A community of 30,000 US Transcriptionist serving Medical Transcription Industry

Employee versus IC status - Need opinions

Posted: Sep 17, 2014

I have been a medical transcriptionist for 22 years' and have worked as an employee for most of that time. I am still about 10 years out from retirement and am trying desparately to hang on to my beloved profession of medical transcription, but I am seeing it slip away from me little by little. Companies who hire employees seem to seldom have enough work to go around, harangue their employees through QA, and tie benefits to production. All these things combined are making it difficult, if not impossible, to earn a living and keep benefits that I really need, such as health insurance. My question is, would it be wise to change to IC status and would I be able make enough to afford health insurance through a private policy? Okay, maybe that's 2 questions, LOL, and I'll probably have a lot more as I go through this decision making process. I appreciate any and all input, just don't blast me too hard. And please, don't state the obvious, which would be to get out of medical transcription, because I have been trying desparately for over 4 years to do just that with absolutely no success. Thanks....and fire away!

My experience - Cathy

[ In Reply To ..]
After working for a few companies as an employee and never having enough work and because I needed the extra flexibility, I switched to IC a couple years ago. There are benefits to both statuses. As an employee you can just clock in, work your 40 hours, and be done with it (unless, of course, you work for a company that constantly runs out of work and they expect you to sit at the computer for hours on end and then make up your time later). Employee benefits are nice, especially unemployment in case you are laid off and workers' compensation and disability in case you are injured on the job. I feel a little bit more "under the fire" as an IC knowing that if I lose my accounts I will have no unemployment to fall back on. The biggest benefit of being an IC is the flexibility and being able to work on your schedule. The drawbacks are that it can be hard to manage the workload when it constantly varies and there are no benefits. Pay can also be more tricky. I am often paid late as an IC but was always paid on time by my employer.

I work 4 part-time IC gigs at this point. The good part is that I can take on more accounts so that I do not starve and don't have to sit around with no work. The bad part is I usually work 50-60 hours a week and some days are really crazy when all of my accounts seem to dump a huge amount of work on me all at the same time. I am able to make more money as an IC MT than I could working as an employee MT and constantly running out of work, but after taxes I do not make as much as I used to as a full-time MT before my company was bought out by Nuance.

I can't answer your question about health insurance as, fortunately, my husband can get that through his employer.

Did both for many, many years. Better in-house as employee - anon

[ In Reply To ..]
but those are all gone because hospitals are now not what they were supposed to be. It is not about care anymore...it is about profits.

A big problem with IC is having to buy all your programs and be your own IT person also...so when tax time comes you find you are working for nothing...and no benefits. Maybe if you can equate how a prostitute feels and that all of her hard-earned money goes to her pimp, then we can understand what MTing has become. Just my opinion after 40+ years.

I believe the companies are going to IC for all the experienced MTs who have had to file for early retire, yet still have to work. The MTSOs play their games for profits. They have always found some way to cheat the MT and call it 'business.'

IC v E - ICMT

[ In Reply To ..]
There are two types of IC and you should be clear on which one you're referring to.

There is IC where you go out and find your own clients and the buck begins and stops with you. Trying to find these clients is more and more difficult because you have to make sure you are up to date with technology but it's possible. In this scenario you control your earnings more than any other scenario.

The second type of IC is one where you contract from a contractor (MTSO). I'll tell you right now, you do NOT get paid more than an employee to do this anymore (we used to) and that you do NOT get any more of a guarantee of work than you do as an employee.

If being an employee is an option for you, I'd recommend that way.

As to insurance, I've carried my own for many, many years now because the MT business has never been stable for that purpose. I don't know your status (single/married, kids/no kids etc) but you can get an affordable policy for around $300 a month if it's just you.

There are some tax advantages to being an IC of either type.

Good luck!

I never made enough as IC or Empl to afford insurace - at all ever, last 10 yrs, NM

[ In Reply To ..]
xxx

Thank you, everyone...sm - Need opinions

[ In Reply To ..]
for your thoughtful and kind answers. I guess working as an IC or employee for an MTSO is only different in that, as an employee, the company handles tax accounting, insurance, etc., but that they don't necessarily pay ICs any more than employees. Unfortunately, there are no opportunities in my local area to procure my own accounts. Most, if not all, the doctors' offices have gone to the point and click method of EHR. Besides, I live so rurally that my gas expense to pick up and drop off would be a good chunk of what I would make anyway, and I can't pass up Dollar Tree or Walmart without stopping there, which would gobble up the rest of my check really quickly.

I really want out of this field, not because I no longer like the work but because I no longer like what the MTSOs have done to disseminate our profession, but the local job market is not all that great either. AND, I am finding that an old, gray-headed woman who has "done nothing but sit in her home and type for the last 20+ years" is not exactly a hot commodity on the job market, regardless of what other skills she may have.

