I recently relocated from Alaska to Hawaii for health reasons, and have been working from a home office for the same company that I worked for in Alaska.
Yesterday, I was informed that due to "Nexus", the company in Alaska would be forced to pay taxes in Hawaii if I were to remain an employee. So, we are in the process of working out an arrangement where I will be a private "contractor" instead of an employee, performing the same duties.
Have any of you gone through a transition like this? I'm curious whether I should form a Sole Propriety or LLC (or S-Corp), whether I need to register my business in Hawaii-or if it's advantageous/legal to register elsewhere.
I'm also not sure how the compensation should be structured, as I'm going from a 40/hr work week with salary+ comission, health insurance, and 401K to... ?
The health plan and 401k will be gone (fully vested 4% match)
I want to avoid any early mistakes that could bite me in the future, and hopefully turn what could be a negative into a positive.
Advice, stories, and experiences welcome!