Question

days a week. Natalia receives her wages from Carinder Consulting. Is the relationship between Purple Enterprises and Natalia an employer-employee relationship? 2. Kamiyah sits on the board of directors for Iceberg Acoustics. Her responsibilities are limited to board meeting participation. Is the relationship between Iceberg Acoustics and Kamiyah an employer-employee relationship? 3. Drew performs services for Timbersys from his home. He reports to Sakiya, who determines which projects he will work on, what tasks he must complete, and by when his work must be done. Is the relationship between Timbersys and Drew an employer-employee relationship? 4. Chris is 16-years-old. He's decided he'd like to earn spending money. He purchases copies of a popular local shopping news circular, Coupon Cutters, from its publisher, Allpurp Media. He then sells copies in front of his local grocery store and pockets the difference between the purchase and sales price for the circular. Does Chris receive wages from Allpurp Media? 5. Mateo is a salesperson for Griffen Corp. He is compensated entirely by commission. Does Mateo receive wages from Griffen Corp.?

Answer 1

The scenarios presented involve differences between employer-employee relationships and the compensation methods people receive for their work. Natalia and Drew have employer-employee relationships with the entities that pay them. Kamiyah's role as a board member and Chris's work as a reseller do not constitute employer-employee relationships, while Mateo, being paid by commission, does have such a relationship with Griffen Corp.

Step-by-step explanation:

Understanding Employer-Employee Relationships and Compensation

The nature of the relationship between an individual and the entity they work for can vary widely depending on the level of control, the nature of compensation, and the terms of the work arrangement. Here we evaluate different scenarios to determine the nature of the relationship and understand compensation methods.

For Natalia, who performs services for Purple Enterprises but receives her wages from Carinder Consulting, it's clear that Carinder Consulting is her employer, not Purple Enterprises, as the employer is the entity that pays wages directly to the employee.

As Kamiyah sits on the board of directors for Iceberg Acoustics and her duties are confined to board participation, the relationship is typically not considered an employer-employee relationship. Board members are not employees but serve in a governance capacity and are compensated with stipends or fees that are not wages.

Drew's situation with Timbersys suggests an employer-employee relationship due to the control Sakiya has over his work assignments and deadlines, which is typical of an employment arrangement.

Chris, being a reseller of Coupon Cutters, does not have an employer-employee relationship with Allpurp Media, as he is acting as an independent entrepreneur, thus Allpurp Media does not provide him with wages; instead, his earnings come from the profit margin.

Mateo, working on commission for Griffen Corp, does have an employer-employee relationship, as commissions are a form of wages for jobs like sales where compensation is based upon performance.

It is essential to recognize these distinctions to understand legal obligations, tax implications, and ethical considerations surrounding disclosure of such relationships, especially in contexts where payment methods might be unconventional or involve indirect benefits.