Facts that provide evidence of the degree of control and independence fall into three categories: Behavioral: Does the company control or have the right to control what the worker does and how the worker does his or her job? Financial: Are the business aspects of the worker's job controlled by the payer?
What are the four 4 factors used to determine whether someone is an independent contractor?
The law further states that independent contractor status is evidenced if the worker: (1) has a substantial investment in the business other than personal services, (2) purports to be in business for himself or herself, (3) receives compensation by project rather than by time, (4) has control over the time and place
What's the difference between a contractor and an independent contractor?
There are a few key distinctions between general contractors and independent contractors. One contract usually encompasses the entire project with general contractors, from start to finish. On the other hand, Independent contractors are brought in for specific portions of a project or even just for a single task.
Why would someone want to be an independent contractor?
There are a number of advantages to being a contractor. Contract work provides greater independence and, for many people, a greater perceived level of job security than traditional employment. Less commuting, fewer meetings, less office politics – and you can work the hours that suit you and your lifestyle best.
How do I classify myself as an independent contractor?
The general rule is that an individual is an independent contractor if the payer has the right to control or direct only the result of the work and not what will be done and how it will be done.
How do I know if I am an independent contractor or an employee?
Workers who perform most of their work using company-provided equipment, tools, and materials are more likely to be considered employees. Work largely done using independently obtained supplies or tools supports an independent contractor finding.