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EMPLOYEE
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INDEPENDENT CONTRACTOR
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Means and manner of work are controlled by employer
| Free from direction and control
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Does tasks the employer's way
| Does tasks in own way
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Trained by employer to perform job
| Has necessary skills and training to
complete job
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Works under the employer's assumed
business name
| Has an assumed business name
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Works at employer's business location
| Has a business location
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Works for one employer, may serve that
employer's customers
| Performs services for multiple customers
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Works hours set by employer
| Sets own hours
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Accepts wage, salary, or commission
determined by the employer
| Determines own price for contracted
services
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May be covered by minimum wage, overtime, safety, unemployment, and workers' compensation
| Not eligible for employee benefits
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Not directly affected by employer's profit or loss
| Directly affected by business profit or loss
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Employer provides and controls equipment and tools
| Owns equipment and tools used to complete job
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Employer purchases materials and supplies
| Purchases materials and supplies needed to do job
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Employer liable for employee errors and/or accidents
| Personally liable for errors and/or accidents
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Does not file self-employment taxes;
receives a Form W-2 from employer
| Files self-employment taxes; receives a Form 1099-MISC
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Is hired and/or fired by employer
| Has right to hire and fire workers
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May quit working for an employer at any time
| Must legally complete each contract
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