The company said that it will begin statutory employee negotiations immediately, and that it expects the measures to have an effect from the second quarter.
Thus, P is a common-law employee of IBC and is not entitled to classification as a statutory employee under Sec.