Truth -- most cam studios are in lesser developed nations. In the USA, Canada, UK and Western Europe most are Independent Cam Models.

A Cam Studio supplies working facilities and equipment to models. Studios also supply tutoring, mentoring as well as a disciplined working environment, peer competition and support to their "employees."

So, Studios are entitled to their "cut" of their model's earnings, IMHO.


However, if you are in the States, especially California you will have problems with the labor laws. Add structured working hours to offering a place of employment as outlined above creates an employee-employer relationship if the Labor Department determines so. With an Independent Contractor relationship (like a model shoot -- time certain for agreed compensation) you have only minimal responsibilities; like insurance, permits, etc..

When the relationship changes to that of employee-employer you additionally are obligated by law to withhold state and federal income taxes, pay FICA employer contributions, pay unemployment taxes on payroll and any other government mandated expenses.

America is not a tax friendly location for a Cam Studio ...