Entries by Maureen

Part 3 – Are You an Employed or Self-Employed Canadian?

If you were not able to determine the nature of the relationship between the payer and the worker with the first three factors, you have to pursue the analysis. The final factor, ‘integration’, should settle the question.

Integration has to be considered from the point of view of the worker, not the payer.

Where the worker integrates the payer’s activities to his own commercial activities, a business relationship probably exists. The worker is acting on his own behalf, he is not dependent on the payer’s business and he is in business for himself.

Part 2 – Are You an Employed or Self-Employed Canadian?

In my last blog post, I discussed 4 key factors to help you discern whether you would be considered an ‘Employee’ or ‘Self-employed’ according to CRA standards. I also covered the first factor, that of “Control”. This week, I will cover the second and third factors; “Ownership of Tools” and “Chance of profit/Risk of Loss”, factors that you must analyze in your relationship to business or person that pays you.

The following are excerpts from the CRA publication titled “Employee or Self-Employed”? which is no longer available in print or online.

Are you an Employed or Self-Employed Canadian?

Whether you are a Canadian that considers yourself self-employed (independent contractor) in your employment, it’s the CRA that has the final word on how your income and taxes should be reported. That being the case, it is then logical for you to know the criteria guidelines the Canadian Government uses to make those decisions. A couple of years ago the CRA offered a publication titled “Employee or Self-Employed”? which is no longer available in print or online. Some of the details of that publication are outlined below.

3 Canadian Business Structures to Consider

I’m frequently asked by new and current clients if they should incorporate. In most cases the answer is not straightforward as there are a number of issues to consider;

* Is your type of business vulnerable to lawsuits?
* How much control do you want to have?
* Are you planning to re-invest earnings into the business?
* To what degree can you see your business growing?
* Are you aware of the tax implications of the different ownership structures?

Below are the 3 Canadian basic business structures and their description, along with the Pros and Cons of each..

5 Reasons to Outsource Your Bookkeeping

There are so many good reasons to outsource your bookkeeping. Many business owners find looking after the financial side of their business to be a tedious and worrisome task. Here are 5 great reasons to consider outsourcing your bookkeeping.