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An independent contractor agreement is a contract that allows a client to hire a contractor for specific jobs, often referred to as a 1099 agreement due to the IRS form required for independent contractors. Unlike employees, independent contractors do not have taxes automatically deducted from their payments and are responsible for paying them when due. This arrangement highlights the legal differences between independent contractors and employees. Independent contracting typically offers more flexibility but less stability, and its prevalence has grown rapidly over the past decade, partly due to technological advances. Employers and workers should consider several factors before creating an independent contractor agreement, particularly regarding the eligibility of the work.