Any part-time or full-time employee would be entitled to overtime pay when they work more than 40 hours in a given week unless they’re classified as exempt per the FLSA. A few federal laws govern your responsibility as an employer to your employees based on the hours they work. Federal regulations don’t define the difference between a full-time and part-time employee, but they do define the difference between a part-time employee and an independent contractor.

Cashiers, babysitters, nannies and customer service representatives do not require any formal educational credential. By contrast, most healthcare jobs require at least a bachelor’s degree and/or a license in order to practice. College students can also find part-time jobs that are aligned with their major, but do not require them to have their degree in hand.

What is the difference between 1099 employees and W-2 employees

When accepting a new job, whether it’s part-time or full-time, it’s important for you to understand exactly what you’re being offered as part of your benefits package. Don’t feel embarrassed about admitting you don’t know what something is. The person at your company who handles human resources will be happy to help. If you don’t end up with a permanent role at the end of the contract, it’s far easier to explain any unemployment. You can also point out that you were professionally active and keeping your skills up to date with short-term employment. Think of a contract-to-hire job as an extended job interview (but with pay!).

First, you might be curious about how you pay contract workers vs. full-time employees. For example, if you have to pay a full-time employee $5,000 per month, but you have to hold 15.3% of FICA taxes, then you would only cut them a check for $4,335 every month. For example, you must withhold income taxes, withhold and pay Social Security and Medicare taxes, and pay unemployment tax on wages paid to an employee.

Build the right workforce and benefits for your business

In order to be eligible for benefits, you must complete this requirement. If you’re working part-time while receiving a partial UI benefit, you are still required to engage in three work search activities each week. If you use Square Payroll, you can pay 1099 employees by logging into contract position vs full time the Payroll section of your online Square Dashboard or Square Payroll app and clicking Pay Contractors. From there you can record a payment that’s already been made or pay by check. While commission-based pay isn’t exclusive to 1099 employees, you may want to track commissions.