Independent Contractor vs. Employee: What Every Sub Needs to Know

Whether someone working for you is an independent contractor or an employee isn't a label you get to choose freely — it's determined by the actual working relationship, and getting it wrong can carry real tax and legal exposure.

Regulators generally look at a mix of factors: how much control you exercise over how and when the work is done, whether the person uses their own tools and sets their own schedule, whether they work for other companies too, and whether the arrangement is ongoing versus project-based.

A crew member who works only for you, uses your equipment, follows your schedule, and takes direction on how to do the work day-to-day looks a lot more like an employee than a contractor, regardless of what the paperwork calls them.

Misclassification isn't just a paperwork issue — it can mean back taxes, penalties, and unpaid overtime or workers' comp exposure if it's challenged later.

This is general information, not legal or tax advice. Classification rules vary by state and by agency (IRS vs. state labor department), so it's worth a conversation with an accountant or employment attorney before you build your crew structure around one assumption.