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A: Typically a worker cannot be both an employee and an independent contractor for the same company. An employer can certainly have some employees and some independent contractors for different roles, and an employee for one company can perform contract work for another company.
What should be included in a Contractor Agreement?Statement of Relationship.Project Description.Payment and Billing Terms.Responsibilities of Each Party.Project Timeline and Deadlines.Termination Conditions.Nondisclosure Terms, and Confidentiality and Non-Compete Clauses.
Don't give an IC a company email. Don't give an IC a title within your company. Don't pay the IC's travel or other business expenses, unless they are unique to the project and have been negotiated in advance.
Make sure you really qualify as an independent contractor. Choose a business name (and register it, if necessary). Get a tax registration certificate (and a vocational license, if required for your profession). Pay estimated taxes (advance payments of your income and self-employment taxes).
3. BUSINESS CARDS: The independent contractor should have a business card in his/her own business name showing that they are independent and holding themselves out to the public. The independent contractor should, of course, pay for the business cards.
Five Things Your Contracts Should IncludeGet it in Writing. The most important part of every contract is that it must be in writing.Be Specific in Your Terms. Your contract should be specific in its terms.Dictate Terms for Contract Termination.Confidentiality Matters.
The contract itself must include the following:Offer.Acceptance.Consideration.Parties who have the legal capacity.Lawful subject matter.Mutual agreement among both parties.Mutual understanding of the obligation.
For example, a contractor should not have a company email address, display your logo or use any company-specific materials such as computers, letterhead or appointment cards. He must also bill separately for services rendered.
How to Avoid a Worker Misclassification AuditReview Current Worker Classification Practices.Consider Developing a Centralized Program for Independent Contractor Engagement.Ensure Independent Workers are Properly Classified.Require Hiring Managers to Use a Written Contract.Build a Cross-Functional Team for Support.More items...
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