[consulting] drupal consulting and agreements
Karoly Negyesi
karoly at negyesi.net
Sun Dec 18 18:56:17 UTC 2005
On Sun, 18 Dec 2005 19:25:32 +0100, Jason Flatt <drupal at oadae.net> wrote:
> On Sunday 18 December 2005 10:13, Laura Scott wrote:
>> Work for hire, in US law, means that you are paid to do someone else's
>> work. The person hiring you owns all you create. If you invent the
>> greatest new thing ever, the person hiring you owns the result and
>> makes the billions. That's an extreme example, but hopefully
>> illustrates.
>>
>> As a consultant or independent contractor, you are a separate entity.
>> You own your own ideas, and are contracted on a limited basis.
>>
>> Also there are tax implications. If it's a work for hire, odds are that
>> the IRS will want payroll taxes withheld from your fees -- i.e., that
>> you be paid as an employee instead of a contractor.
>>
>> Does that make sense?
>
> I'm not sure if it makes sense, but I understand it. :^) I had never
> realized that the US differentiated in such a way, and now I'm glad I
> asked. :^) I could have unwittingly gotten myself into a bad situation.
In Hungary, if you work regularly (40 hours a week), the office and the
tools are provided by the employer then you are an employee and not an
independent contractor. As contractors have better tax possibilites than
the regular employee it's a hot topic here.
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