In an ongoing quest to find the answer to a very detailed question, this is the third in a series. The previous posts, I have outlined the need to hire a commission based sales staff and what compensation should be awarded. This question I ask is about the legal documentation required for commissioned based sales people. I do not want leave Just Math vulnerable to any liability from payroll taxes or other statutory obligations. Of course, we will seek the advice of an attorney and CPA prior to moving forward.
This question is - is it legal to pay a commission only pay structure for outside sales?
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