After completing onboarding forms online, you will be classified as a W2 Employee instead of a 1099 Contractor. This means that CareLinx by Sharecare will be responsible for deducting and submitting payroll taxes to include federal, state, local, Social Security, Medicare, and unemployment. You will have easy access to your W2 at year end to assist with filing your tax returns.

Your 1099 contract will be terminated and you will receive an offer letter of at-will employment transitioning you over to the new model.

Sharecare is the parent company of CareLinx. We are a leading digital health company that helps people – no matter where they are in their health journey – unify and manage all their health in one place. To learn more, visit www.sharecare.com‍

CareLinx by Sharecare will offer weekly pay every Wednesday, with the option for daily pay. You will still receive the same great pay rates that CareLinx currently offers with the added benefit of now being eligible to earn overtime.

In addition to automatic tax withholding, you are now eligible for overtime pay as defined by the locality in which you work, as well as minimum wage regulations. You may also be eligible for unemployment benefits.
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CareLinx by Sharecare will also offer accrued Paid Sick Time. And starting on January 1, 2023 we will offer medical, dental, and vision insurance for you and your dependents, a 401(k) retirement savings plan, and wellness benefits. More information on eligibility requirements for these benefits will be available soon.

There will be no changes in how you choose your shifts, or when you choose to work. You are still able to work the shifts you want that fit into your schedule and lifestyle. You will receive an offer letter confirming the change in employment status. Please keep in mind that you will not be held to an employment contract and your employment with CareLinx by Sharecare will be at-will.

Yes, absolutely, this change does not limit you from accepting other employment.

Not at this time. CareLinx by Sharecare will require all HCPs in the state of California to move to the W2 model.

Payroll and Tax Withholdings

As an employee (a “colleague”) with Carelinx by Sharecare, you will be paid weekly every Wednesday for the previous week’s work (Monday – Sunday).

      • Direct deposit is available and preferred and can be set up during onboarding. If you do not set up direct deposit, you will be paid by a check that is sent to you.
      • If you do not enter your direct deposit information, a paper check will be mailed to your home address on file in ADP.

As your employer, Carelinx by Sharecare will be required to withhold federal employment taxes (and, in some locations, state and local employment taxes) from your wages.

      • As a new employee, you will complete a Form W-4 (and in some states, a state tax withholding form) to choose the amount of taxes you would like to have deducted from your weekly payroll.
      • The amounts to be withheld from your pay for federal and (if applicable) state and local taxes will be calculated according to your Form W-4 and any state withholding form and will be deducted and remitted to the IRS and the state taxing authority on your behalf.
      • By contrast, independent contractors are ineligible for wage withholding, and must independently report and pay their federal, state and local income and employment taxes to the taxing authorities, generally on a quarterly basis.

Carelinx by Sharecare is also required to withhold from your wages the employee share of federal FICA taxes (Social Security and Medicare). Sharecare is separately responsible for paying the employer share of FICA, which is (for most employees) the same amount as the employee share of FICA. As an independent contractor, you are currently required to pay the equivalent of both the employee and employer shares of the FICA tax as “Self-Employment Contributions Act” or “SECA” tax.

As a colleague, you will receive a Form W-2 in January each year to complete your tax return for the previous year. In January 2023, for 2022 only, you will receive from Sharecare both a Form 1099-NEC, for earnings you received during 2022 as a contractor, and a Form W-2, for earnings you received during 2022 as a colleague.

Once you are a colleague, Carelinx by Sharecare will also provide you with state worker’s compensation insurance coverage, and will make unemployment insurance payments to the federal and state governments on your behalf.

Let’s look at an estimate of how your pay may be impacted when you become a W-2 colleague and cease to be a Form 1099 independent contractor. We assume for purposes of the estimate that you live and work in California, earn $20 an hour, work 30 hours during the weekly pay period, have no other source of income, are not married, and have claimed no dependents on your Form W-4 and one withholding allowance on your Form DE-4 (California State Income Tax Withholding Form). Please note that the figures in the table below are for illustrative purposes only and are not intended to guarantee any particular tax liability.

These estimates illustrate the W-2 colleague will take home $2,386.80 more each year than an independent or “Form 1099” contractor. The difference is largely due to the fact that an employer is responsible for paying half of the FICA taxes for it's employees, while independent contractors must effectively pay both the employee and the employer portions of FICA in the form of SECA taxes.

You will have early access to your earned wages and can transfer the funds available to your account prior to payday. Carelinx by Sharecare has partnered with Daily Pay to provide you with the option to receive pay for your worked hours on demand. Additional details regarding Daily Pay will be provided during our onboarding process.

Employee Benefits

As an independent contractor, you are not eligible to participate in our employee benefit plans.

      • After 90 days, colleagues who have worked an average of at least 30 hours per week will be eligible for our benefits program, which includes health, dental, vision coverage as well as complementary benefits such as life insurance and the employee assistance program. Benefits eligibility is based on actual hours worked over the course of 90 days.
      • Starting the first day of the month following your first 90 days, you will also be eligible to contribute to our 401(k) plan, and Sharecare will match your contributions on a dollar-for-dollar basis up to a maximum of 5% of your eligible pay.
      • As an employee, after 30 days of employment, you will begin to accrue paid sick time

As always, Sharecare reserves the right to amend, terminate and replace its employee benefit programs at anytime in its sole discretion. More information about our employee benefit programs may be found by contacting our HR department at carelinxhr@sharecare.com.

A Final Word . . . This note is intended to provide general information only and is not intended as legal or tax advice. For further information about your transition to employee status, and for details about payroll, our employment policies and our employee benefit programs, please contact carelinxhr@sharecare.com.