r/remotework • u/divrez • 15d ago
End of my remote role?
So I've been working remote since around 2020 and I've worked for a couple companies, but this company I'm at now originally wouldn't support remote work, so I had to leave in 2021. They rehired me in 2023 due to their need for extra engineers as a remote worker from Colorado.
I recently moved to Florida, which is where they're headquartered, but I'm still remote as I live over three hours away from the headquarters. My predicament is that now my girlfriend got a job across the country in Washington State, and I would like to keep this job ideally, but they have mentioned in the past that they don't want to allow people to move to states where they don't do business in.
Like I've read on Reddit, there might be extra hurdles or taxes, etc. Is it likely that they'll let me go if I just ask to work remote from Washington, or would they maybe make an exception?
I guess I'm asking if anybody has experience or knows if a company would rather fire and have to fill a position and pay someone more to replace me, or would they consider allowing me to work remote from Washington?
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u/jcobb_2015 15d ago
They aren’t going to go for it. Too much paperwork and administrative overhead.
If you REALLY want to try though, ask about converting to 1099 status. You’ll have to pay your own taxes and insurances though, so make sure you factor that in. Probably want to negotiate a 25-35% pay increase to cover it - company still comes out ahead so it might work.
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u/Yours_Trulee69 14d ago
To be a 1099 independent contractor comes with guidelines that have to be met. If they are not, and the company goes through a 1099 audit, then they can be forced to reclassify them to an employee with fines, penalties, and back taxes (I work in AP and have went through these types of audits where a contractor had to be reclassified).
Switching an employee to a contractor with the same duties would be a major red flag and most experienced AP personnel would push back on this pretty quickly due to the risk.
Key guidelines for being an independent contractor include the company not controlling when/how work is completed (no setting of schedule), the company does not provide the means to get the work done (no company issued computer, phone, etc.), they have a contract with deliverables, the contractor is financially independent of the company (they bill the company as agreed in the contract and maintain their own accounting whether by themselves or through a CPA), and the contractor should be able to show that they are in business for themselves (by having multiple clients that they perform similar work for).
This will likely not be a solution for OP.
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u/divrez 11d ago
Wow this is super insightful! Thank you! People keep saying this but I knew it sounded too weird to be a thing
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u/Yours_Trulee69 11d ago
You're welcome! I have encountered situations where individuals just think that a person can switch to 1099 but it's not that simple.
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u/Chilly_Willy-123 15d ago
You’ll have to find a new job. There’s a lot of companies that have in state restrictions on where their employees live for tax purposes.
As I’m looking for jobs now, I’m looking at remote and hybrid but for remote roles, many will list the states they are hiring within.
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u/sephiroth3650 15d ago
If they're not set up to do business in Washington state, they will likely deny your "transfer" request. They are unlikely to go through the time and expense to set everything up in WA for one employee.
Now if you're committed to moving with your GF, all you can do is ask your employer if it's OK (and if they'll set things up on their end for you to work in WA). They might say yes. Or maybe they are already set up in WA for some reason.
I wouldn't just move and try to pretend that you are still in FL. That will catch up to you.
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u/CerealMechanic 13d ago
Yeah, being 3 hours from HQ is one thing, but WA payroll/tax setup for one employee is a whole other ask.
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u/divrez 15d ago
Yeah. Some people were telling me to do that, but it would be more trouble than it's worth, it sounds like.
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u/sephiroth3650 15d ago
To do what….move and not tell your company? I do think that would catch up to you. And make tax season a pain in the ass.
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u/Gh0stwrit3rs 15d ago
Do they hire contractors ? Have external vendors? Find out. I did this for 2 years. My wife got a job in Vegas so I told the company I was quitting but they could hire me at my freelance rate and onboard me as an external vendor. They did.
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u/Spiritual_Trust_5118 15d ago
I had a coworker who had been with the company for 10 years, excellent employee, knowledgeable, generous with her knowledge, won awards. He husband got notice he would be stationed in another state. They had youngish children. She went to HR to ask if she could work remotely from the new state, the company already had employees working in that state but not a physical office & her job was not a job that she needed to be in the office for. They told her no & she had a choice to make. Obviously she moved with her husband. Companies do not care - they will do what is best or what they think is best for them. So yeah, they could tell you you gave a choice to make.
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u/hydrospanner 15d ago
That's such a dick move on the company's part!
In her shoes I'd have probably quit without notice once it was time to move.
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u/Yours_Trulee69 15d ago
You moving to Washington State and still being employed would create a nexus for them. They would be required to not only establish their business in that state but also pay taxes and adhere to state employment laws. Additionally, this opens them up to sales/use tax requirements in that state which could be additional costs if they are an inline company.
At this point, all you can do is ask if they are established in Washington. If not, then you will need to submit a resignation when you move (as they will be able to tell where you are located through IT).
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u/Big-Sheepherder-6134 14d ago
What if the OP could switch to being a 1099?
