What’s Considered Employment?
This information is provided for informational purposes only and does not constitute legal advice or a legal opinion. The examples and descriptions are general guidelines and may not apply to every situation. Individual circumstances may vary, and applicable laws and regulations may change. For specific guidance regarding your situation, please consult a qualified legal professional or the appropriate government agency.
Likely Not Considered Employment (Work, Internship, Training, etc.)
- You and several friends travel out of town and you are the only person with a credit card to reserve a hotel or rent a car. Everyone contributes money for the hotel, car rental, and gas. After all expenses are paid, you have $30 remaining and your friends tell you to keep it.
- Selling personal property after personal use. Examples include selling your condo, house, furniture, or car because you are moving, or selling a textbook after completing a course.
- Attending a conference only as an attendee and receiving reimbursement for actual expenses related to attending the conference. Examples include conference registration, flights, luggage transportation, hotel, shuttle transportation, and daily meals provided as a per diem.
- Winning a monetary prize because you were randomly selected, such as being the one-millionth customer at a store. Entering a contest or raffle (for example, filling out a form or completing a survey) where you might win a prize. Entering a contest, raffle, or focus group where you might receive a small nominal gift card for participation.
Gray Areas That May or May Not Be Considered Employment
These activities may or may not be considered employment depending on the circumstances.
- Frequently seeking out activities where prizes are guaranteed or highly likely. There may be tax implications depending on the total amount received from these activities.
- Infrequently donating blood or plasma. This is often viewed similarly to selling personal property rather than employment. However, it may be questioned if it becomes a regular source of income rather than an occasional act.
- Developing an app as part of a class assignment. Consider:
- What is the intended purpose of the app?
- Who owns the app after development?
- Does the app belong to you or to the university?
- Will you receive any financial benefit from the app?
- Social media influencing. Consider:
- Whether you have been offered or are actively seeking product sponsorship.
- Whether you are paid to review or promote products.
- Athletes participating in Name, Image, and Likeness (NIL) activities or sponsorships.
- Buying rental property and acting as the direct landlord versus hiring a management company and receiving passive income from the property.
- Participation in professional organizations, including:
- Attending local, regional, national, or international meetings, conferences, or workshops
- Presenting papers at conferences or workshops
- Serving as an officer, board member, or committee member
- Coordinating events sponsored by the organization
Consider whether any payment or compensation is received for these activities.
- Volunteering in ways that meet labor law requirements and the Department of Homeland Security definition of volunteer work.
- Babysitting occasionally for a friend in an emergency situation (for example, when their regular babysitter becomes ill) and receiving a restaurant gift card as a thank-you.
- Performing work in the United States but receiving payment overseas, or creating a product in the United States that is sold only overseas.
Very Likely Considered Employment (Work, Internship, Training, etc.)
- Driving for rideshare or delivery services such as, but not limited to, Uber, Lyft, or Instacart.
- Performing services through platforms such as TaskRabbit or Fiverr.
- Regularly offering transportation services to others and charging for those services.
- Actively purchasing property to renovate and resell (“flipping”).
- Buying items such as books, cars, or furniture specifically to resell them for profit.
- Creating items or products to sell, such as jewelry, T-shirts, crafts, or other merchandise.
- Participating in a conference and receiving an honorarium for presenting or participating.
- Engaging in activities that U.S. Citizenship and Immigration Services (USCIS) may consider unpaid employment. An activity is not considered “volunteering” simply because it is unpaid. Labor or tax laws may still apply.
- Regularly providing babysitting services and receiving compensation. Compensation might include money, gift cards, stock options, or other benefits given in exchange for the service.