196 - Contractor Or Employer
Manage episode 310335717 series 3052238
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What’s the difference between an employee or a contractor? The answer to that question can have far-reaching consequences for your business. Today on the show we’re going to talk about the differences. Subcontracting One of the main ways to distinguish an employment contract is the ability to subcontract and delegate. An employee generally can't subcontract. But a true contractor can. Payment For an employee payment is made in the form of a wage or salary. For a contractor payment is usually made in the form of one time payments due once the work is completed. Equipment The fact is that if you're an employee the things that you need to do your work are provided by your employer. A contractor, however, usually provides their own tools. There's never a black and white line between a contractor and an employee. But usually contractors bring their own toolkit.
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