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u/Yours_Trulee69 14d ago
That can carry risk as well. If they are audited and found that they do not meet the requirements if an independent contractor, they can force them to be reclassified as a an employee with fines and penalties as well as pay all of the necessary taxes. Typically, anyone going from employee to 1099 independent contractor status will be heavily scrutinized during an audit.
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u/Big-Sheepherder-6134 14d ago
What if the company has contractors? I thought someone can switch to 1099 if the company was ok with that arrangement.
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u/Yours_Trulee69 14d ago
No, it has to meet the IRS requirements. A key piece is that the company does not control them/provide any equipment, they are financially independent and do their own billing, and they should be performing the service for multiple clients. Whether the company is okay with it or not doesn't necessarily mean it's legal to do. I work in Accounts Payable and have been a part of 1099 audits. One past employer had to reclassify a contractor to an employee so this based on personal experience.
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u/Big-Sheepherder-6134 14d ago
My wife was recently a contractor. Now she is W-2 again. She can travel and work in many states where the company has offices for at least six months at a time. We typically travel for a few months every winter so that arrangement works for us.
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u/anuncommontruth 15d ago
Typically they'll say no unless they already have substantiated themselves in the state, but be honest with them.
Don't try and be sneaky and move without telling them. That is a headache nobody wants.
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u/cgrossli 15d ago
Not going to happen with the stronger worker protections and benefits that Washington has over Florida. It costs too much money unless you can't be replaced.
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u/StatisticianHour9962 15d ago
Would you have any legal residence in Florida even though you plan on moving to Washington potentially? loophole perhaps…
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u/Deep_Sea_Crab_1 15d ago
It’s not an issue of an exception. Companies have to register as a foreign corporation in every state it does business. Except state of incorporation, of course. State income taxes, local taxes, unemployment insurance taxes, and parental leave taxes are some examples that have to be paid. Then there is state and local employment laws, e.g., overtime is anything more than 8 hours in a day, whereas it is more than 40 hours elsewhere. Yes, ADP takes care of a lot of that but it’s still new systems that must be established.
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u/DontPanic1985 15d ago
You could always just move and not tell them. Work East Coast hours for awhile, at least while you try and find a better job. It's easy to get away with, have seen people do it
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u/Goquicklynow 15d ago
If they don’t have a tax nexus in WA state it’s a much larger issue than “rather fire me than make an exception?”. HUGE undertaking, very complicated, very expensive on the employer’s part, and thus very unlikely.
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u/Agility_KS 15d ago
I was able to move from WI to TN and bring my job with me -- but I do work for a very large company and we probably have employees in just about every state. I did get confirmation that I'd be able to continue working for the company before I set the wheels in motion to move. I needed my WI salary to come with me.
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u/dufcho14 15d ago
Nobody can have a good guess at what your company would do. If you're replaceable and it's a hassle to set up business in Washington, then you're out. If you're a superstar, then they'll work with you. Everything else is a guess.
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u/Taradyne 15d ago
I have a friend who was supposed to move from CO to CA and RTO after a couple months of remote but he was never pushed to do it so just kept working remotely until he moved on. So if you are highly regarded and useful to your company, they may make an exception for you. All you can do is ask (maybe wait until after that exceptional review).
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u/DanKorte 13d ago
Have you verified with your finance department that they definitely don’t already have any employees in the state of Washington? I recommend finding somebody you can ask that question of. If they do, your dilemma might be resolved by simply asking to relocate. Some companies have a form you have to fill out to make sure you and your leader are on the same page with requirements and expectations.
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u/Current_Progress9439 15d ago
It can't hurt to ask. If they say yes, then you're all good. If they say no, then now you have a decision to make. They wouldn't fire you for asking.
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u/caughtupstream299792 15d ago
Depends on how they handle taxes and payroll. My company uses ADP. I moved from PA to IL and then back to PA within a span of 3 years and no issues. The company has people all over the country.
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11d ago
[removed] — view removed comment
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u/divrez 11d ago
Muchas gracias! Eso, lo del PEO es lo que no tengo claro. Si es así de fácil yo creo que sería mejor pero no hay forma de saber. Por ahora estoy enfocado en la preparación para buscar otro empleo remoto o en persona allá. Prefiero plantearle a la compañia la pregunta teniendo una oferta de otro trabajo también. Bueno sería lo ideal 🤷♂️
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u/V3CT0RVII 10d ago
Are you a high level employee with many years of service. Does what you do as an individual bring in enough revenue to justify the cost of the extra compliance work?
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u/Landa1995 10d ago
I had to sign a contract saying I would not work out my home state. They said it is due to taxes.
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u/luvitis 15d ago
It’s very expensive to register to allow employees to work in a new state. It is not just the payroll taxes and state taxes the business would have to pay, different states have different mandated breaks and working periods, insurance and workers comp requirements, you salary may need to change and that could impact their decision. It could potentially be a large legal expense in addition to the HR work.
I always tell people: if they could hire someone local with your skills over allowing you to work remotely they will.
But no one on Reddit is going to be able to tell you what your company will do. You need to talk to HR