Independent Contractor - HR Glossary

HR Glossary - Independent contractor - Hireforce
HR Glossary - Independent contractor - Hireforce

An independent contractor is a person or company that delivers services to another party under a contractual arrangement. They are not considered workers and work autonomously, overseeing their own business activities. Independent contractors have more control over when and how they do their duties. They are responsible for paying their own taxes, insurance, and expenditures. Independent contractors, unlike employees, are not eligible for benefits such as paid time off, health insurance, or retirement plans.

Example

A marketing agency hires a graphic designer as an independent contractor to create a client's logo. Graphic designer. They choose their own schedule and work remotely. They use their own equipment and tools to finish the project. Can work for numerous clients at once.

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