Worker Classification and Payroll Policy

Guidelines for Determining Employee vs. Contractor Status and Payroll Responsibilities.

Determining Worker Classification and Payroll Processing

As the customer of TD Teams and/or TD Staff, you are responsible for identifying and hiring the coaches for your organization's teams. Therefore, it is your responsibility to determine whether those coaches should be classified as employees or independent contractors. Additionally, you are responsible for communicating your classification decision and providing instructions on how payroll should be processed to Tourney Direct via our intake forms for adding a new team or event.

Key Factors to Consider in Worker Classification:
When determining whether a worker is an employee or an independent contractor, consider the following:

  • Payment Negotiation: Contractors typically negotiate their pay or charges for services provided.
  • Job Flexibility: Contractors can accept or decline jobs and decide the order or timing of their work.
  • Self-Marketing: Contractors advertise or market themselves to secure additional work opportunities.
  • Operational Independence: Contractors may hire others, purchase their own materials and equipment, and rent necessary spaces for their work.
  • Project Scope: Contractor work is often project-based, sporadic, or of limited duration, as they operate as independent businesses.
  • Work Scheduling: Contractors generally set their own schedules.
  • Specialized Skills: Contractors bring specialized skills to their work and are not dependent on employer-provided training.

Ultimately, as the employer, you are best positioned to determine whether the coaches you hire qualify as employees or independent contractors.

Conclusion:
The responsibility for accurately classifying workers and adhering to tax and payroll requirements lies with you as the hiring entity. We encourage you to consult with a tax professional or legal advisor if you have questions about worker classification or payroll obligations. Proper classification is essential for compliance with federal and state regulations.