How do we hire a contractor?

All hiring for your project, whether employee or consultant/independent contractor*, requires prior approval from Community Partners.

Most workers should be classified as employees, not independent contractors. For more information about how to determine whether someone might qualify as a contractor, please click here.

Contractors

To retain an independent contractor, please enter a purchase order/contract in NetSuite.

Please keep the following in mind:

• A current and active contract is required for any contractor or consultant who provides services totaling $2,500 or more.
  
  
• ACH requests received for payments totaling $2,500 or more to contractors/consultants who do not have a current and active contract will be held until the contract is executed.
  
  
• Contracts are not required for independent contractors/consultants who are expected to be paid less than $2,500. However, if at any point total payments to a contractor/consultant exceed $2,500, ACH requests for those payments will be held until a contract is completed.

Quick-Look: What's Needed for Contractors and W-9 Forms

Description                                                        Contract Needed?                         W-9 Needed?

Payments for services $2,500 and over                         Y                                                 Y
Payments for services less than $2,500                         N                                                Y
Honoraria and stipends                                                 N                                                Y
Rent/lease of property                                                  Y                                                 Y                

Form W-9

We are now requiring W-9 forms for ALL non-employees as the IRS may impose fines for missing tax information. In addition:

• A completed (and legible) signed W-9 form must be on file for any independent contractor or consultant, regardless of the amount or the number of times paid during a calendar year.
  
  
• A W-9 is also required for anyone receiving the following types of payments in a calendar year:
• Honoraria
• Stipends
• Rent/leases of property/equipment rental
• Legal fees

*For the protection of all parties involved, contractors/consultants should not begin working until all required documents are submitted to Community Partners. Community Partners may request updated W-9s for all contractors on an annual basis.