Thanks again, everyone. I hope we are all able to find our way out of the rabbit hole before that last shovel of dirt is thrown in on top of us.

Need opinions - Old Pro

[ In Reply To ..]
May I add a thought or two, just in case they might help? First of all, I empathize with your position. I think that the wisest investment you could make would be to sit down with a CPA who specializes in ICs and small businesses. (You don't want someone who, for example, specializes in taking large companies public. You want someone who deals with us "little gals.") Discuss your particular financial situation in detail with him/her and have the CPA outline the pros and cons of IC versus employee. Yes, I know that CPAs are expensive, but truly, if you can get a plan worked out that puts all of the advantages on YOUR side of the table, it is a good investment, plus of which, you can deduct it as a business expense. Everybody's needs and financial situations are different, and it is not prudent to discuss such things in detail on a public board (nor are the details anybody's business). But I think you could make a more informed decision with the support of a good CPA. Whatever you choose, I wish you good luck. I have to say that not a day passes that I do not thank G-d I am old and could retire when I did. I feel genuinely sorry for the MTs who are still in the trenches.

Thanks, Old Pro...sm - Need opinions

[ In Reply To ..]
You bring up some valid points, and I appreciate your suggestion. :)

At 3cpl nobody can afford a CPA. - anon

[ In Reply To ..]
Absolutely right with how there is nothing out there for an experienced gray-haired out-of-shape MT. The days of having your own business are maybe unrealistic also being that you do not drop off and pick up anymore either---you have to be your own IT person also. It also used to be that girls would put up ads in the physician's lounge, yet I believe those days are gone also.

As an IC, CPA cost is tax write off. - nm

[ In Reply To ..]
xdcfv

It is a tax write off, but that does not make it free - nm

[ In Reply To ..]
x

Is ANYTHING free these days? - nm

[ In Reply To ..]
x

Similar Messages:

Nov 23, 2009

I have an interview tomorrow with a company for PT employee status. I have been an IC for many years and love it. I am a bit concerned about going employee as I am used to the flexibility of being able to take time off for my kids' school parties, fall, winter and spring breaks and such without it affecting my job. Can anyone give me a clue as to how employee status works and if some companies are more flexible than others?? I would love to stay an IC, but haven't f ...

May 09, 2011

I have an opportunity from two different companies. One is IC and the other as an employee. I have been an IC for so long. What is the pros and cons of both. TIA ...

Jun 04, 2010

I am considering TTS (Transcription, Technology, and Support) and was wondering what anyone could tell me about their insurance such as rates, etc. Also, I'd like to hear from both IC and employees there. I didn't know which would be the best way to go. Thanks! ...

Mar 01, 2011

Can someone fill me in please. Despite doing this for over 15 years, I still don't understand the "independent contractor" posts. I have always been a straight employee at services. What is the difference and what are the pros and cons? Thanks for your help! ...

Jan 16, 2011

Can anyone tell me if there are any advantages to being an independent contractor versus an employee? I'm worried about being able to set aside taxes if they are not taken out automatically -- I work because I need the money and would prefer to not have to "bank it" for taxes later. Seems like it is getting harder to find employee status jobs thay are not voice recognition / editing positions. ...

Mar 13, 2015

Can someone tell me which position is more financially rewarding? Do ICs get 401k and whatnot? Basically, can someone tell me the differences between the 2? Thanks so much. I am an idiot with money and taxes. ...

Oct 10, 2013

I'm seeing more and more job postings for statutory employee status. I'm trying to figure out what an appropriate line rate request equivalent would be since I would be responsible for withholding income taxes. For example if the traditional employee line rate is 8 cpl for transcription what would I need to request for statutory status? The same or more? ...

Mar 29, 2011

I would like some info regarding what companies provide employee status and what are the terms? how many lines are expected per day or per pay period. Any info would be appreciated - thanks! ...

Jun 04, 2012

if you can do both? I work for a company as employee (takes out taxes, etc.), and was offered a PT job as IC (no taxes out). Can I do both? Do I just claim each one separately on taxes? ...

Aug 02, 2013

...and spaces included... ...

Apr 22, 2014

I was just interviewed but found out they aren't allowed to hire for employee status in the state where I live. After having been an employee for a large MTSO, I wonder why this is the case. Any info regarding this strange practice? ...

Nov 14, 2009

I'm currently working as an employee for a company that I'm really liking. They also offer IC status. Does anyone know if it's possible to have a full-time employee job at the same company as you hold a PT IC status and not have the extra work be OT? I have a PT job at MQ that I'm trying to dump. ...

