2020 California AB5 and Independent Contractors

3 min read | Written by Jeanette Tan

 
 

On September 8th, California AB2257 was passed that expanded the list of workers that are excluded from some aspect of the bill.

 
 
 
 

The "weekend warriors" still do not qualify as Independent Contractors, however these folks will have an easier time qualifying under the new rules. These rules are retroactive to January 1st.

  • Photographers no longer  have a submission limit

  • Content writers no longer have a submission limit

  • Musicians

A summary of AB2257

The bill from the California legislature website


Original Post 1/20/20

On January 1st, 2020 California AB5 or the "gig worker bill" went into effect. This means that your weekend warriors can no longer qualify as independent contractors because IC's must be a bona fide business. You should have a contract with these folks -- and they should have a business license and other clients. Before AB5, it was easier to give a 1099 to these folks, but with the new rules it will be easier to pay them with a paycheck.

For wineries and businesses in California: As you prepare your 2019 1099s, have a close look at the list to see if anyone should be paid as an employee beginning in 2020. And for any new workers, decide up front if they will be an employee or an independent contractor.

For more details, download our guidelines:

CA AB5 Guidelines

 
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