Moving a worker between W-2 and independent contractor — what we need from you
Last updated: September 1, 2026
Applies to: Staffing partners who need an existing worker engaged under a different classification — most often a 1099 independent contractor becoming a W-2 employee.
Summary: A classification change is a new assignment, not an edit. Send us the end date of the current assignment and the start date of the new one, and we will close the old assignment and open the new one. Time worked from the changeover date onwards is recorded against the new assignment. The worker will have onboarding steps to complete for the new classification before they can enter time.
Why it cannot be changed on the existing assignment
Classification is not a label on an assignment — it determines what the worker signs, which reviews run before the assignment can go live, and how they are paid and taxed. A W-2 employee completes Form I-9, a W-4, and our employment agreements; an independent contractor signs an IC agreement and provides business verification, a W-9, and insurance. The two sets are not interchangeable, so the platform keeps them as separate assignments rather than mutating one into the other. See Job classifications and corp-to-corp — choosing how a worker is engaged for what each classification involves.
Keeping them separate is also what makes the worker's records correct afterwards: earnings before the change belong to the old engagement and earnings after it to the new one, which is what year-end tax documents are built from.
What to send us
Email support@ascen.com with:
The worker's name.
The end date of the current assignment.
The start date of the new assignment, and the classification it should be.
The pay rate and bill rate for the new assignment, even if they are unchanged.
The client and role, if the worker has more than one assignment with you.
Send both dates together. The dates are the part we cannot infer, and they are what decide which assignment a given week of hours belongs to — a gap or an overlap between them is the usual cause of hours landing on the wrong assignment afterwards.
What happens next
We end the old assignment on the date you gave and open the new one.
The new classification's onboarding items are issued to the worker. For a move to W-2 that includes Form I-9 — which must be fully complete, Section 2 included, before any time can be entered.
Depending on the classification, the new assignment may go through review before it can be approved. Independent contractor assignments always carry a worker-classification review; W-2 has the fewest gates. See Creating clients, jobs, and assignments — what's required and what can delay going live.
Once the worker's onboarding is complete, hours from the changeover date onwards are entered against the new assignment.
Things worth planning around
Do not wait until payroll to tell us. If the worker has hours in the changeover week, say which assignment they belong to.
The worker will be asked to sign things again. That is the new classification's paperwork, not a repeat of what they already did. If they query it, point them at How do I know when my onboarding is complete and I can start work?.
A pay-rate change is a separate matter. Rates are not edited on a live assignment — a new rate is handled as a new assignment. If a raise is due shortly after the classification change, send it to us as its own request when you know the date, per Emailing us a new assignment, promotion, or extension — what to include.
A worker moving to IC will need business verification and a certificate of insurance before they can start. Those are the slowest items — start them early. See Insurance requirements for independent contractors.
If the worker has two assignments showing already
That is normal during a changeover: one completed and one active. If the wrong one is active, or hours have gone onto the wrong one, email support@ascen.com with the worker's name and the dates involved and we will move them.