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Employee or independent contractor?

Why it matters, and the general factors that decide it.

5 min read

If the person you hire is your household employee, you may have tax and paperwork responsibilities. If they're an independent contractor running their own business, you usually don't. What you call them doesn't decide it; how the work is controlled does.

Usually an employee

  • You decide what work is done and how
  • You set the schedule
  • You provide the tools and supplies
  • They work only or mainly for you, regularly
  • Common examples: a nanny or a regular housekeeper you direct

Usually not your employee

  • A worker employed by a cleaning company or agency that pays them
  • A self-employed person who offers services to the public, brings their own tools and decides how to do the job
  • Common examples: a handyperson with their own business, a dog-walking company

Try our quick check

Our "Employee or contractor?" page asks a few questions about the general factors. For a firm answer, see IRS Publication 926 or ask a tax professional.

General information about hiring household help in the US. Rules vary by state and city. House Help Crew isn't paid by any agency, marketplace or service mentioned here.