In today’s business world most employers would rather classify the people, who help them achieve their objectives as independent contractors rather than employees. There are some obvious differences between employers and employees:

1. Employers must withhold taxes from employees while independent contractors pay their own employment taxes.

2. Employers have vicarious liability for the acts of their employees like car accidents caused by employees. An independent contractor's accident would not make the employer liable.

3. An employer must pay unemployment insurance and have Workman's Compensation Insurance for employees, but not for the independent contractors.

Get all the details at our Business Law Blog: http://www.bizlawyer.biz