Know Your ABCs

Before hiring independent contractors, consult first with a lawyer who's well-versed in the rules everywhere for federal and state-worker classification laws because they vary widely.

There are some states where independent contractor relationships are subject to the "ABC test" where you show that:

a.) the contractor's work is not under your company's direction and control

b.) it is outside the course of your company's usual business

c.) the contractor has an independent business to do that work