Summary of Factors
Employee vs. Independent Contractor Status:
1. Instructions-Direction
and Control. Employees generally follow instructions about when, where,
and how work is to be performed; contractors establish their own hours
and have no instructions regarding how the job should be completed.
2. Training. Employees typically receive training via classes and
meetings regarding how services are to be performed; contractors
generally establish their own procedures and receive no training.
3. Services rendered personally. Services are typically performed
personally by the employee; contractors may utilize others to perform
job tasks and duties.
4. Supervision. Most employees are supervised by a foreman or representative of the employer; contractors generally are not.
5. Set hours of work. An employee's hours and days are set by the
employer; contractors dictate their own time and are often retained to
complete one particular job.
6. Full time required. An employee typically works for only one
employer; contractors may have several jobs or work for others at the
same time.
7. Work on premises. Employers work on the premises of an employer or
on a route or site designated by the employer; contractors typically
work from their own premises and pay rent for their own premises.
8. Manner of payment. Employees are generally paid in regular amounts
at stated intervals; contractors are paid upon the completion of the
job or project, in a lump sum or other arrangement, such as on a
commission basis.
9. Furnishing of tools and materials. Employees are usually furnished
tools and materials by employers; contractors typically furnish and pay
for their own tools, materials, and expenses.
10. Profit. Employees generally receive no direct profit or loss from work performed, while contractors do.
11. Job security. Employees may be discharged or quit at any time
without incurring liability; contractors are typically discharged after
a job is completed and are legally obligated to complete a particular
job to avoid liability.
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