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Simply put, being an independent contractor is one way to be self-employed. Being self-employed means that you earn money but don't work as an employee for someone else.
Highly skilled and experienced interpreters who travel to interpret at conferences are often contractors, working directly for the conference or through an LSP. They typically have a contract to provide services at a specific conference (i.e., a short-term commitment with a clearly-stated end date).
Many freelance journalists, musicians, translators and other workers in California can operate as independent contractors under a new law signed by Gov. Gavin Newsom on Sept. 4.
Freelance interpreters or translators work on a self-employed basis converting written texts from one language to another or providing verbal translations in live situations, such as conferences, performances, or meetings.
A 1099 employee is a US self-employed worker that reports their income to the IRS on a 1099 tax form. Freelancers, gig workers, and independent contractors are all considered 1099 employees.
Every independent contractor agreement should feature an indemnity clause. The purpose of this clause is to ensure that the independent contractor will be held liable for any damage or injury resulting from the independent contractor's work performed under the contract.
Fact #1: A large percentage of all interpreters and translators are independent contractors. There are many reasons that language professionals choose to work as independent contractors. Many prefer the flexibility of making their own schedule and being able to choose their assignments.
Becoming an independent contractor is one of the many ways to be classified as self-employed. By definition, an independent contractor provides work or services on a contractual basis, whereas, self-employment is simply the act of earning money without operating within an employee-employer relationship.
Interpreters and translators in California have been granted an exemption from AB 5. It's been almost 9 months since the controversial AB 5 bill went into effect, which reclassified independent interpreters and translators in California as employees, and no longer as independent contractors.
To set yourself up as a self-employed taxpayer with the IRS, you simply start paying estimated taxes (on Form 1040-ES, Estimated Tax for Individuals) and file Schedule C, Profit or Loss From Business, and Schedule SE, Self-Employment Tax, with your Form 1040 tax return each April.