What does an independent contractor need to fill out?
John Peck
Form W-9. The IRS requires contractors to fill out a Form W-9, request for Taxpayer Identification Number and Certification, which you should keep on file for at least four years after the hiring. This form is used to request the correct name and Taxpayer Identification Number, or TIN, of the worker or their entity.
Why would an independent contractor want to hire someone?
Work On Demand: Hiring an independent offers flexibility to the changing work demands of your company. You have the ability to take added opportunities as they arise, and during slow periods, have greater cost control. Your contract workforce often comes fully trained and highly specialized.
Can a worker be classified as an independent contractor?
If a worker is classified as an independent contractor but, using the IRS 20-factor test, it is found that the worker is in fact an employee, there can be penalties and tax consequences of misclassifying your employees that will cost you more than you would have saved.
What kind of Rights do independent contractors have?
Independent also don’t get employee benefits, or protection from employment laws, like the Fair Labor Standards Act (FLSA), the Occupational Safety & Health Act (OSHA) and Title VII of the Civil Rights Act. Independent contractor status usually gives you a lot more autonomy and control over your work.
Do you have to pay taxes as an independent contractor?
They are not required to make payments to Unemployment or Workers Compensation, either. You’ll receive your gross pay and be responsible for making quarterly tax payments throughout the year. For tax filings, employees receive a W-2, while independent contractors receive a 1099.
Do you have to move if you are an independent contractor?
You won’t have to relocate or work in a new location unless you want to. You’ll also have the option to work locum tenens or take on per diem work at other hospitals or practices. As an independent contractor, the employer has virtually no control over what you do outside the hours you work for them.