An employee is a person who works for a company and is under the control and direction of that company. The company will usually provide the employee with benefits such as health insurance, paid time off, and retirement benefits. The company will also withhold taxes from the employee’s paycheck and may match the employee’s contribution to a retirement plan.
On the other hand, an independent contractor is a self-employed individual who works for a company on a contract basis. The contractor is responsible for their own taxes and benefits and is not entitled to the benefits provided to employees. They are also free to work for other companies while working for the contracting company.
The main difference between an employee and an independent contractor is the level of control and direction the company has over the individual’s work. An employee is typically closely supervised and given specific tasks to complete, while an independent contractor is given more autonomy and control over how they complete their work. Additionally, an employee typically works exclusively for one company, while an independent contractor may work for multiple companies simultaneously.