TN 12 (02-92)

RS 01402.230 Homeworker Services

CITATIONS:

Act, Secs. 209(a)(8), 210(j)(3)(C).

A. Definitions

1. Homeworker

An employee who personally performs services for pay for another person, according to specifications furnished by that person.

2. Occupational Group Test Employee

  1. a. 

    An employee in one of the following four occupational groups:

    • Agent-drivers or commission-driver.

    • Full-time life insurance sales people.

    • Homeworkers.

    • Full-time traveling or city salespeople, and

  2. b. 

    Who meets, in addition to specific requirements for their particular occupation, all of the following conditions:

    • The worker must be a member of one of the designated occupational groups.

    • The contract must contemplate that the worker performs substantially all of the services personally.

    • The worker must have no substantial investment in facilities for doing the work.

    • The services must be performed in a continuing relationship.

3. Common-Law Employee

An employee who is told what to do, and how, when, and where.

B. Policy

1. Homeworker or Occupational Group Test Employee

If either of the pay tests below is met, then any payment is wages, whether in cash or in a medium other than cash.

  1. a. 

    From 1951 through 1977, cash payments are wages if they total $50 or more in a calendar quarter.

  2. b. 

    Beginning January 1, 1978, cash payments are wages if they total $100 or more in a calendar year.

2. Common-Law Employees

Cash and noncash pay to homeworkers who are common-law employees are wages  regardless of the above stated $50 or $100 cash-pay test.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0301402230
RS 01402.230 - Homeworker Services - 01/30/1999
Batch run: 07/03/2014
Rev:01/30/1999