There are distinct differences between being an employee and an independent contractor. In this article, our Iowa employment attorneys discuss why knowing which one you are is important for both the worker and the company, what factors the courts look at when making a decision, and penalties for miss-classification. To determine the difference between an employee and an independent contractor, ask yourself the following questions:
- How much will the employer control the work being done?
- What skill is needed to perform and complete the desired work?
- Who supplies the tools, equipment, and place of work for the project?
- How will the worker be paid? By time? (Hourly), a percentage, or a lump sum?
- Is the work part of the regular business of the employer?
- Is the work usually performed without supervision from the employer?
- Is there a specific time-frame for the work to be completed?
- Will there be consistent and similar work for an undetermined period of time?