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    A lot of assumptions being made here.... 1) it is NOT illegal to pay in cash, in fact the law in every state requires the payment of wages in US currency or some other form that can be freely exchanged for US currency such as checks, direct deposit, electronic transfer, etcetera... 2) paying someone in cash does NOT mean that the payments are not recorded and that income tax, social security & Medicare have not been paid. 3) NOT every state requires the employer to provide a "check stub" or wage payment statement 4) not having a W-4 is NOT illegal in and of itself, if an employer has an employees SSN they can withhold and report earnings and taxes based on single with 1 exemption NOW with all that out of the way, is your BIL an employee or is he working as an Independent Contractor? has he TALKED to this plumber about his employment status? is it to his advantage to pursue this? if he accurately tracks and reports his earnings there is no violation on his part, however the plumber is not paying his part of your BILs SS & Medicare ..... how much is your BIL making per hour this way? if he becomes an employee and the plumber takes on these extra expenses and paperwork the plumber would only need to pay him minimum wage. it could be that the plumber and your BIL are both better off with this arrangement... although that may be illegal for the plumber it is not for your BIL.... is it worth rocking the boat? although I personally would want to be an employee, paid correctly with all taxes withheld and workers comp and unemployment insurance coverage, etcetera... but a lot of people are better off working as an IC (as long as they don't get hurt or lose the job for no cause) and prefer it that way. so push the subject or accept it, no one can say what is best for your BIL and for you.....

    Stephen has the right answer. The employer may be doing something illegal--undoubtedly tax evasion. He's getting paid in cash, paying his employees in cash, and not reporting it. That's the employer's problem. Your BIL's responsibility is to declare his income on his taxes and to pay the appropriate taxes. So he should carefully keep track of what he's paid. And then when it comes time to pay taxes, that's his income. If he declares it and pays taxes on it, he's OK. If he wishes to report his employer to the IRS, he can...and probably should. Just recognize, though, that that would definitely "rock the boat." Hope that helps.

    As of July 24, 2007 the Federal Minimum Wage $5.85 an hour. But you are correct in stating that the minimum wage in Massachusetts is currently $7.50 and will be going up to $8.00 in January. So on the surface ti would seem that they are breaking the law, but you are working for a governmental institute, there could be a law that regulates that. Unless you are earning tips, then the minimum wage is $2.63 an hour. You should check in your break room they should have a poster somewhere on the facility stating your rights as an employee. If that poster is not there they are in violation again. Ask a friend to get the phone number off the poster form there work and call to report your situation. Or just search the web for resources.

    The employer is probably doing something illegal, but that's not your BIL's problem. Your BIL must pay the tax on his earnings, himself. After the end of the year, he must file an accurate tax return, and tell the truth about how much money he made. If he wishes, he may try to get the employer in trouble, but if he does that, he will probably lose his job.

    YES very much so at this time in his life BUT. W-4 Employee's Withholding Allowance Certificate www.irs.gov/pub/irs-pdf/fw4.pdf W-4 when you are supposed to be a employee that does have an employer that will withhold the required taxes and report them correctly to the SSA and the IRS and issue out to you a W-2 form after the end of the tax year OK. BUT being paid cash would probably mean that the taxpayer that is paying him with the cash is going to treat him as self employed taxpayer for this purpose and time in his life and he will have to rock the boat to get it done correctly BUT he will probably not have the work available any more either after that RIGHT. The worker has filed Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding, and received a determination letter from the IRS stating they are an employee of the firm. SS-8 Form Form SS-8 (Rev. August 2011) Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding www.irs.gov/pub/irs-pdf/fss8.pdf Hope that you find the above enclosed information useful. 07/04/2013

    What he should fill out is a W-4, not a W-2. It's not illegal to pay in cash if they're taking out the proper taxes - I assume you mean they aren't. He can file form SS-8 with the IRS. Unfortunately, likely he'll lose the job.

    Has your husband asked his boss why he didn't get a w2 and why he is being paid in cash? If the situation is anything like my last job, when I asked my boss if I was going to be on payroll she said no she couldn't afford to. I understood what she was saying. There's Workmans' Comp, Unemployment Insurance, SS, Medicare, state and federal taxes. However I did get screwed out of 4 yrs of SS and Medicare working for her. If your husband doesn't feel comfortable working under the table then he can still work for this guy for a short spell, and in the meantime, look for another job when he can. Got a question or two for you guys to think about. What would happen if your husband gets seriously hurt on the job? If he works for this man for a few years and he gets laid off then what? You wouldn't have a leg to stand on should either situation happen. Yes, it is illegal. If the guy gets caught with no Workmans' Comp or Unemployment he will be fined and he will have to get both insurances. As to federal; fines and penalties, an audit, pay back taxes ,SS and Medicare, pretty much the same with the state. Then your husband would have to come up with his share of taxes, SS and Medicare. It's just not worth it working under the table. Good luck in your life and have good one.

    Paying in cash is Ramer but he has to get a statement showing how the employer got there. If he is an employee, he should be asked for a W-4.

    W4 not W2. Illegal depends on several factors. If he is being paid under the table he can still file his taxes as a self employed person. He is being cheated out of money though.

Stuck I need help with this problem. Please help.?

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