Lesson 1How worker status links to wage laws, overtime, and state jobless insurance rulesLooks at how worker status impacts minimum wage, overtime pay, meal and rest breaks, and access to California jobless insurance, plus how wrong classification leads to wage and benefit penalties.
Employee coverage under wage ordersOvertime and double-time classification issuesMeal and rest break obligations and risksCalifornia unemployment insurance eligibilityCoordinating state and federal wage rulesLesson 2Sample contract terms and warning signs to dodge (control words, oversight clauses, must-do training)Gives sample terms that back contractor status and spots risky language like tight control, supervision, required training, and fixed schedules that can weaken independent contractor status in California.
Autonomy and independent business clausesControl and supervision wording to avoidTraining, onboarding and policy referencesExclusivity, noncompete and schedule termsUpdate and review processes for templatesLesson 3How to write contractor deal contracts: tasks, outputs, pay terms, IP rights, protectionsCovers building independent contractor contracts in California, with clear task scopes, outputs, pay setups, IP rights, confidentiality, protections, and terms that keep contractor freedom and limit control signs.
Defining scope of work and deliverablesPayment terms, milestones and expensesIP ownership, licenses and work made for hireConfidentiality, data security and privacyIndemnities, limitations of liability and insuranceAutonomy clauses that limit control signalsLesson 4Record-keeping, checks, and proof practices: deals, task lists, chats, bills, work measuresShows how to build record systems that save contracts, task lists, bills, chats, and work data, and prep for checks or court by showing steady, well-recorded ways.
Core documents to retain and organizeStructuring statements of work for clarityEmail and messaging practices as evidenceInvoice, payment and tax form recordsPreparing for agency audits and subpoenasLesson 5Main legal rules: IRS 20-point guide, ABC test types, Labour Dept economic reality testReviews key legal and rule frameworks, like IRS 20-point guide, federal economic reality test, and California’s ABC test types, showing how each weighs control, reliance, and business freedom.
IRS 20-factor guidance and evolutionFederal economic realities test factorsCalifornia ABC test and exemptionsIndustry-specific statutory carve-outsPrioritizing stricter overlapping standardsLesson 6Daily steps to cut reclassification risks: real business deals, many clients, free scheduling, own billing and payOutlines daily practices for true business-to-business ties, like using contractor firms, multiple clients, own schedules, separate billing, and skipping worker-style oversight, tools, and checks.
Using contractor entities and business licensesEncouraging multiple clients and open marketsIndependent scheduling and location choicesSeparate invoicing, payments and tax formsLimiting supervision and performance controlsLesson 7Basics of common law and legal tests for worker vs contractor (IRS, DOL, state bodies)Introduces common law and legal tests from IRS, US Labour Dept, and California bodies, comparing factors, aims, and enforcement ways for worker vs contractor status.
IRS common law control frameworkDOL economic realities test overviewCalifornia ABC test and key elementsAgency guidance, rulings and opinion lettersReconciling conflicting test outcomesLesson 8Costs of wrong classification: owed wages, payroll levies, fines, jobless and injury claim dutiesCovers money and legal costs of wrong classification, like back pay, unpaid overtime, payroll levies, fines, interest, benefit shares, and jobless insurance plus injury claim risks.
Back wages, overtime and premium payPayroll tax assessments and penaltiesCivil penalties, interest and fee shiftingBenefits, ERISA and fringe claim exposureUnemployment and workers’ comp liabilitiesLesson 9State-based rules: control, business fit, money setups, length, tools and work waysExplains how California checks control, business fit, money risk, tools provided, and job length to split workers from contractors under key state rules.
Behavioral and scheduling control factorsIntegration into core business operationsWorker’s opportunity for profit or lossProvision of tools, equipment and workspacePermanency and exclusivity of the relationship
