Posted by Seth Burgess on Tue, Sep 07, 2010 @ 04:23 PM
When Should an Equine Employer Pay Travel Expenses on the Job?
As an employee, getting to and from home and your job is your responsibility. You should not expect your employer to reimburse you for the expenses of getting to work, and such expenses are not generally deductible when figuring your income taxes. Travel expenses while on the job are a different matter. If your employer asks you to run errands in your personal vehicle, your employer should pay travel expenses based on the miles you travel, not just pay for your gas. If your employer expects you to take your own car to shows, your employer should compensate you in the same way. (If the decision to take your own car is yours, and the employer has offered you another way to get there at the employer's expense, you should not be compensated for taking your car.)
The standard mileage rate for employee business travel reimbursement for 2010 is 50 cents per mile. This rate is set periodically by the IRS. You can get information on the rate and the reporting requirements by searching "standard mileage rate" at
www.irs.gov. Employers do not have to pay this specific mileage rate. However, if an employer pays less than the standard mileage rate, you may deduct the difference between the mileage rate your employer is paying and the standard rate as an unreimbursed employee expense when you figure your federal income taxes. If the employer pays more than the standard rate, you must include the difference as additional income on your federal income taxes.
By the way, mileage reimbursement does not eliminate the need for your employer to pay you your regular rate of pay. If you are being paid by the hour, you are still on the time clock when you are running errands, or traveling to shows, even though you are being paid a mileage rate. Whether you are being paid by the hour or on salary, any overtime rules that apply when you are working at the farm or stable also apply when you are running errands for your employer, or even when you are in your employer's car sleeping on the way to and from a show.
If you are not being compensated fairly for your travel expenses, it is good to be aware. However, it is probably not a good idea to confront your employer about a practice that has been ongoing for some time and that may affect other employees. Wait for an opportunity to discuss this problem in the context of renegotiating your compensation package. Try to work your needs into the conversation rather than confronting the employer with an ultimatum.
Times are hard. Getting more money out of your employer may be more difficult these days. Take our
two-minute five-question survey on the horse industry economy and see instant result on how other folks are feeling about the state of the industry. It's free!
Posted by Seth Burgess on Tue, Aug 17, 2010 @ 04:59 PM
There are no Part Time Horse Jobs - Just Part Time Salaries
We received the following questions from one of our equine job seeker newsletter subscriber:
"I am a groom for a breeding operation(almost 4 years now), as well as take care of the same farm when the owner travels. I groom three mornings a week, I also handle the horses as far as feed, in and out of barn, etc...very hot horses, and not always easy to care for. When the foals come, I help train them, imprint them, etc....if there is a breed show, I help prepare them for the show and also attend. The owner is traveling more and more...and when she travels, I feed in am, pm, and also groom stalls, hay, watch over farm.
However, it is a part time, pay per hour job. I work another job, plus do my own business on the side. I have had friends tell me that they feel the owner is taking advantage of me, as it is just pay per hour....I actually alter my other jobs around her farm to take care of her horses. I do not charge for gas back and forth either. My pay is $XX.XX per hour and this has never gone up. I love her horses, and I am fond of the owner, but I need some advice. I am having financial difficulties and have to get another job...to replace the second job(not the farm job), living here in this expensive area as a single person, is very hard. Can you make any suggestions for me? "
This position involves more responsibility than the average Groom position. This person is taking on the role of a Barn Manager some of the time, particularly when the employer is away. She is right to be exploring the possibility that the employer is taking advantage of her. Employers who hire part time help have a tendency to increase the employee's duties over time and expect them to take on more responsibility without changing their compensation. This is not good personnel management practice, but it usually happens because the employer just doesn't think about it. This employee is actually lucky she is being paid by the hour. Being paid by the hour means she is automatically paid more when she works more hours. The old saying "There are no part time jobs, only part time salaries" refers to situations where employees are hired part-time on a fixed salary, and then the employer increases their work load without increasing their pay. This is just like giving someone a cut in pay when you ask them to do more work that takes more time.
This employee has been working for this employer for four years without any pay increases. It appears that the employer is not accepting responsibility to at least keep up with inflation. By allowing this situation to continue for 4 years, the employee has "trained" the employer into thinking that this is OK. This makes it very hard to suddenly jump up one day and ask for a raise. It is better to address this kind of situation up front. Before you accept a job, when you are negotiating with employers, ask about their policy regarding raises. Do it diplomatically. You might ask if they have a regular time of year that they consider giving raises. Some employers give raises in January each year. By asking this question, you are putting the employer on notice that you won't work for them forever without some sort of opportunity for a pay increase.
