Independent Contractor V/s Employee

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Independent Contractor Vs Employee
Presented By- Certica
Certica.com.au/
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Independent contractors

• In 1999, Independent Contractor was established
  in Australia.
• Independent contractors run their own business
• Agree to the hours required to complete the job
• Usually engaged for a specific task or time
• Dont receive paid leave.

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Advantages

•  Being Independent
• Deducting business expenses
• Greater Control of Your Benefits and Finances
• Maximize retirement savings

Disadvantages

• No Guarantee of Income
• Paying Business Expenses
• Extra administration
• Limited job security

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Employee

• Typically perform work, under the
• direction and control of their employer,
• on an ongoing basis.
• Gets paid for time worked usually weekly
• or fortnightly
• Submits regular reports
• Has no investment in facilities used

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Advantages

• No profit or loss incurred
• Tools and equipment paid by employer
• Trained by employer
• Sense of superiority

Disadvantages

• Paid by the hour or salary
• Must follow set order of work
• The difficulty to match the IQ level
• Difficulty in switching

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Difference
INDEPENDENT CONTRACTOR EMPLOYEE
Has a high level of control in how the work is done. Performs work, under the direction and control of their employer, on an ongoing basis.
Risk for making a profit or loss on each task. No financial risk
The worker is not operating independently of your business. The worker is operating their own business independently of your business.
Worker has freedom in the way the work is done, subject to the specific terms in any contract or agreement. Business has the right to direct the way in which the worker does their work.
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Conclusion
It is important for businesses to understand the
distinction between employee and independent
contractor. Correctly classifying workers before
they perform services can save a business
confusion, difficulties, and possible fines down
the road. Contract is existed between
independent contractor and party who engage his
work with them. It show all term and condition,
and you want simple and compliance contract that
help to create strong relationship between two
parties then certica is here for you.
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Address- Level 3,457 Upper Edward Street Spring
Hill QLD 4000Phone No- 1300 301 401 Email
id- info_at_certica.com.au