# Hiring first employee question/how to



## Merit (Jul 15, 2009)

Hi Gang--

Any thoughts on this one? I have a legal house cleaning business, and it's time to bring on a part-time helper for myself. I can't wrap my mind around how to do it, though.

I know who I want and what to pay her. I don't know how to do it legally so that the liability she could cause (damages to client) or receive (slip and fall, break her arm) are covered in an affordable fashion.

One day a week I'd have her work approx 6 hours. If all goes well, we'd bump her up to two days, and _possibly _three. I don't forsee more than that anytime in the next 12 months, honestly. I'm not trying to grow currently.

So, it's not feasible to pay workers comp, payroll, etc etc etc for a six-hours- a-week sole employee. That leads me to believe I should look into hiring her through a temp service, but of course that dramatically ups her salary costs. 

Is that what I need to do, or is there another unexplored option? Is there any 'familial breaks' if I were to bring on my sister-in-law instead? 

Any thoughts?

Thanks much!!! 

Merit---Ohio


----------



## acde (Jul 25, 2011)

Check into her being an independent contractor.


----------



## Merit (Jul 15, 2009)

I thought about that, but that would require someone (likely me) buying her own business insurance ($350/year), sales tax id (required for cleaning in Ohio), dealing with getting her taxes paid (she'll be responsible for filing as an independent contractor) and there is a little caveat about contracting under the federal definition that legally requires me to NOT tell her how to do her job, nor set the hours. I'm telling her what needs to be done, not when and how. It wouldn't hold water legally, basically, altho it's certainly been done before in this industry as a way to avoid paying all the payroll, workers comp and such. It's too dangerous and pretty well-defined as a legal bad thing to do.

And it's again a lot of expense for a 6-hour-a-week employee.


Other thoughts? Pretty please??!


----------



## Suburbanhmstedr (Mar 18, 2006)

I use Quickbooks payroll, and it has an option for "pay as you go" worker's comp, which makes it manageable, since your rate is tied to the wages earned this week.


----------



## willow_girl (Dec 7, 2002)

I'm a cleaner, too, and this is the reason I don't have employees. LOL 

I think you have to either go big or stay home. Either line up enough work to justify one (or more) full-time employees, or stay small and solo. The amount you can make off one person working just a few hours a week doesn't justify the hassle, IMO. 

Then you have to worry about your employee stealing your customers. Anyone with half a brain will quickly figure out she can line up her own jobs and make more money than she can working for you! Customers frequently aren't loyal, either -- I do some work for an agency and have had customers ask me to quit and allow them to hire me outright. They have offered to pay me a little more than the agency does, knowing they'll still save a few bucks by doing so. I have refused because I feel that wouldn't be ethical, but you can be sure there are others who would jump at the chance! 

Again, if you have a lot of work lined up, losing a couple of customers might not be a problem, but if you're small ,,,,,. 

I know it's tough to turn away work. When my schedule filled up, I started taking people's names and numbers and putting them on a waiting list. If I ever needed to make more money, I could take on some new jobs at a higher rate and cull some of my current customers, like the seniors citizens who currently receive a discount. But, well, I like all of my people, and I make enough to get by, so I just sorta muddle along. 

Good luck to you in whatever you decide!


----------

