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
36 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
57 an independent contractor and not an employee if the person:
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 services or work;
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 for
66 a commission or on a per-job basis and not on any other basis;
67 5. May realize a profit or suffer a loss in connection with
68 performing work or services;
69 6. Has continuing or recurring business liabilities or
70 obligations; or
71 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
75 is:
76 1. Opened by an independent contractor or a sole proprietor
77 to fund the purchase of one or more benefit plans and is
78 administered by a third-party portable benefits account provider
79 chosen by the independent contractor or the sole proprietor; and
80 2. Assigned to a beneficiary of one or more benefit plans
81 rather than to a hiring party.
82 (b) As used in paragraph (a), the term “benefit plan”
83 includes, but is not limited to, the following products:
84 1. Health insurance.
85 2. Income replacement insurance.
86 3. Life insurance.
87 4. Retirement benefits.
88 (4) “Portable benefits account provider” means the
89 administrator of a portable benefits account and includes:
90 (a) A bank, as defined in s. 220.62(1).
91 (b) An investment management firm.
92 (c) A technology provider or program manager that offers
93 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:
114 1. The funds of the hiring party; or
115 2. A percentage of funds withheld from compensation owed to
116 the independent contractor or sole proprietor, if all the
117 following conditions are met:
118 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.
122 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.