1. Employee or Independent Contractor?When the IRS determines if an individual is an employee or a contractor, the IRS considers the level of control an employer has over the work of the person. Three major areas are reviewed: (1) behavioral control, (2) financial control, and (3) the person-employer relationship.
   1. Explain each of the three IRS areas of control used to determine if an individual is an employee or contractor.
   2. Identify other types of tests or guidelines that are available to help HR to determine whether an individual is to be classified as an employee or an independent contractor.
2. Pros and Cons to Hiring.Describe in detail two pros and two cons for hiring an independent contractor. Include actual workplace examples, if available.
3. Legal Implications.Identify the specific legal implications for the misclassification of an employee as an independent contractor. Share a real-life story if you are aware of an actual workplace situation.