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In this tutorial, Matthew demonstrates how to create an independent contractor agreement using LegalTemplates.net. He instructs viewers to click the provided link, navigate to business forms, and select "service contracts." From there, he guides users to choose the independent contractor agreement and select Texas as the state. Matthew explains that users need to input general information about the client or contractor, specify the services being provided, and outline compensation details, including payment methods and expense reimbursement. The tutorial emphasizes clarity in filling out the agreement sections.