Change for independent contract payments
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We are announcing a significant change regarding the compensation structure for individuals who currently serve the company in a dual capacity: as both employee and independent contractor for specific, additional projects.
Effective July 1, 2025, all work performed for °ÅÀÖÊÓÆµ by an individual who is also a W-2 employee will be compensated solely through the payroll system as employee wages.
What This Means for You:
- Simplification: This change will simplify the administrative and tax reporting processes for the university by consolidating all earnings under a single employment status.
- Compliance: This move ensures compliance with evolving federal and state guidelines regarding worker classification.
- Compensation: All work currently paid via independent contract (1099 form) will be transitioned to an hourly wage or a specific stipended/salaried amount paid through payroll (W-2 form).
- Benefits: Compensation for this work will now be subject to the same withholdings and payroll taxes as your primary employee wages, and may be factored into relevant benefits calculations, such as retirement contributions (where applicable and in accordance with plan documents).
Please direct all inquiries to hraccount@pacificu.edu or a
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