Nov 18, 2009

Anyone who works for Landmark know the difference between employee status and IC status at this particular company? i.e. line requirements, hour requirements, etc. I know the basic difference. Ive been an IC MT for over 14+ years, but am wondering what the specs are at Landmark in particular. Thanks for any info you may have. ...

Dec 04, 2010

I've been an IC MT for 10+ years and, as such, I have no benefits, but LOVE the flexibility of being able to do what I want/need during the day as long as the work gets done on time. When you are an employee working for an MTSO, do you have any kind of flexibility? If your scheduled work time is 8:00-4:00, do they allow any flexibility for such things as 15 minutes to drop off/pick up your child from school? Or an hour to go to an appt? I see a lot here where there i ...

Jul 07, 2011

I never talk to any other MTs really, just sign on, work and sign off, so I just wanted some feedback from other MTs. First question, if anyone is willing to answer it, how much do y'all make on average weekly? I don't know anyone else in the business and would just like to have something to compare my production to. Second, does anyone out there have employee status??? I see companies offering benefits, PTO and all that great stuff, but i'm assuming you have to be an employee not ...

Feb 02, 2012

I know I have read about this on here, but cannot seem to find an answer. I started with a company as an employee. They paid for training, 2 hours. Now, it's all on production. Is that how it's done? Even if that falls under minimum wage because it will; I am doing VR work. How can anyone take a new job like this? ...

Apr 30, 2012

Who is the best company to work for as an employee without weekends? I used to work for AssistMed but didn't like working the weekends. ...

Mar 01, 2013

reside in the state of CA but work for companies anywhere in the U.S. here is the law on reporting time pay. Can you say massive national lawsuit? ; ) REPORTING TIME PAY This is the law for CA for when you experience OOW/NJA: "Each workday an employee is required to report for work and does report, but is not put to work or is furnished less than half said employee's usual or scheduled day's work,the employee shall be paid for half the usual or scheduled day's work, but ...

Aug 24, 2013

I have a general question for working as employee status. I know everyone's answer will be different depending on which company. I've been an MT for 15 years always as an IC and never could get myself to take an employee status job even having been offered several because the pay was too low, but something to consider as there aren't many companies to pick from anymore. My other option is to just chuck all this and do something else. How do health benefits work for em ...

Jan 19, 2014

Does anyone know if MD-IT hires IC or employee status? Any info on this company would be greatly appreciated. Thank you :-) ...

Feb 12, 2014

or maybe both? I would prefer employee status with a choice of FT or PT (but would accept I.C. if employee were not available). Thanks for any responses. ...

Feb 12, 2015

Wondering about employee vs. IC status at TTS. The whole time counting thing after 4 minutes sounds kind of strange to me. Also, what is QA like there? Do they nitpick everything? I haven't heard from QA again since I was released from full QA with my current job. Unfortunately, looking for a new job because of work dwindling down. I am currently in school for something else, but need a job while I am in school. Any info about TTS would be appreciated. ...

Apr 01, 2015

I know the answer is probably no, but.....Are there any transcription companies who pay hourly rate for transcription versus production? (lol) ...

May 21, 2015

Anybody know which companies besides TTS and Nuance use Escription platform and have employee status? Or even Escription as an IC? Thank you ...

Jan 18, 2011

This is concerning work. There is one question on the questionnaire that asks if I want to be on independent contractor or employee status. Could someone please explain exactly what the difference is and the Pros and Cons of such. Thank you in advance. ...

Apr 27, 2011

Does anyone know if Inscribe LLC offers employee status? They contacted me from the resume board here and I know nothing about them but need a job ASAP. Comments? Concerns? Thank you !!! ...

Jun 27, 2014

For any who have applied to PRN Military Transcription, please remember that if you work on any military/VA accounts, you must have employee status and be paid the wage determination rate for that work, which is an HOURLY rate. This company may have a mix of accounts, and you may be hired initially to work on non-government accounts at a line rate. However, any time you work on an account that has a federal government contract, you have to be considered an employee, not IC, and you have to b ...

Jan 10, 2015

Does anyone know of companies that are basically hiring work from home medical transcriptionists on an employee basis status as opposed to IC. Dealing with calculating taxes and such is a pain for me. Thanks. ...

Jan 29, 2015

nm ...

Mar 13, 2015

Does anyone know if it is legal to not pay at least minimum wage as due to lack of work when you are expected to work anyway? Third-party MT companies are getting rich, and we are being treated very unfairly. I have been doing this for 35 years. I have spent 2 stints, 5-years each, with at-home companies, and they could care less about us. At age 56, I was hoping to retire from the company I work for now, but I cannot make a living. Also, very nontransparent line counting, basically ...