So, if you are negotiating for a part time job, it is usually a good idea to be paid by the hour. If the employer is offering you a salary, be prepared to be definite about the hours you will be working and stick to your guns. If the employer wants to increase your hours, be prepared to immediately discuss changing your salary. Don't let your fondness for the job or the employer get in the way of negotiating fair treatment. But, be diplomatic and creative. Work on negotiating an arrangement that is fair for you and for your employer.
For detailed information on compensation in horse industry jobs access our
Salary Study
Posted by Seth Burgess on Thu, Aug 12, 2010 @ 04:07 PM
Slavery was Abolished in 1865 - what about in the horse industry?
We received the following comment from a client:
As an eighteen year old who has been a working student for many years I have one piece of advice. I wish somebody had told me this before I worked for all the trainers I have worked for. Recently I flew to Washington state (from Maine where I live) for a summer job only to be confronted by near slave-labor conditions and a cruel trainer. My advice is this: CONTACTS! Decide who you will work for through recommendations of people you know and respect. There will always be a chance that a position will be exactly what you thought it would be but the chances that it will not be are just as great. The people you know are your best resources. Appreciate them, treat them well and take their advice!
Even though slavery was abolished in 1865, there are employers in the horse industry who don't seem to think the thirteenth amendment to the constitution applies to them. These folks think that all they have to do is call a job Working Student, or Apprentice and this makes it OK for them to pay little or nothing in compensation. Most every job involves some on-the-job training. That does not make it legal to title the job Apprentice or Working Student and pay less than minimum wage. Beware of any position called Working Student or Apprentice. Be sure you are offered an agreement which spells out the skills you will be learning, the qualifications of the person who will be teaching you, and the program of study you will be following. If you are offered a vague open ended job which offers you the opportunity to learn things by just being on the job with knowledgeable people, and you will not be paid at least minimum wage, be sure you understand that this type of position violates federal labor law. If you accept a position like this, be prepared for the possibility that the employer may take advantage of you in other ways too.
Developing and using contacts is an excellent way to avoid being taken advantage of by unscrupulous employers. The more contacts you have and the more you know about various horse industry employers, the greater your chances of finding a good opportunity. For an in-depth look at how to develop contacts and how to decide on the right employer, take a look at the resource pages in
The Career Game. It's free.
Posted by Seth Burgess on Tue, Aug 10, 2010 @ 03:10 PM
15 Step Code of Conduct for Horse Industry Employers
Employers in the horse industry are as diverse as clouds in the sky. There is not a universal standard of conduct that all equine employers adhere to. In many cases, horse industry employers simply don't understand how to manage personnel effectively. Employees are the single most important asset to the success of any equine business. Here is a suggested code of 15 rules for equine employers to follow to achieve the basics of good personnel management:
1. Always have a written job description for each job in your organization. This vastly improves employee understanding of their duties and responsibilities. It also creates a basis for performance evaluation, and termination (if that becomes necessary).
2. Always pay promptly in the amount agreed upon. Employees are not creditors. Set your pay levels realistically.
3. Explain to each employee how their job contributes to the over all mission of your business.
4. Apply policies across the board. Don't have different policies for different employees.
5. Assess employee strengths and weaknesses. Be ready to give praise for strengths and to assist with improving weaknesses.
6. Be ready to repeat instructions patiently or give more detail. Employees are human and may not hear clearly or may forget.
7. Always tell an employee when they have failed to perform in some way and give them a chance to correct the failure. Any person you terminate should know exactly why they have been terminated, because you gave them a chance to correct the problem.
8. Follow employment law including wage and hour laws, and employee/contractor employment status.
9. Avoid illegal discrimination. Judge job applicants based solely on their ability to perform the duties and responsibilities of the job.
10. Listen to employee ideas and concerns. Your employees may be closer to the situation than you are.
11. Pay attention to safety in the workplace.
12. Give employees time off to recharge or to attend to personal matters. One full 24 hour day off per week is a minimum for full time employees. At least two weeks of paid vacation per year for year round employees is advisable. 8-10 paid personal/sick days are a good idea. Without sufficient time off, employee loyalty and productivity will drop.
13. Provide adequate equipment and supplies for employees to do their job.
14. Reimburse employees for business expenses including miles driven for your business in their personal vehicle.
15. Respect employee privacy. Do not enter employer provided housing unannounced or when the employee is not at home. Do not involve yourself in employee personal matters without permission from the employee.
Good compensation does not guarantee a good employee. However, bad compensation DOES guarantee a bad employee. For information on salary, benefits, vacation, housing, and more, take a look at the Horse Industry Compensation Study.
