An Independent Contractor Agreement Alone Does Not a Freelancer Make

By Nina Kaufman, Esq.

You want to hire an independent contractor. Or a freelancer. Mostly because you don’t want to get involved in the red tape and extra costs involved in hiring an employee. So you put together an independent contractor agreement, and the freelancer signs it. Are you in the clear?

No.

In this segment of MSNBC’s Your Business, I discuss why having an independent contractor agreement alone isn’t enough to qualify your worker as a freelance or independent contractor … if they’re really an employee.

Government entities are starved for revenue. Sadly, they often prey upon the more vulnerable–small businesses–keeping a keen eye out for infractions of the Labor Laws. If your freelancer is really acting an an employee, an independent contractor agreement by itself won’t protect you.