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Appendix A - Consultants - Comparison List

 

APPENDIX A

 

Significant Differences Between Employees and Independent Contractors

in Fields Relating to Consultation Services

 

Employer/Employee

  1. Worker asserts he is an employee or seems unsure of his status

  2. Worker has no DBA, does not own his own company, has no client base, and/or has no business cards or independent advertising

  3. Worker performs services on an ongoing basis for the alleged employer

  4. Worker's services are directly integrated in the primary service supplied by the employer

  5. Pay is by hourly wage or salary, rather than by the job

  6. Pay is unilaterally set by the alleged employer

  7. Alleged employer supervises the worker in the details of the projects or assignments

  8. Alleged employer provides the facilities, tools, equipment, and/or supplies for the work

  9. Alleged employer provides office space and clerical help to the worker at no cost

  10. Worker requires training and periodic supervision

  11. Worker is subject to routine quality control checks

  12. Worker is required to furnish regular reports to the alleged employer

  13. Worker has no right to engage assistants to help him perform the contract services, or if the worker hires assistants, the alleged employer pays their wages

  14. Alleged employer reimburses the worker for expenses associated with the job

  15. Worker is covered by all or part of the alleged employer's benefits plan and liability insurance

  16. Worker does not determine the hours or the details of the work

 

Independent Contractor

  1. Contractor asserts he is self-employed and generally maintains his own client list or customer base

  2. Contractor is usually hired locally where the alleged employer performs the overall project

  3. Contractor performs a service the alleged employer is not qualified or able to supply

  4. Work is generally performed at client's site and/or contractor's office/home

  5. Tools and equipment are furnished by contractor or client

  6. Supplies are furnished by contractor without reimbursement from alleged employer

  7. Contractor is highly skilled and requires no training or supervision

  8. Alleged employer and client are interested only in the outcome of the work, not in the details of how the work is done

  9. Contractor has some voice in determining the hours of performing the work

  10. Work is not on a continuous basis, but rather on a job to job basis

  11. Pay is generally by the job and is negotiated with the contractor

  12. Contractor invoices the alleged employer for work performed

  13. Payment is to the company or DBA of the contractor

  14. Contractor has the right to hire assistants and to pay them out of his own pocket

  15. Contractor is not reimbursed by the alleged employer for expenses

  16. Contractor is not covered by the alleged employer's benefit plan

  17. Contractor maintains his own errors and omissions liability insurance

  18. Contractor is not required by the alleged employer to submit performance, cost, or progress reports other than invoices or perhaps work or progress reports verified and signed by the employer's clients

 

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