*This content is not tax, legal, or accounting advice.*
It depends on how your facility treats your agency staff, but based on how most long term care facilities work, probably not.
Whether an employee should be classified a W-2 or a 1099 depends on the degree of control and independence that the employee has.
See the questions below to help you determine if your agency nursing professionals should be classified as 1099 or W-2:
- Who supervises the nurse’s or CNAs work?
- If someone from your team is supervising, controlling, or directing the agency nurse/CNA’s work, then they’d likely be classified as an employee.
- Who sets the nurse’s schedule?
- Do you control when the agency nurse or CNA comes in to work at your facility? Or do they set their own schedule? If you control their schedule, then they’d likely be classified as an employee.
- Who provides training for the CNA or LPN?
- Does your facility provide any training when a new agency nurse starts working there? If you answered yes, then they’d likely be classified as an employee.
- Who specific how tasks are performed?
- If it’s the nurse, then they’re likely 1099. If it’s you, the facility or your staff, then they would likely be classified as an employee.
- Does the CNA or nurse provide a key part of your core business?
- Nurses ARE a key part of NURSing homes! Therefore, they would likely be classified as employees
- Who provides the equipment and tools used at your facility?
- Does the nurse bring their own PPE? Medication? Supplied? Or do you provide it? If you’re providing the tools and equipment, then the agency nurse would likely be classified as an employee.
- Is the agency nurse or CNA working at your facility exclusively?
- If they’re not working at other facilities, then the agency nurse would likely be classified as an employee.
ESHYFT is proud to be an employer of W-2 nurses, because we firmly believe that W-2 is the right classification of per diem nurses and is the approach that is most beneficial to nurses in the long run. Read more on W-2 stance here.