The Mystery Shopper’s Manual

The following is provided as general information about Independent Contractors. It is not legal advice. If you require legal advice, you are encouraged to consult an attorney knowledgeable in this aspect of the law.

As secret shoppers, we typically work as Independent Contractors (ICs), not employees.

There is not a single factor or test that determines whether a worker is an employee or an IC. Saying that someone is an Independent Contractor does not necessarily make it so. There are several things that regulatory agencies, such as the Internal Revenue Service and state tax departments, consider when determining is someone is an employee or an IC. The rules are often vague, and interpretation is up to the agency making the determination.

The IC relationship is spelled out in the Independent Contractor Agreements (ICA) between mystery shoppers and mystery shopping companies. These agreements define the rights and responsibilities of both parties. ICAs often include language relating to the factors regulatory agencies consider when determining if someone is an employee or an IC.

So what does it mean to be an Independent Contractor?

…continue reading What is an Independent Contractor?

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EIN stands for Employer Identification Number. You might think of it as the equivalent of a Social Security Number for businesses. Mystery shoppers are not required to obtain EINs, however, many choose to do so. With all the concerns about online privacy and identity theft, mystery shoppers are more likely than ever to want to protect their Social Security Numbers. Having an EIN is one way to do that. Here is what you need to know about what an EIN is, why you might want one, and how to go about getting one. (It’s faster and easier than you may think.) …continue reading Mystery Shoppers and EINs

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Question from a mystery shopper:

My wife and I are both mystery shoppers and work for many of the same companies. Recently, due to a serious error she made on a report, my wife’s account with one company was deactivated and they told her that she could not shop for them any more.

I guess I understand why they did that, but they also notified me that I can not work for them again, either. I have always gotten good scores on my shop reports. Can they deactivate my account even though I have done nothing wrong? …continue reading Can Mystery Shoppers Be Terminated Without Cause?

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As a secret shopper, you are an independent contractor. That makes you a small business. Investing in your business can make you more profitable in the long run.

The U.S. Treasury has started depositing and mailing stimulus payments to taxpayers. When you receive yours, why not use some of the money to make your mystery shopping business more profitable? That can mean investing in yourself, or in equipment to save time and qualify you for more shops.

Here are some examples of ways you could invest a small portion of your stimulus payment to earn more as a mystery shopper. …continue reading Investing in Your Secret Shopping Business

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