Employer/Contractor Differences Page

Please use the table below to help you determine the difference between Employee or Independent Contractor are shown in the link below. CLICK HERE to print the table below.

Common Law Test For Determing Whether a Worker is an Employee

Employee	Independent Contractor
Required to comply with employer's instructions about when, where and how to work.	Sets own hours; determines own sequence of work.
Works exclusively for the employer.	Can work for multiple employers; services available to the public.
Hired by the employer.	Is self-employed
Subject to dismissal; can quit without liability.	A contract governs how the relationship can be served.
Has a continuing relationship with the employer.	Works by the job.
Work done personally.	Permitted to employ assistants.
Performs services under the company's name.	Performs services under the worker's business name.
Paid salary: reimbursed for expenses; participates in company's fringe benifits programs.	Payment by the job; opportunity for profit and loss.
Furnished tools, equipment, materials, and training.	Furnishes own tools, equipment, and training; substantial investment by worker.
If an outside salesperson: Company provides leads, sets terms and conditions of the sale, assigns a territory, and controls the sales process.	Controls the sales process and terms.

Should you determine that you are an Independent Contractor, you MUST complete Form W-9. Click on the graphic above to print the form.

Form 1099 Filing Requirements-What you need to Know. Click on the graphic above to review the requirements.