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An independent contractor agreement, also known as a 1099 agreement, allows clients to hire contractors for specific jobs. Unlike employees, contractors are responsible for their own tax payments, as no taxes are automatically deducted from their payments. This distinction is just one of the many legal differences between independent contractors and employees. Independent contracting typically provides greater flexibility but less stability. Over the past decade, the number of independent contractor positions has surged, partly due to advancements in technology. Before creating an independent contractor agreement, it is important to consider whether the work is eligible for such an arrangement.