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What does it mean to be an Independent Contractor?

Independent contractors have the responsibility of being business owners; they are not employees. More information regarding taxes and business licenses for independent contractors can be found on our Information and Resources page.

You are an independent business, and like any business:

You have a current business license,

You make your services available to the general public,

You provide similar services for other clients,

You often have more than one client at a time,

You have made a significant investment in your business,

You are responsible for how you use your time, equipment, and materials,

You are responsible for any mistakes or errors made in the course of your work.

You hire, direct, and pay your own assistant(s),

You have made a significant investment in your business,

Your services affect your business’ reputation,

You have continually re-occurring liabilities,

You agree to perform specific jobs for prices agreed upon in advance.

You have been retained for your expertise. As such:

You do not need training for the job which you have been retained to perform.

Your client should not give you instructions or direct your work. If they furnish instructions you are not required to follow them; you are only required to meet the specifications and obligations outlined in your contract.

You may not be fired for any reason other than non-performance of contract specifications. Likewise, you may not quit before you’ve completed the job (or if you do quit, you will incur a liability),

You are responsible for paying your business’ taxes, and completing and filing your business’ annual tax returns.

You are not entitled to typical employee benefits such as vacation and sick pay, health and dental insurance, workers’ compensation insurance, disability insurance, or unemployment insurance.