Film Accounting Glossary
Employer of record
What is the employer of record?
Also called EOR.
The employer of record is the entity legally responsible for a worker's wages, tax withholding, workers' compensation, and employment filings.
On most productions the payroll company acts as employer of record for crew, which is why crew W-2s carry the payroll company's name rather than the production's. It is an allocation of legal responsibility, not a change in who directs the work, and some incentive programs care which entity it is.
Example
A 90-person crew works for the production but receives W-2s carrying the payroll company's name, because the payroll company is employer of record. It files the returns, remits the taxes, and carries the workers' compensation policy.
Figures are illustrative, chosen to show the mechanics rather than to quote market rates.
Where you'll see it
Set by the payroll services agreement. Some incentive programs care which entity it is, so it is worth confirming before a claim is built.
Common mistake
Assuming employer of record is a formality. It determines who files, who withholds, and whose workers' compensation policy applies, and some incentive programs care which entity it is.
Related questions
- Who is the employer of record on a film crew?
- Usually the payroll company, which is why crew W-2s carry its name rather than the production's, even though the production directs the work.
- Why does employer of record matter for tax incentives?
- Some programs test where the employing entity sits or require a local employer, so the arrangement is worth confirming before a qualifying-labor claim is built.