Attn: Everyone!!!!

Any Season

Hope this got your attention. I was reading the new laws that went into effect regarding workman's comp. and it worries me and should worry all of you. I cannot post links to them bc I haven't had 15 posts yet but basically if you are anything but a sole proprietor, you are no longer exempt from workman's comp. That means anyone who operates an LLC and excludes themselves or up to three member officers from comp can no longer do this. Even worse, they are trying to base it on income. This is very alarming considering I feel like I am already overly F'd by Liberty Mutual as it is. I am trying to get an online petition going but would like feedback on proper wording, etc. This effects everyone though, so if you are the one-man-show, that also includes you unless you are a SP.

Senate Bill 92
House Bill 471

tinner666

WC can be a bxtch. In Cal, even SP's that work alone are required to have it. Doesn't make sense. I'm a SP and work alone, and just mailed in my exemption paperwork. Same mess each year to keep my license.

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Frank Slate Roof Repairs, Richmond, Va.

ProWallGuy

Do you really think an online petition will accomplish anything?

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Wallpaper Hanger St. Louis
Digital Murals Installation

Chris Johnson

I believe that law was put in place since quite a few roofers were picking up 'Day Laborers' paying them cash to work on something as dangerous as a roof. Many have fell and been hurt and even a few fatalities.

Unfortunately it only takes a few bad apples to make it a standard across the board law/rule that makes it difficult or unfair for people such as yourself.

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Chris

ApgarNJ

this is for every state? i thought WC was different from state to state.
no way am i going to be able to afford 14 % of my income. i might as well call it quits and pack up shop. what do they expect us small businesses to do? start charging even more than we already do? and then get beat out by the lowballer with no insurance at all? i don't get how we are supposed to make money when we give like 60% of it away in taxes and insurance and other crap. it's crazy i hope this isn't true for NJ.

tnt specialty

Is this a federal law? If so....It's just what the industry needs! I've been writing and suggesting that very thing for many years!

It will definitely separate the men from the boys....Us legit guys will have a better chance at competing price-wise now.

ApgarNJ

but for guys who have a small crew and don't want to have themselves on the policy because they make a lot as the owner, it's not really right. its no about separating the men from the boys. i have wc on employees but was never made to have it on myself. i give away enough of my income as the owner. another 14% is beyond crazy. i already charge enough.

just because the owner doesn't have WC for himself, doesn't mean he's not LEGIT he still has it on his employees. that's what matters. for guys with no employees, it's crazy to make him pay WC on his whole salary.

Putty Truck

I've been thinking about getting it for myself for years now. I have the paperwork and everything, but the payoff is a pittance when compared to my monthly costs.

I'm 50/50 on the deal.

Any Season

Unfortunatly this is a federal and state law now. The NH house made it effective 9/14/07 so actually, anyone not carrying WC on themselves right now is already in violation. The federal part goes into effect on the first of the year. I have already gotten a sketchy 'mid-term' audit form from Liberty Mutual asking for me to list my income and other info. then seperatly list my no. of employees and all their info., then another section regarding if I had any subs and whether I have insurance info on them, and if not to send their personal info. I am also supposed to send a copy of last year's tax return. I thought, 'hmm, I never had to do this before'. I then closely read it again and it leaves you wide open to alot of hassle if you don't word the entire thing properly. Also, regarding the law, my understanding is you need to had WC coverage even if you are the owner unless you never set foot on the jobsite, so interpret it as you will. For me, I guess I could say that I only deliver estimates and manage foreman who complete the job and collect payment for me, while I handle marketing and sales and micromanage from my home office.

Any Season

Also, for all of you that don't have WC already. First, it sucks. Second, you have to pay a huge lump sum up front, then in most cases you are billed over 9 or 10 months. For me I basically have 15K spread over 9 months of payments. Plus for newly insured your MOD level which is how they rate you doesn't go down from the highest possible rate for your trade until you've been insured for 3 years without any claims. For painters the starting rate is around $15/$100 of payroll, for roofers more like $50/$100of payroll. Basically this law was supposed to apply to gov't contractors and they worded it accidently and it now includes everyone. The saddest part is that it hurts the legit contractor, while the scumbag who already doesn't pay still won't. Meanwhile the fines for noncompliance have gone up substantially. Awesome!

Susan Betz

Get a leasing company. List yourself as an employee. This solution works, doesn't require a huge upfront payout, and they only take a percentage of your pay, not your profits. You can take your profits separately, as the company owner. Just get it square with your accountant.

I hate the insurance companies. If there was ever a license to print money, they've got it.

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Fences of Distinction, Ocala, FL
http://www.fencesofdistinction.com

ApgarNJ

insurance companies are scumbags. they love taking your money, but never want to part with it easily. i can't stand how much of our income goes into insurance. i know it's a part of business, but i'm not looking forward to this at all. this will be as expensive as health care is fore me, which i already hate paying. it's ashame when you can't afford to buy a bigger house(me, i live in just under 1000 sq ft, in NJ) or add on a big addition, because of paying for things like healthcare and now soon to be WC. man this gets my blood boiling. i should have the RIGHT to not cover myself on this policy.

the reason they want last years income tax return is because they want to see what you bring in, so you can't lie on the new policy and say you make less.

i might start saying I do tile work, because i do all the tile on my jobs, that rate is 7% here instead of 14-15%. it goes up every year. that is a ton of money if you ask me. especially for roofing, 50% of every 100 bucks, how are guys supposed to make money. all this does it RAISE the amount of money people spend to get simple things done. and then you look like you are overcharging the customer. insurance is the worst part of doing business.

Any Season

How and what goes into forming a leasing company. I tried to research it online and it seems pretty complex. Any info you may have would be great.

Thanks, Jay

Susan Betz

You don't form one, you hire one. They do payroll, taxes, worker's comp, all that stuff, for less of a fee than you'd pay a bookkeeper. Technically, employees work for the leasing company. Realistically, you are a "client company" of the leasing company and retain rights to hire and fire.

The only downside is your liability insurance still considers the leasing company's employees "your" employees, so there's no insurance savings there. But, they'd be your employees anyhow, so you haven't lost anything really.

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Fences of Distinction, Ocala, FL
http://www.fencesofdistinction.com

Any Season

So everything is legit though, even in that my employees would not know the difference? What you are explaining seems kind of like when I ran a college pro franchise in school and they were my employees, but I paid everything to College Pro and they cut the checks so payroll didn't even go through my account.

Any Season

So everything is legit though, even in that my employees would not know the difference? What you are explaining seems kind of like when I ran a college pro franchise in school and they were my employees, but I paid everything to College Pro and they cut the checks so payroll didn't even go through my account. Also, if I am on payroll for like a couple hundred a week I am covered legitimately because I am hiring myself...So the me that it on jobsites is the one that works for the leasing company??

Giftcard

Any Season, this is a new New Hampshire state law not Fed.
http://www.gencourt.state.nh.us/legi...07/HB0471.html

Bone Saw

the idea of paying wc on yourself as an owner/operator llc or sp is f@*king ludacris. I Think its time to wrap it up

Any Season

there is both federal and state

Susan Betz

Yep, that's about it.

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Fences of Distinction, Ocala, FL
http://www.fencesofdistinction.com