I own a boarding stable and some of my boarders trade their labor for part of their stall rent by cleaning stalls. I have been told that this is not a good practice because of the insurance. Is that correct?

This creates a Workers’ Compensation issue. In order to be properly insured, the boarding stable would need to have Workman’s Compensation.  Even though there is no money being exchanged, the trade has a value and would be considered remuneration. The same would be true for a person receiving a place to live for cleaning stalls, or doing other jobs around the ranch. You would need to declare the value of the board or rent on your payroll report.

Posted in: Equine Business Issues