Certified Payroll Professional Practice Exam

When considering a worker's classification, which factor assesses if the company controls the worker's job behavior and methods?

1. Behavioral factor

2. Financial factor

3. Type of Relationship

4. Statutory guidelines

The correct answer is: Behavioral factor

The correct answer is the Behavioral factor. Assessing if the company controls the worker's job behavior and methods falls under the Behavioral factor when considering a worker's classification. This factor looks at whether the employer has the right to direct and control how the worker performs the specific task, including what tools or equipment to use, where to purchase supplies, and in what order or sequence to perform tasks. This factor helps determine if a worker is an employee or an independent contractor based on the level of control the company has over the worker's job behavior and methods. The Financial factor focuses on aspects such as the extent to which the worker has unreimbursed business expenses, the extent of the worker's investment in facilities or tools, and the worker's opportunity for profit or loss. The Type of Relationship factor examines how the worker and company perceive their relationship, such as written contracts, employee benefits, permanency of the relationship, and whether the services provided are a key aspect of the company's regular business. Statutory guidelines refer to laws and regulations that govern the classification of workers and the obligations of employers in various industries or jurisdictions.