Independent Contractor Law Change – Assembly Bill 5

A small number, a big change for California. It codifies a stricter set of requirements laid out in a California Supreme Court decision regarding the classifying of employees. Simple English: More 1099’s will become W-2’s. You should check to see who lobbied and got exceptions. Doctors, dentists, insurance agents, stockbrokers, lawyers, accountants, engineers, and real estate agents. In my reading I did not see MLO’s. There is a three part test for you. For more information: https://en.wikipedia.org/wiki/California_Assembly_Bill_5_(2019)

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