The IRS says “No Blurring Allowed Between Employee and Virtual Assistant”

Posted by Owen McGab Enaohwo

Disclaimer: I am not an attorney or tax accountant, this is my own opinion only and should be taken as such; hence seek professional help regarding the issue discussed in this blog post.

Here’s the issue: If you hire regular employees, the Internal Revenue Service expects you to withhold taxes for them. And in the near future, you might also be expected to buy health insurance for them. If you’re hiring independent contractors, you’re not required to do any of that. And if you’re operating as you should, your virtual assistants will be regards as independent contractors, not employees.  Unfortunately, many companies are starting to blur the line. They’re calling someone a virtual assistant or a contractor, while at the same time, the IRS considers them an employee of the business.

Let me give you an example of one I saw just recently. There is a website that allows businesses to post projects that they need help with. These are things such as graphic design, typing, writing, etc. The website owners claim that the people providing these services are independent contractors or freelancers. But the IRS has begun looking warily at these types of sites, because they offer time management software for the person doing the hiring to use. This program is supposed to be turned on by the writer or designer when he’s working. It allows the person hiring him to monitor him and make sure he’s working when he’s supposed to be working.

Sounds good, right? Sure—except that one of the characteristics that the IRS gives of an employee is that they are required to work very specific times during the day, as dictated by their boss. Contractors on the other hand, have more liberty to set their own hours.

I want to explain to you, using the IRS’s own website, what they consider to be the difference between an employee and a virtual assistant or other contractor.  For future reference, you can see this for yourself on the IRS website at http://www.irs.gov/businesses/small/article/0,,id=99921,00.html.

Click to Continue reading 'The IRS says “No...'

How to communicate daily with your Virtual Assistant – Verifying the deliverables

Posted by Owen McGab Enaohwo

The key to getting things done and achieving your goals when working with a Virtual Assistant is constant Communication. Working with a virtual assistant demands that you keep communication channels open all the time so that nothing you say is ever “lost in translation”. In my previous blog post on hiring and managing your own virtual assistant, I underscored the importance of preparing and setting up the virtual workspace and communication tools needed by the VA to carry out his/her daily activities prior to you actually hiring one.

Assuming that you have finally hired a virtual assistant, established the workspace and have set up the necessary communication tools, let me share some tips with you on how to communicate effectively with your virtual assistant so your expected deliverables and results are delivered on timely.

Communication tools

 

Daily communication between you and your virtual assistant is a must and you need to conscious of the fact that the results that your VA ends up delivering to you are only as good as the systems that you have created for them to use and how well you trained them on using the systems. Granted, the training process might take some time, especially when you newly just hired the VA. This is the reason why constant communication is necessary because you must exhaust all opportunities available to make sure that your virtual assistant understands what tasks need to done, the reasons why they need to get done on time and how to get them done in the manner that results in a favorable outcome. Now let us review two communication tools available; Email and Voice Chat and I will highlight how each tool can be used to communicate effectively with your virtual assistant.

Click to Continue reading 'How to communicate daily...'

Deciding How Much to Pay a Virtual Assistant

Posted by Owen McGab Enaohwo

At first, I titled this article, “How Much Should I Pay My Virtual Assistant?” But then, I realized that there are so many different variables that I could not possibly offer a set rate here. So instead, let’s examine the issues that will go into determining how much you will pay a VA.

First, you need to understand that there are different kinds of virtual assistants. Some are simply freelancers that you hire for a very short-term project, such as creating a series of company brochures. But there are also virtual personal assistants who become a more permanent part of your business team. This second person, you’ll probably pay more than the first, simply because you will want her to consider this her “job.”

Obviously, the pay rate will be negotiated by two people. You and the virtual assistant you want to hire; only you can decide how much you can afford to allocate for the job.  And only he can decide if it’s something he can afford to accept and still make enough money to live on.  Hopefully, somewhere in your negotiation is a “sweet spot” that you can reach, where both you and the VA will make a profit.

As you’re deciding what you’ll pay your virtual assistant, keep in points in mind:

Click to Continue reading 'Deciding How Much to...'

How the iPhone 4, combined with Skype and Virtual Assistants just made business Video Conferencing mobile, easier and awesome!

Posted by Owen McGab Enaohwo

In case you were paying attention, two bits of high-tech news might have captured your attention for a few minutes—or not at all. But these two news items are related in a way that might be significant to the future of your small business.

  • Event number one:  Earlier this year, a new version of Skype was released that allows video teleconferencing with multiple parties (FYI – my video interviews with experts were done using Skype for free!).
  • Event number two:  the iPhone 4 will officially be released June 24th of this year, with a front-facing camera and with a feature called FaceTime

Confused what this means for you? The common denominator here is that both companies are focusing more and more on the value of the video conference to businesses. The main purpose of that front-facing camera on the new iPhone is to allow you to see the person that you are talking to—and for them to see you.  Skype, on the other hand, has always allowed you to make and receive video calls, provided only one person was on the camera at a time. Their new version will allow a business owner to see several people at once.

Click to Continue reading 'How the iPhone 4,...'

Sarah Evans on How to use Public Relations and Social Media to promote your small business

Posted by Owen McGab Enaohwo

Audio

This Video Transcript was prepared by the Transcribing HYVeneans™

Click Here To Read The Transcript

Public Relations (PR) is tool that businesses, regardless of their size can use to maintain or improve their public image, increase the public’s awareness of their services, products and so on. That said, many small business owners think that they do not need PR; unfortunately they assume it’s only for the bigger well established companies within their niche or they simply cannot afford it. This view of PR is actually wrong and the reality is that it has become even more accessible for small businesses because of the various social media tools currently available for free. When done correctly, you can essentially create enough buzz around your company to rival the PR campaigns implemented by the big boys.

This is the reason I interviewed Sarah Evans of Sevans Strategy; a Chicago-based public relations and new media consultancy firm which specializes in educating clients on how new strategies and tools can integrate with traditional public relations. I felt the need to interview her so that you can get some insight on how to implement a public relations campaign for your small business. During the interview she explained the following:

Click to Continue reading 'Sarah Evans on How...'