Portable Benefits Accounts for Independent Contractors and Sole Proprietors

HB 1431 2026

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hb1431-00
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S

A bill to be entitled 1
An act relating to portable benefits accounts for 2
independent contractors and sole proprietors; creating 3
part III of ch. 448, F.S., entitled the "Voluntary 4
Portable Benefits Act"; creating s. 448.31, F.S.; 5
providing a short title; creating s. 448.32, F.S.; 6
providing definitions; creating s. 448.33, F.S.; 7
authorizing certain parties to make voluntary 8
contributions to portable benefits accounts for 9
independent contractors and sole proprietors; 10
providing requirements for such contributions; 11
providing an effective date. 12
13
Be It Enacted by the Legislature of the State of Florida: 14
15
Section 1. Part III of chapter 448, Florida Statutes, 16
consisting of ss. 448.31, 448.32, and 448.33, Florida Statutes, 17
is created and entitled the "Voluntary Portable Benefits Act." 18
Section 2. Section 448.31, Florida Statutes, is created to 19
read: 20
448.31 Short title.—This part may be cited as the 21
"Voluntary Portable Benefits Act." 22
Section 3. Section 448.32, Florida Statutes, is created to 23
read: 24
448.32 Definitions.—As used in this part, the term: 25

HB 1431 2026

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(1) "Hiring party" means a person who hires or enters into 26
a contract with an independent contractor or a sole proprietor. 27
(2)(a) "Independent contractor" means a person who meets 28
four of the following criteria: 29
1. Maintains a separate business with his or her own work 30
facility, truck, equipment, materials, or similar 31
accommodations. 32
2. Holds or has applied for a federal employer 33
identification number, unless the person is a sole proprietor 34
who is not required to obtain a federal employer identification 35
number under state or federal regulations. 36
3. Receives compensation for services rendered or work 37
performed and such compensation is paid to a business rather 38
than to an individual. 39
4. Holds one or more bank accounts in the name of the 40
business entity for purposes of paying business expenses or 41
other expenses related to services rendered or work performed 42
for compensation. 43
5. Performs work or is able to perform work for any entity 44
in addition to or besides the hiring party at his or her own 45
election without the necessity of completing an employment 46
application or process. 47
6. Receives compensation for work or services rendered on 48
a competitive-bid basis or completion of a task or a set of 49
tasks as defined by a contractual agreement, unless such 50

HB 1431 2026

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contractual agreement expressly states that an employment 51
relationship exists. 52
(b) If a person does not meet at least four of the 53
criteria under paragraph (a), a person may still be presumed to 54
be an independent contractor and not an employee based on full 55
consideration of the nature of the person's situation with 56
regard to whether the person meets any of the following 57
conditions: 58
1. Performs or agrees to perform specific services or work 59
for a specific amount of money and controls the means of 60
performing the work or services. 61
2. Incurs the principal expenses related to the service or 62
work that he or she performs or agrees to perform. 63
3. Is responsible for the satisfactory completion of the 64
work or services that he or she performs or agrees to perform. 65
4. Receives compensation for work or services performed 66
for a commission or on a per-job basis and not on any other 67
basis. 68
5. May realize a profit or suffer a loss in connection 69
with performing work or services. 70
6. Has continuing or recurring business liabilities or 71
obligations. 72
7. Has success or failure in the person's business which 73
depends on the relationship of business receipts to 74
expenditures. 75

HB 1431 2026

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(3)(a) "Portable benefits account" means an account that 76
meets the following conditions: 77
1. The account is opened by an independent contractor or a 78
sole proprietor to fund the purchase of one or more benefit 79
plans and is administered by a third-party portable benefits 80
account provider chosen by the independent contractor or the 81
sole proprietor. 82
2. The account is assigned to a beneficiary of one or more 83
benefit plans rather than to a hiring party. 84
(b) As used in paragraph (a), the term "benefit plan" 85
includes, but is not limited to, the following products: 86
1. Health insurance. 87
2. Income replacement insurance. 88
3. Life insurance. 89
4. Retirement benefits. 90
(4) "Portable benefits account provider" means the 91
administrator of a portable benefits account and includes: 92
(a) A bank, as defined in s. 220.62(1). 93
(b) An investment management firm. 94
(c) A technology provider or program manager that offers 95
services through a bank or investment management firm. 96
(d) Any other person that demonstrates to the satisfaction 97
of the Financial Services Commission that the manner in which 98
the person will administer the portable benefits account will be 99

HB 1431 2026

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consistent with the portable benefits account requirements under 100
s. 448.33. 101
(5) "Sole proprietor" has the same meaning as in s. 102
440.02. 103
Section 4. Section 448.33, Florida Statutes, is created to 104
read: 105
448.33 Voluntary contributions to portable benefits 106
accounts for independent contractors and sole proprietors.— 107
(1) Any person or entity, including an independent 108
contractor; a sole proprietor; a hiring party, whether a public 109
or private entity; or an Internet-based or application-based 110
company, may voluntarily contribute funds to a portable benefits 111
account for an independent contractor or a sole proprietor. 112
(2)(a) Contributions to a portable benefits account may 113
not be used as a criterion for determining a worker's employment 114
classification. 115
(b) Contributions to a portable benefits account may be 116
made using: 117
1. The funds of the hiring party; or 118
2. A percentage of funds withheld from compensation owed 119
to the independent contractor or sole proprietor if all the 120
following conditions are met: 121
a. The withholdings are voluntary and expressly agreed to 122
in writing, and the agreement is written in clear and 123
unambiguous language and prominently displayed in the work 124

HB 1431 2026

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contract or a separate notice. 125
b. The withholdings require the independent contractor or 126
sole proprietor to opt in, and the independent contractor or 127
sole proprietor may choose to opt out of the withholdings at any 128
time. 129
Section 5. This act shall take effect July 1, 2026. 130