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Like most employees, the taxes for an independent contractor are typically due on April 15 of each year. The independent contractor files a Form 1040, just like an employee. However, there is a ...
The distinction between independent contractor and employee is an important one in the United States, as the costs for business owners to maintain employees are significantly higher than the costs associated with hiring independent contractors, due to federal and state requirements for employers to pay FICA (Social Security and Medicare taxes) and unemployment taxes on received income for ...
Because virtual assistants are independent contractors rather than employees, clients are not responsible for any employee-related taxes, insurance, or benefits, except in the context that those indirect expenses are included in the VA's fees. Clients also avoid the logistical problem of providing extra office space, equipment, or supplies.
Gig workers are independent contractors, online platform workers, [1] contract firm workers, on-call workers, [2] and temporary workers. [3] Gig workers enter into formal agreements with on-demand companies to provide services to the company's clients.
While the term independent contractor would be used in a different register of English [clarify] to designate the tax and employment classes of this type of worker, the term "freelancing" is most common in culture and creative industries, and use of this term may indicate participation therein. [2]
In the basic model, gig workers enter into formal agreements with on-demand companies to provide services to company's clients. Prospective clients request services through an Internet-based technological platform or smartphone application that allows them to search for providers or to specify jobs. Providers (gig workers) engaged by the on ...
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