Independent contractors can establish their own sequence. Employees may be required to submit reports to their em- ployers. Independent contractors are not required to submit reports to their clients. Employees are paid by the hour, week or month. The business and travel expenses of employees are gener- ally paid by their employers.
Independent contractors are respon- sible for paying their own expenses.
Tools and Materials. Employers normally furnish their employees with the key tools, materials and other materials they need to do their jobs. Independent contractors normally furnish their own tools and materials. Employees normally do not invest in the facilities. Independent contractors have a significant investment in the faci- lities they use to perform services for someone else.