Chapter 14 of 188% of exam

Nevada Labor & Prevailing Wage

Public-works jobs carry prevailing-wage duties, and worker classification is scrutinized on every project. This chapter covers Nevada prevailing wage and the employee-versus-contractor test.

Prevailing wage on public works

On qualifying Nevada public-works projects, contractors must pay no less than the applicable prevailing wage. Under NRS Chapter 338, the Nevada Labor Commissioner determines and publishes those rates, and contractors on those jobs must pay at least the published rates and keep certified payroll records.

Employee versus independent contractor

The right to control the manner and means of the work - schedule, tools, and methods - makes a worker an employee under the IRS common-law test, regardless of a 1099. A framer paid hourly, told when to report, and given the contractor's tools is an employee, and misclassifying them exposes the contractor to back payroll taxes and penalties.

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