Monday, March 30, 2009

Independent Contractors: Who Are They?

Some people feel it’s safe to assume they’re an employee of a particular company that hires them to do a job. Though if you are hired as an independent contractor, you’re not. Being an employee and an independent contractor of a company are totally separate and here is why:

If a company hires you as an independent contractor, you are hired to perform a range of duties and that is it. No different than if you cut your neighbor’s lawn every Saturday morning. You would not put on the job application that your neighbor is your current employer. Why? Because your neighbor is not a business. You can chose not to mow their lawn and if your neighbor fires you and pays the kid down the road a few extra bucks to take your place, you can’t collect unemployment insurance. Your neighbor is also not responsible for withholding income tax. This is your responsibility.

When you are hired as an independent contractor, you are virtually your own boss. You dictate the manner in which you do the job. Though despite how long it took you to do a job, the fee agreed upon may not exactly balance the amount of time spent if wages were given per hour at let's say a more known business establishment.

You also control the time in which you can get things done. You can work around your own schedule to make sure things are prepared and completed. Being an independent contractor doesn’t make things better or more profitable, but it does give you flexibility and more freedom.

Though some, eager to gain work, may be naive when it comes to their own rights and the company's obligation to ensure those rights are carried out. For instance,a company may decide to write a contract that dictates the manner, time, and other details of the way you are to perform your duties. Whether or not this is ignorance on the company's part, signing it keeps you under their control, especially if you are unaware of your rights. Still feeling confused on how to tell the difference; this article should give you more insight. Good luck and make sure you are the one who retains control of your work.

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