Business and Legal Practices Flashcards

When a massage therapist hires employees, which federal form must new employees complete for income tax withholding purposes?

Answer: Form W-4

Form W-4 (Employee's Withholding Certificate) is completed by new employees to tell the employer how much federal income tax to withhold from paychecks.

Which business structure provides the MOST personal liability protection for a sole massage therapist?

Answer: Limited Liability Company (LLC)

An LLC separates personal assets from business liabilities, offering personal liability protection while maintaining flexibility for a solo practitioner.

OSHA's Bloodborne Pathogen Standard requires massage therapists to:

Answer: Use standard precautions and have an exposure control plan when blood or body fluid exposure is possible

OSHA requires employers to implement standard precautions and maintain an exposure control plan to protect workers from bloodborne pathogens.

A non-compete agreement signed by a massage employee MOST commonly restricts the employee from:

Answer: Practicing massage within a defined geographic area and time period after leaving the employer

Non-compete agreements typically prevent former employees from competing within a specified area and timeframe, designed to protect the employer's client base.

Under ADA (Americans with Disabilities Act), a massage therapy business with 15 or more employees must:

Answer: Provide reasonable accommodations for employees with disabilities

The ADA requires employers with 15 or more employees to make reasonable accommodations for qualified employees with disabilities, unless it causes undue hardship.

The primary purpose of maintaining accurate session notes and business records is:

Answer: To meet legal, ethical, and insurance requirements and protect both client and therapist

Accurate records protect the therapist legally, fulfill ethical obligations, support insurance billing, and ensure continuity of client care.