Independent Contractors Explanation - YouTube

Welcome to Working Solutions, a leader in contact center outsourcing.

Before applying, it is very important to understand that our work at home agents

are self employed independent contractors and not employees.

There are numerous federal and state agencies that provide guidelines for classification of

independent contractors.

You can find more detail about these guidelines on these agencies websites.

We are now going to walk you through those differences to

help you better understand the distinction before applying to work on a program.

This is an independent contractor for working solutions

unlike employees, independent contractors have certain freedoms that distinguish

them from the latter. For instance independent contractors set their own

schedules, choosing when they can or want to work

Employees on the other hand work

the hours set by the employer and in most cases must do so at the employer's

place of business.

Another distinction is that independent contractors can work

for multiple clients and on multiple programs or projects including our

direct competitors.

Employees on the other hand generally work for only one employer.

In addition to working for multiple clients on multiple programs

independent contractors also have the opportunity to increase their income

significantly by obtaining additional education and certifications.

Employees however earn a set hourly wage or salary that cannot be increased without the

employer increasing the employees wages.

Independent contractors provide and

maintain their own computer equipment and workspace. When tax time comes they

can also deduct any expenses related to the purchase and maintenance of

equipment and workspace.

Employees on the other hand are provided hardware

software and workspace by their employers so they can perform their job.

Employees cannot deduct any of these expenses come tax time.

Speaking of taxes, independent contractors are responsible for paying

their own taxes and will receive a 1099 or W8-Ben if more than $600 is earned

in a calendar year

Employees have taxes withheld from their paychecks by their

employer, they cannot deduct expenses and they receive a W-2 at the end of each

calendar year.

Independent contractors are self-employed and do not receive

employment benefits.

Employees may receive the following benefits: vacation

pay, sick leave, retirement benefits, Social

Security, workers compensation, health or disability benefits, overtime and

unemployment.

Although independent contractors already have the day-to-day

skills and expertise needed for this work, Working Solutions supplements that

expertise with certifications or education specific to a client's

processes and procedures and instead of paying to obtain them from outside

institutions they are offered by Working Solutions at no cost to you.

Employees tend to receive training surrounding their day-to-day job duties even though

they may also come with education or expertise in a particular field.

Finally independent contractors work on projects or programs until the

completion of those projects or programs. Some programs last years while others

are subject to end with a little warning.

Employees work for one employer focused

on one job until they or their employer terminate the relationship.

That's it!

Those are some of the most relevant distinctions commonly used by state and

federal agencies to classify independent contractors.

Knowing these things upfront

will help you decide if independent contractor work is right for you.