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With more businesses needing to employ independent contractors versus full-time employees, the all important line between employee and contractor has been in the news again this tax season. One way to clarify matters and avoid misclassifying an employee: an independent contractor agreement.
As discussed in this blog post, getting the contractor vs. employee distinction wrong can have dire consequences. The best way to get it right is to do so from the beginning.
One highly advised way to do this is to put an independent contractor agreement in place. Here are five key things an independent contractor agreement can do to help you.
As with the wide variety of work an independent contractor can perform, the agreement can be shaped to your needs. In coming up with the details, keep in mind the hallmarks of an employee versus a contractor.