Question

Ignacio owns a small business that employs 12 full-time workers. He has recently been told by his financial advisor that he would benefit financially from adopting a contingent employment strategy. What would ignacio have to do in order to take his financial advisors advice

Answer 1

Ignacio would have to fire some of his full time workers and hire contingent workers.

Contingent workers are independent contractors. So Ignacio wouldn't be responsible for paying employment taxes since contingent workers are responsible for handling their own taxes.