Reporting New Hires - Ohio

[Steve Seitz]

As a relatively new Treasurer for our church, I have recently learned that the State of Ohio requires that new hires be reported to the "Ohio New Hire Reporting Center". Perhaps other states requires this as well. Reporting newly hired employees seems straight forward, but it also appears that "new hires" are also intended to include contractors and service providers (such as snow removal and cleaning services).

Is there anyone out there who is dealing with this that would share their experience?

[JohnDMeyers]

Wouldn't contractors and snow removers be 1099 as opposed to employees? If so, they wouldn't be considered "new hires" by the traditional definition.

[Steve Seitz]

One would think so, but take a look at this webpage and see what you think it says about "employees" and "contractors".

http://newhire-reporting.com/OH-Newhire/instruct.aspx

[JohnDMeyers]

The website holds what I consider "traditional" definitions of employees and contractors.

Employees are on your payroll.

Contractors receive a 1099 statement. PowerChurch allows you check a 1099 box on your Vendors in Accounting / Accounts Payable / setup / Maintain Vendor Records, and then on the second-tab over "Account Information". You will see a check box for 1099.

Set up all of your contractors with the check box checked, and there is a report: Accounting / Accounts Payable / Reports - Accounts Payable, and the last report is "1099 Vendor List".

That should give you easy access to the information you need.

[Steve Seitz]

John - I compared the new hires reporting requirements in your state to the ones in Ohio and they are definitely different. Ohio adds "independent contractors" to the requirements for reporting as new hires.

I was hoping to hear from other Powerchurch users in Ohio about their practices and experiences. Perhaps there are others like me to whom this is "news".

[NeilZ]

John - I compared the new hires reporting requirements in your state to the ones in Ohio and they are definitely different. Ohio adds "independent contractors" to the requirements for reporting as new hires.

I was hoping to hear from other Powerchurch users in Ohio about their practices and experiences. Perhaps there are others like me to whom this is "news".

Steve,

I just looked at the link you listed in your post here of the 27th, and I come up with the same reading as John.

“Contractor” means and individual who provides services to an employer as an independent contractor for compensation that is reported as income other than wages and who is an individual, the sole shareholder of a corporation, or the sole member of a limited liability company. “Contractor” does not include any of the following:

• An individual performing intelligence or counterintelligence functions for a state agency if the head of the agency has determined that reporting pursuant to this section could endanger the safety of the individual or compromise an ongoing investigation or intelligence mission;
  
  
  A professionally licensed person who is providing services to the employer under that license;
  
  
  An individual who will receive for the services provided under the contract compensation of less than two thousand five hundred dollars per year or a greater amount that the director of job and family services establishes by rule adopted under section 3121.896 of the Revised Code.

Under this criteria, if you hire a landscaping service to cut the grass and/or plow the parking lot, they are classified as a Contractor. Same criteria applies to the HVAC guy who maintains your heating and A/C as long as it is an independent firm.

Under this criteria, I would qualify as a contractor:

I am the owner and sole employee of a Limited Liability Company (LLC) that does computer tech support. I would be paid through an invoice, and a 1099 would be sent to me as a contractor.