starting my own business?

Question

i am beginning to start my own small business, that will employ members of my family. we are all very close. i will be the employer, should i hire them as contractors and let them deal with taxes and things or should i get a business name and pay them a wage?

Answer 1

If they are working full time, they cannot be considered contractors for over 3 months. A better way to do it would be to form a sub S, issue stock, and do profit disbursements.

Talk to an accountant.

Answer 2

YOUR TRAVEL BIZ (YTB)
YTB is an opportunity for any household to start a home-based internet travel business. The best part about it is that YTB does most of the work. All you have to do is refer your clients to your web-site and YTB already has vacation packages or individual tickets/rentals available at the click of a mouse. YTB also allows you to get others involved in their own web-sites and you can create "power teams" of Referring Travel Agents to work with you. The more RTA's you have, the higher your bonuses.

TRAVEL SITE
From your web site, your customers can book travel, buy travel insurance, order flowers, sign up for a weekly e-mail with specials, and more. The prices are comparable, or sometimes better than, to the travel booking engines you see on TV (ie. priceline, travelocity, etc.) All you have to do is send your customer to your site, and you get 60%+ of the commissions. For a detailed on-line video of this portion of YTB click on this link:
www.apassion4travel.com

Marketing SITE
With YTB you also get a marketing site. With this program your can tell others about the company and enroll family and friends. You get bonuses depending on how many active RTA's you have under you. The more RTA's you have, the bigger the bonuses will be. In this program you have the opportunity to become a Director with YTB. As a Director, you get health and life insurance, $2000/ month guaranteed salary, and more.
YTB enables any family to supplement their income simply by telling people about their site. The amount of income depends on how much time you are willing to put into your new business. It could range from a few bucks a month to an income you can live off of. It all depends on you. YTB allows you sign up in two different ways. You can enroll and get both the internet travel site and the marketing site, or you can sign up for only the marketing portion of YTB.
For more information on anything not covered here click on :
www.apassion4travel.com

This will take you to the YTB site where you can review the compensation plan, go over stock prices, view the company presentation, or to find out how to join YTB.

Answer 3

You are starting a small business and already you have grown big enough to hire staff???? O.K. let's say you did, a smart person would have talked to an accountant before they set up their company to find the best tax efficient methods for running a company and dealing with the gov't , re business forms, payroll forms, tax remittance etc.

So don't ask here, pay for Real advice you can count on for where your company is opperating.

Hope you get filthy rich.

Answer 4

Simply Enroll them on Roll and pay Salary to them. Pls ensure that salary of members should be below taxable limit. and in case of contractor you have to deduct TDS. You dont need to get your business registerd untill it comes to a respectable size. for more quesries u and contact me lkc100 at rediffmail dot com

Answer 5

The IRS has definitions of contractors and employees, and their job has to fit the definition of contractor, not employee, if you choose to pay them that way. Incorrectly classifying them could cost you big penalties if the IRS determines you are wrong.

Answer 6

If you haven't yet figured this out I predict your own little business will go down the tubes very quickly.