Posted by Seth Burgess on Wed, Jun 02, 2010 @ 04:03 PM
Have you ever run across someone who says they are avoiding employment taxes by hiring their people as contract labor? In most such cases what they are doing is illegal. Aside from you and your family, there are two types of workers on your farm, employees and independent contractors. You do NOT get to choose how you will treat your workers. Federal law makes the choice for you. The question of who is an employee and who is an independent contractor is a matter of law. Internal Revenue Publication 15, The Employer's Tax Guide, says in part: "Generally a worker who performs services for you is your employee if you have the right to control what will be done and how it will be done." Most every farm employee falls into this category even if you give them a certain amount of freedom to make decisions. "Generally, people who are in business for themselves are not employees." Your vet and your farrier are probably in business for themselves and are not employees. They are independent contractors.
Treating workers who are employees under the law as independent contractors is illegal and can result in large fines. Consult IRS Publication 15 for more details. Paying employment taxes is not that hard, and it does not cost a great deal. Besides, it's the right thing to do.
Posted by Seth Burgess on Fri, Mar 05, 2010 @ 12:56 PM
In these tough economic times, equine employers are under a lot of financial pressure. Even when the best financial practices are followed, it is easy for horse job employers to slip into cash flow problems without much warning. When employers who have horse jobs are looking around for ways to conserve cash, it is very tempting for some of them to delay paying their help. After all, the help is not likely to sue or cut off credit. It is also hard for people in horse jobs to object when the alternative is quitting.
It is very easy for people who have jobs with horses to feel sorry for their employer or sorry for the horses and fall into the trap of going along with late or reduced pay. This is a slippery slope upon which employees will quickly teach their employer that it is O.K. to take advantage of them. The best time to handle this problem is the moment it first occurs. Employees are NOT creditors. The vet, the farrier and the feed company might be extending credit, but people in horse jobs should avoid extending credit to employers at all costs.
When your employer comes to you to explain why your pay needs to be delayed or reduced, be ready in advance to state your position. No matter what your employer tells you, your job is on the line and you must be ready to make quick and effective decisions to protect yourself. You will be the best judge of how to proceed in your individual situation, but don't go along with your employer just on the hope that things will be better tomorrow, and don't be complacent about your situation.
In most situations where an employer asks you to take a pay cut, or a delay in being paid, the financial situation is not going to get better quickly. Your best alternative may be to go along temporarily, but immediately start looking for a new job. If things turn around, you don't have to take a new job. Going along temporarily may not mean staying silent. You may wish to say to your employer that you cannot afford to extend credit to him/her, that you have bills to pay too. You may wish to indicate a specific length of time that you will accept the new arrangement. Use your judgment in your individual situation, but don't put your head in the sand and just hope things will get better.
Posted by Seth Burgess on Fri, Feb 19, 2010 @ 03:07 PM
Everybody wants to know what a job pays or what an employee should ask. Salaries and compensation in horse jobs are a touchy subject. With out data, everyone is in the dark. Employers don't know what to pay and applicants don't know what to ask.
Equimax has come to the rescue with the Horse Industry Compensation Study. Compensation is much more than salary. Compensation may include, commissions, bonuses, housing, health benefits, retirement plans, board for horses, meals, or a vehicle to drive. Information on all this compensation for horse jobs in the USA is available in the Horse Industry Compensation Study.
Participate in the study and you can see the results for free! If you don't have time to participate and you just want to see the results, get permanent access to the results for only $19.95, by ordering here.
Don't be in the dark any longer. Find out what the competition is paying or being paid.
Posted by Seth Burgess on Thu, Feb 18, 2010 @ 02:42 PM
Horse industry employers often say they would love to provide health benefits for the jobs with horses, but they just can't afford it. Traditional health insurance is getting more expensive all the time, and it is beyond the reach of many equine industry employers, especially employers with a large staff. On the other hand, nothing means more for horse industry employees than employer provided health benefits. Health benefits even rank ahead of salary.
The good news is that there are all sorts of plans out there, some of which are quite inexpensive. One type of Accident Plan (underwritten by The Hartford Companies, A+ rated) covers an individual or everyone in a family, per person, per any accidental incident on or off the job, up to $5,000 for $19.95 per month. Medical Savings accounts are another way to provide great benefits at a reasonable cost. Even for the more expensive plans, you can split the cost with your employees according to any formula you want.
For a detailed discussion of the options, view this article by Heather Gentry. Employers want their staff to be healthy and on the job as much as possible. Workers want to feel that their employers care about them and will at least share the cost of health benefits. Employers and workers alike should be educated on the options available.