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Florida Senate
-
2026
SB 604
By
Senator Avila
39-00144-26 2026604__
1 A bill to be entitled
2 An act relating to portable benefits accounts for
3 independent contractors and sole proprietors; creating
4 part III of ch. 448, F.S., entitled “Voluntary
5 Portable Benefits Act”; creating s. 448.31, F.S.;
6 providing a short title; creating s. 448.32, F.S.;
7 defining terms; creating s. 448.33, F.S.; authorizing
8 certain parties to make voluntary contributions to
9 portable benefits accounts for independent contractors
10 and sole proprietors; prohibiting contributions to a
11 portable benefits account from being used as a
12 criterion for determining a worker’s employment
13 classification; providing requirements for such
14 contributions; providing an effective date.
15
16 Be It Enacted by the Legislature of the State of Florida:
17
18 Section 1.
Part III of chapter 448, Florida Statutes,
19
consisting of ss. 448.31, 448.32, and 448.33, Florida Statutes,
20
is created and entitled the “Voluntary Portable Benefits Act.”
21 Section 2. Section 448.31, Florida Statutes, is created to
22 read:
23
448.31 Short title.—This part may be cited as the
24
“Voluntary Portable Benefits Act.”
25 Section 3. Section 448.32, Florida Statutes, is created to
26 read:
27
448.32 Definitions.—As used in this part, the term:
28
(1) “Hiring party” means a person who hires or enters into
29
a contract with an independent contractor or
a
sole proprietor.
30
(2)(a) “Independent contractor” means a person who meets
at
31
least
four of the following criteria:
32
1. Maintains a separate business with his or her own work
33
facility, truck, equipment, materials, or similar
34
accommodations.
35
2. Holds or has applied for a federal employer
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identification number, unless the person is a sole proprietor
37
who is not required to obtain a federal employer identification
38
number under state or federal regulations.
39
3. Receives compensation for services rendered or work
40
performed
,
and such compensation is paid to a business rather
41
than to an individual.
42
4. Holds one or more bank accounts in the name of the
43
business entity for purposes of paying business expenses or
44
other expenses related to services rendered or work performed
45
for compensation.
46
5. Performs work or is able to perform work for any entity
47
in addition to or besides the hiring party at his or her own
48
election without the necessity of completing an employment
49
application or process.
50
6. Receives compensation for work or services rendered on a
51
competitive-bid basis or completion of a task or a set of tasks
52
as defined by a contractual agreement, unless such contractual
53
agreement expressly states that an employment relationship
54
exists.
55
(b) If a person does not meet
at least
four of the criteria
56
pursuant to paragraph (a), a person may still be presumed to be
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an independent contractor and not an employee
if the person
:
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1.
P
erforms or agrees to perform specific services or work
59
for a specific amount of money and controls the means of
60
performing the services or work
;
61
2.
I
ncurs the principal expenses related to the service or
62
work that he or she performs or agrees to perform
;
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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 for
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a commission or on a per-job basis and not on any other basis
;
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5. May realize a profit or suffer a loss in connection with
68
performing work or services
;
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6. Has continuing or recurring business liabilities or
70
obligations
; or
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7. Has success or failure in the person’s business which
72
depends on the relationship of business receipts to
73
expenditures.
74
(3)(a) “Portable benefits account” means an account that
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is:
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1. Opened by an independent contractor or a sole proprietor
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to fund the purchase of one or more benefit plans and is
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administered by a third-party portable benefits account provider
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chosen by the independent contractor or the sole proprietor; and
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2. Assigned to a beneficiary of one or more benefit plans
81
rather than to a hiring party.
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(b) As used in paragraph (a), the term “benefit plan”
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includes, but is not limited to, the following products:
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1. Health insurance.
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2. Income replacement insurance.
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3. Life insurance.
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4. Retirement benefits.
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(4) “Portable benefits account provider” means the
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administrator of a portable benefits account and includes:
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(a) A bank, as defined in s. 220.62(1).
91
(b) An investment management firm.
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(c) A technology provider or program manager that offers
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services through a bank or
an
investment management firm.
94
(d) Any other person that demonstrates to the satisfaction
95
of the Financial Services Commission that the manner in which
96
the person will administer the portable benefits account will be
97
consistent with the portable benefits account requirements under
98
s. 448.33.
99
(5) “Sole proprietor” has the same meaning as in s. 440.02.
100 Section 4. Section 448.33, Florida Statutes, is created to
101 read:
102
448.33 Voluntary contributions to portable benefits
103
accounts for independent contractors and sole proprietors.—
104
(1) Any person or entity, including an independent
105
contractor; a sole proprietor; a hiring party, whether a public
106
or private entity; or an Internet-based or application-based
107
company, may voluntarily contribute funds to a portable benefits
108
account for an independent contractor or
a
sole proprietor.
109
(2)(a) Contributions to a portable benefits account may not
110
be used as a criterion for determining a worker’s employment
111
classification.
112
(b) Contributions to a portable benefits account may be
113
made using:
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1. The funds of the hiring party; or
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2. A percentage of funds withheld from compensation owed to
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the independent contractor or sole proprietor
,
if all the
117
following conditions are met:
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a. The withholdings are voluntary and expressly agreed to
119
in writing, and the agreement is written in clear and
120
unambiguous language and prominently displayed in the work
121
contract or a separate notice.
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b. The withholdings require the independent contractor or
123
sole proprietor to opt in, and the independent contractor or
124
sole proprietor may choose to opt out of the withholdings at any
125
time.
126 Section 5. This act shall take effect July 1, 2026.