What if I paid or hired a worker outside of the GigSmart platform?

When you engage with a worker outside the GigSmart platform as a non-W2 employee, you are responsible for paying a $500 Direct Payment fee.

By creating an account and posting on GigSmart, you agreed to our Terms of Use, which includes a Direct Payment Policy.

NOTE: The Direct Payment Policy does not apply for Workers who are hired as W-2 employees. Congratulations on finding a great new employee on GigSmart!

Select the Direct Payments section in your Get Workers profile to start a Direct Payment acknowledgment. Choose the option to create a Direct Payment acknowledgment if you paid a GigSmart worker outside of the app (Cash, Venmo, etc.) or if you hired a worker as a non-W2 employee (contract or part-time) that you met through the GigSmart platform.

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Starting a Direct Payment Acknowledgment will take you to a screen to select which worker you have directly paid or hired as a non-W2 employee. You will be prompted to add the following information:

  • Work location or hiring address
  • Date of payment or hire
  • Payment method to pay the Direct Payment Fee

The worker also can submit a Confirmation Request that they were paid directly by you. In this case, you will receive a notification that a worker submitted a Direct Payment Confirmation Request.

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Any member of your Organization can approve or reject the worker’s confirmation request. If approved, you will be charged the Direct Payment fee of $500. If rejected, you will be required to add a comment about why you rejected the request.

Please note, if the worker submitted the Confirmation Request before 5 PM, you have until 5 PM the following business day to respond. If the worker submitted the Confirmation Request after 5 PM, you have until 5 PM on the second following business day to respond to the request. The request is automatically rejected if you do not respond to the request within the required timeframe.

Keep in mind that when compensating GigSmart workers outside of the GigSmart platform they do not come with all the benefits of GigSmart including our:

  • Occupational Accident Insurance
  • Hired, Non-Owned Auto Insurance
  • Background checks, including continuous checks
  • Timesheet dispute resolution
  • Scheduling support
  • GigSmart's customer service team

Additionally, in accordance with our Direct Payment Policy, in the event your organization does not notify GigSmart within fifteen (15) days that it has Hired a GigSmart worker, you will be obligated to immediately pay to GigSmart $2,500 for each such GigSmart worker your organization has paid directly outside the app as a non-W2 employee. This also may result in your account being unapproved until all such fees have been paid.

The Direct Payment Bonus is only available to workers who have been directly paid or hired on or after January 1, 2023.