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An independent contractor agreement allows a client to hire a contractor for specific tasks and is also referred to as a 1099 agreement, named after the IRS form contractors must file. Unlike employees, independent contractors do not have taxes automatically withheld from their payments and must handle their own tax obligations. This highlights legal distinctions between employees and independent contractors, with the latter offering more flexibility but less stability. Over the past decade, the growth of independent contractor positions has outpaced the broader workforce due to technological changes. When creating an independent contractor agreement, it is crucial to consider whether the work qualifies.