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An independent contractor agreement allows a client to hire a contractor for a specific job, often referred to as a 1099 agreement due to the IRS form that contractors must file. Unlike employees, independent contractors do not have taxes automatically deducted from their payments and are responsible for paying taxes themselves. This is one of several legal distinctions between independent contractors and employees. Independent contracting generally offers more flexibility but less job stability. Over the past decade, independent contractor positions have rapidly increased, partly due to technological advancements. Both employers and workers should consider various factors when drafting an independent contractor agreement, including the eligibility of the work.