What is the difference between an employee and an independent contractor? Are contractors employees? Who is an employee vs. The key question to be answered is whether the worker is carrying out services as a person in business for herself (contractor), or as an employee. Contractors don’t receive benefits packages or pensions.
However, if you understand the difference between the two and how Canada Revenue defines employees and contractors you will be able to make a good choice.
On this week’s blog, we are here to help! Let’s go through the rules of what determines the difference between an employee and a contractor so that you can make an informed choice and. If you are an employer , that person coming into your workplace everyday is probably an employee. Employees in the federal jurisdiction labour relations system are given numerous protections under labour standards and health and safety legislations.
For the independent contractor, the company does not withhold taxes. See full list on acf. Employment and labor laws also do not apply to independent contractors. However, independent contractors are most often paid for the job by a flat fee.
When we examine whether a person is an employee or a self-employed individual, the key question we ask is whether the person is engaged to carry out services as a person in business on their own account, or as an employee. (more…)