Worker Classification Determination

There are three areas to determine whether you are an employee or independent contractor:

  1. Behavior Control. Facts that show whether the employer has a right to direct and control how the worker does the task for which the worker is hired include the type and degree of:
    • Exercise of direction over time and place and sequence or means of work;
    • Whose instrumentalities (tools or equipment) are used;
    • Engagement of other workers;
    • Whether specific duties are assigned to a specific worker;
    • Instructions that the business gives to the worker; and
    • Training that the business gives to the worker.

  2. Financial control. Facts that show whether the business has a right to control the business aspects of the worker’s job include:
    • Who pays unreimbursed business expenses;
    • The extent of the worker’s investment in facilities or tools used;
    • The extent to which the worker makes the services available to the relevant market;
    • How the business pays the worker (salary or wage vs. fee-based); and
    • The extent to which the worker realizes profit or loss.

  3. Type of relationship. Facts that show the parties’ type of relationship include:
    • Existence and terms of a written contract;
    • Provision of benefits to worker;
    • Permanency of relationship; and
    • Whether the services involved are a regular business activity of the employer.

This site was designed to provide employers with a clear and understandable process to assist them in determining if their workers are employees or independent contractors.

The questions in the evaluation process are derived directly from Wisconsin statutes that govern the classification of workers. We hope this site is helpful both to employers and others involved in worker classification.

Steps to Classify a Worker

This website will guide you through Wisconsin’s worker classification laws. Select the appropriate law(s) to begin the process to evaluate how to correctly classify a worker as either an employee or independent contractor:

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