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Independent Contractor

A self employed worker engaged for defined deliverables who controls their own methods, equipment, and tax obligations.

What it means in practice

An independent contractor provides services under a commercial agreement while retaining operational control consistent with applicable law. Classification depends on the actual working relationship, including supervision, scheduling, financial arrangements, and control over the work.

Why it matters

Incorrect worker classification can create tax, employment, benefits, and liability exposure.

How it is used

A brand engages a creator as an independent contractor to produce specified UGC assets for an agreed project fee.

Also called

freelancer, 1099 contractor

Related terms

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