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An independent contractor agreement is a contract where a client hires a contractor for a specific job, also known as a 1099 agreement. Unlike employees, contractors do not have taxes automatically deducted from their payment and must pay them on their own. This is just one of the many legal differences between contractors and employees, with contracting offering more flexibility but less stability. In recent years, the number of independent contractor positions has increased due to changing technology. Before creating an independent contractor agreement, both employers and workers should consider the eligibility of the work.
