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A 1-page (simple) independent contractor agreement is a document that establishes the terms of a working relationship between a contractor and a client. It details the contractor’s work obligations, compensation, schedule, expenses, and relationship to the client. Recording these terms in the agreement helps manage project expectations and protects both parties should a dispute arise. It also distinguishes the contractor as a self-employed worker who is not entitled to any benefits or rights afforded to employees.
Contents |
What to Include
Party Details
An independent contractor agreement specifies the full legal names of the independent contractor and the client (the individual or entity receiving services). This section also contains each party’s mailing address, which is the location where invoices, legal notices, and other correspondence can be delivered.
Term (length)
The agreement term refers to the dates that the contractual relationship begins and ends. Unlike a standard independent contractor agreement, the 1-page (simple) version does not designate a termination date. Instead, the contract specifies the number of days’ notice required by either party to end the arrangement (notice of termination must be made in writing).
Services
A service description will outline the contractor’s general work responsibilities. Once the contractor completes the designated tasks, the contractual relationship between the parties will end.
Compensation (pay)
The compensation section will indicate the amount the client must pay the contractor for the services received. Additionally, there should be a brief description of the form and frequency of payment.
Expenses
If the client is responsible for reimbursing expenses relating to the contractor’s travel, materials, food, or insurance, it must be stated here. The contractor should retain all applicable receipts as proof of purchase for reimbursable expenses.
Signatures
The contractor and client must provide their signatures on the agreement. Accompanying the signatures will be each party’s printed name and the signing date.
Function of an Independent Contractor Agreement
An independent contractor agreement details the conditions of a professional working arrangement between an independent contractor and their client. With the contract in place, the parties can be sure there will be no misunderstandings regarding the contractor’s wage, responsibilities, or status as an independent worker.
Independent contractor agreements can be used by painters, electricians, plumbers, consultants, and any other self-employed worker who provides a service in exchange for payment.
Independent Contractor Defined
An independent contractor, or “freelancer,” is a self-employed individual or entity that performs services for a client under the terms of a verbal or written agreement. Among other things, an independent contractor has the authority to:
- Control the manner in which their services are provided, as opposed to an employee who has to take direction from their employer;
- Set their schedule and rate of pay; and
- Take on as many clients as they see fit.
Unlike employees, independent contractors are not entitled to employment benefits (e.g., Social Security, unemployment insurance) and are responsible for withholding their own taxes.
Sample
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INDEPENDENT CONTRACTOR AGREEMENT
1. PARTIES. This Independent Contractor Agreement (the “Agreement”) is made between:
Client: [CLIENT NAME] with a mailing address of [CLIENT ADDRESS] (the “Client”), AND
Contractor: [CONTRACTOR NAME] with a mailing address of [CONTRACTOR ADDRESS] (the “Contractor”).
WHEREAS, the Client intends to pay the Contractor for Services provided, effective [MM/DD/YYYY], under the following terms and conditions:
2. SERVICES. The Contractor agrees to perform the following for the Client: [DESCRIBE SERVICES] (the “Services”).
3. WORK STATUS. The Client hereby hires the Contractor as an independent contractor, and the Contractor hereby accepts the terms of the working relationship as set forth herein.
4. START DATE. The term of this Agreement shall commence on [MM/DD/YYYY]. Either party may, without cause, terminate this Agreement by giving [#] days’ written notice to the other party.
5. PAYMENT. In consideration for the Services to be performed by the Contractor, the Client shall pay the Contractor in the following manner: [PAYMENT].
6. INSURANCE. The Contractor shall ☐ be required ☐ not be required to have insurance attributed to their services provided.
7. EXPENSES. The Client will reimburse the Contractor for the following expenses: [REIMBURSEMENTS] (leave blank if no reimbursed expenses).
8. LEGAL NOTICE. All notices required or permitted to be given hereunder shall be in writing and may be delivered personally or by Certified Mail – Return Receipt Requested, postage prepaid, addressed to the applicable address listed in Section 1.
9. INDEMNIFICATION. The Contractor shall indemnify and hold the Client harmless from any loss or liability from performing the Services under this Agreement.
10. RELATIONSHIP DEFINED. Nothing in this Agreement shall indicate the Contractor is a partner, agent, or employee of the Client.
11. GOVERNING LAW. This Agreement shall be governed under the laws of the State of [STATE NAME].
IN WITNESS WHEREOF, the Parties have indicated their acceptance of the terms of this Agreement by their signatures below on the dates indicated.
Client’s Signature: ________________________ Date: [MM/DD/YYYY]
Print Name: [CLIENT NAME]
Contractor’s Signature: ________________________ Date: [MM/DD/YYYY]
Print Name: [CONTRACTOR NAME]