What does financial control refer to in worker classification?

Financial control in the context of worker classification primarily concerns how payments are made to a worker and the economic relationship between the business and the worker. This concept involves assessing whether a worker is treated as an independent contractor or an employee based on how they are compensated.

When establishing the source of payment, it looks into whether the worker is receiving payment directly from the employer (which may indicate an employment relationship) or through another entity, like a client or project funding (which may suggest independent contractor status). The payment source reflects the level of control a business exercises over the worker’s financial and operational activities and can influence decisions regarding tax obligations, benefits, and liabilities.

The other options, such as determining how work is done, managing costs for supplies, and setting a worker's salary, might pertain to the nature of work and arrangements, but they do not directly indicate the financial relationship and control between a worker and a business in classification purposes. Therefore, establishing the source of payment is essential in making accurate determinations regarding financial control in worker classification.