I found a couple of interesting sites that convert independent contractors from a 1099 to W2 employees. I don’t know what their fee schedule is, but it is definitely an interesting concept. As a W2 employee, you get corporate benefits, while still maintaining your independent contractor status. I find the concept very provocative.


http://www.solow2.com/

http://www.mbopartners.com/#home

Here is a blurb from a plug for MBO Partners: "Basically, you come in as a 1099 and out as a W2 employee of MBO, and can take travel, books, medical, etc expenses out in the business center, thus lowering your W2 value and so paying less taxes. This is also good to show consistent employment if that's important, so even though I have had many different contracts over the years, I show my employer as being MBO Partners for the past 9 years. They do all contract negotiations with your client companies, with your input and approval. They provide Errors and Omissions and Professional Liability insurance as part of the fee structure (at $1M and $5M). You can also put much higher amount of you pre-tax income into a retirement plan than as a regular employee, once again reducing your taxes. Mostly though it allows me to concentrate on my work and no worries about the business end of things, while still maintaining a status as an independent consultant."

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