Contractors and Consultants
Internal Revenue Service
The Internal Revenue Service (IRS) states that the relationship between the worker and the business must be examined in order to determine whether a worker is an independent contractor or an employee. The IRS provides publications explaining the factors of determination and information about the reporting requirements for payments to independent contractors.
U.S. Department of Labor
The Wage and Hour Division of the Department of Labor’s Employment Standards Administration has a fact sheet on the employment relationship under FLSA. It states that the U. S. Supreme Court has indicated that there is no single rule or test for determining whether an individual is an independent contractor or an employee for purposes of the FLSA. (PDF, 3 pages)