Engaging Independent Contractors

Services

• The first step takes place with the completion of a Independent Contractor Request form four weeks prior to the expected date of the service.  The determination decision is based upon multiple factors (including supervision given, location of service, etc.).
• All service requests must be reviewed. 
• An approval confirmation email will be sent by Human Resources following the review of the service as to whether the service meets Independent Contractor guidelines.

Contractors

• Human Resources will provide notification via email as to whether or not the individual can be an independent contractor for Miami.
• Miami Employees CANNOT be Independent Contractors. Part-time Classified and Unclassified employees may be able to be hired into a secondary position.
• Former employees must not have a W2 within the same calendar year.
• Students may not be considered independent contractors; they must be employees. Departments who wish to hire undergraduate students and graduate students without a graduate assistantship should contact Student Employment prior to the beginning of the work to set up a student job. Graduate Assistants must petition the Graduate School for permission to work additional hours, then contact Human Resources prior to the beginning of the additional assignment.

Once it’s been determined that the selected individual and the service meet independent contractor qualifications, the Miami department will need to collect some completed forms from the Provider:

• Professional Services Agreement form: This is the agreement between the University and the Provider regarding the expectations of the service to be provided and the amount of the payment. This form should be sent to the Provider, signed by Provider and sent back to department.
• W-9: This form is required to setup the provider in Workday as a supplier prior to issuing payment, and is submitted in Workday to Accounts Payable via the Workday Task “Create Supplier Request”. 
• OPERS form: This form must be completed by provider and sent to department. It will be submitted with the completed Professional Services Agreement to Human Resources or Academic Personnel Services.
• W-8BEN: This form is required in lieu of a W-9 if the supplier is not a U.S. resident. The supplier will also need to provide a Wire Transmission form instead of a Direct Deposit form if their bank is not in the U.S.
• Direct Deposit - no paper checks are available, all payments are done via direct deposit

Visit the Accounts Payable website for blank copies of these forms.

Name of Public Employer: Miami University
Employer Contact: Irena Chushak
Employer Code: 1633 - 00
Phone number: 513-529-6223

After the Independent Contractor is approved, a system-generated email will be sent to the person who submitted that request. That email will include instructions about the collection of forms from the Provider and that they should be submitted (with all signatures on the Independent Contractor Request Form up through the dean/head of office) to the Compliance Analyst.

Human Resources will submit the required OPERS form to OPERS.

The department will submit the W-9/W-8BEN, along with the Direct Deposit Form, to Accounts Payable via the Workday task “Create Supplier Request”.

• Create a supplier request task in Workday. To create a supplier request, log in to Workday and navigate to the "Create Supplier Request" task. If you would like step by step instructions to create a supplier request, you may visit the Canvas Workday System Preview Courses and select "Miami Submitting a Supplier Setup Request" under the Financial Transactions Training Materials table.
• After the supplier is set up, the department will need to send the completed PSA to accountspayable@MiamiOH.edu and include the spend category and cost center that should be used to pay the service provider.

In the event that the service or the contractor may not be designated as an independent contractor and the work will still be performed, you must follow established hiring procedures for Human Resources BEFORE services are provided. This may include the need to complete new compliance documents related to I-9 Employment Eligibility Verification on the first day of employment or re-employment.

1. I need someone to work on a special project or perform specialized services. Could I engage someone as an Independent Contractor?
   1. Maybe. Generally individuals who perform services for Miami are considered employees and should be hired following approved search and hiring procedures. However, there are times when individuals are needed to provide a service that might be categorized as an independent contractor. At Miami, independent contractors are often used to perform short-term services or assignments for the University.
2. How do I accomplish this?
   1. About four weeks in advance of the date of the service, complete the Independent Contractor Request. This form will identify whether or not the service being performed meets that of an independent contractor. Within ten business days the form will be reviewed and the determination will be communicated to the requestor via email. Submitting the Request as soon as you know the service is needed is the best idea – no need to wait until four weeks before the date of service.
3. I know who I want to perform the service; how do I communicate that?
   1. Complete and submit the Independent Contractor Request. Since this form contains someone’s social security number, it is submitted via an encrypted Teamdynamix form. Submit this form as soon as you know who the contractor might be; notification of the contractor’s eligibility will be sent to departmental contact within two business days.
4. What information do I need to collect from the service contractor?
   1. Social Security number; completed OPERS form; completed W-9; resume/vita; OPERS or STRS retirement status, if possible.
5. I received confirmation that the service meets the guidelines as an independent contractor and I’ve now identified a prospective contractor. What do I do next?
   1. Complete a Professional Service Agreement (PSA) with the contractor, resume/vita, OPERS Form*, submit through your unit’s approval process (supervisor/chair/dean) and submit to Human Resources via campus mail (include the approved Determination) at the beginning of the services. The form will be reviewed/approved and returned to the department contact.
6. If Human Resources determines that the individual meets qualifications as an Independent Contractor how do I get him/her paid?
   1. The W-9 or W-8BEN form, along with the Direct Deposit form, need to be uploaded when you create a supplier request in Workday. In order to do this, log in to Workday and navigate to the "Create Supplier Request" task. 
   2. If you would like step by step instructions to create a supplier request, you may visit the Canvas Workday System Preview Courses and select "Miami Submitting a Supplier Setup Request" under the Financial Transactions Training Materials table.
7. Do I submit the OPERS form in Buyway?
   1. No, that is no longer the process. Submit the OPERS form with the PSA and Human Resources will transmit the form to OPERS.
8. I have used this individual to provide services for us in the past, do I have to complete all process steps each time a service is provided?
   1. It depends. As long as the service is within the same 365-day period, you may submit the previously approved Independent Contractor form for consideration.
9. The determination I received was that the service to be provided cannot be designated as independent contractor service? What happens now?
   1. If you continue to want the services, you will need to follow established hiring procedures from Human Resources to recommend the employment of someone to perform this work.