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Self Employed Contractor Form

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INDEPENDENT CONTRACTOR AGREEMENT

This Agreement is entered into as of the day of 20 between (“the Company”) and (“the Contractor”).

1. Independent Contractor. Subject to the terms and conditions of this Agreement, the Company hereby engages the Contractor as an independent contractor to perform the services set forth herein, and the Contractor hereby accepts such engagement.

2. Duties, Term, and Compensation. The Contractor’s duties, term of engagement, compensation and provisions for payment thereof shall be as set forth in the estimate previously provided to the Company by the Contractor and which is attached as Exhibit A, which may be amended in writing from time to time, or supplemented with subsequent estimates for services to be rendered by the Contractor and agreed to by the Company, and which collectively are hereby incorporated by reference.

3. Expenses. During the term of this Agreement, the Contractor shall bill and the Company shall reimburse him or her for all reasonable and approved out-of-pocket expenses which are incurred in connection with the performance of the duties hereunder. Notwithstanding the foregoing, expenses for the time spend by Consultant in traveling to and from Company facilities shall not be reimbursable.

4. Written Reports. The Company may request that project plans, progress reports and a final results report be provided by Consultant on a monthly basis. A final results report shall be due at the conclusion of the project and shall be submitted to the Company in a confidential written report at such time. The results report shall be in such form and setting forth such information and data as is reasonably requested by the Company.

5. Inventions. Any and all inventions, discoveries, developments and innovations conceived by the Contractor during this engagement relative to the duties under this Agreement shall be the exclusive property of the Company; and the Contractor hereby assigns all right, title, and interest in the same to the Company. Any and all inventions, discoveries, developments and innovations conceived by the Contractor prior to the term of this Agreement and utilized by him or her in rendering duties to the Company are hereby licensed to the Company for use in its operations and for an infinite duration. This license is non-exclusive, and may be assigned without the Contractor’s prior written approval by the Company to a wholly owned subsidiary of the Company.

6. Confidentiality. The Contractor acknowledges that during the engagement he or she will have access to and become acquainted with various trade secrets, inventions, innovations, processes, information, records and specifications owned or licensed by the Company and/or used by the Company in connection with the operation of its business including, without limitation, the Company’s business and product processes, methods, customer lists, accounts and procedures. The Contractor agrees that he or she will not disclose any of the aforesaid, directly or indirectly, or use any of them in any manner, either during the term of this Agreement or at any time thereafter, except as required in the course of this engagement with the Company. All files, records, documents, blueprints, specifications, information, letters, notes, media lists, original artwork/creative, notebooks, and similar items relating to the business of the Company, whether prepared by the Contractor or otherwise coming into his or her possession, shall remain the exclusive property of the Company. The Contractor shall not retain any copies of the foregoing without the Company’s prior written permission. Upon the expiration or earlier termination of this Agreement, or whenever requested by the Company, the Contractor shall immediately deliver to the Company all such files, records, documents, specifications, information, and other items in his or her possession or under his or her control. The Contractor further agrees that he or she will not disclose his or her retention as an independent contractor or the terms of this Agreement to any person without the prior written consent of the Company and shall at all times preserve the confidential nature of his or her relationship to the Company and of the services hereunder.

7. Conflicts of Interest; Non-hire Provision. The Contractor represents that he or she is free to enter into this Agreement, and that this engagement does not violate the terms of any agreement between the Contractor and any third party. Further, the Contractor, in rendering his or her duties shall not utilize any invention, discovery, development, improvement, innovation, or trade secret in which he or she does not have a proprietary interest. During the term of this agreement, the Contractor shall devote as much of his or her productive time, energy and abilities to the performance of his or her duties hereunder as is necessary to perform the required duties in a timely and productive manner. The Contractor is expressly free to perform services for other parties while performing services for the Company. For a period of six months following any termination, the Contractor shall not, directly or indirectly hire, solicit, or encourage to leave the Company’s employment, any employee, consultant, or contractor of the Company or hire any such employee, consultant, or contractor who has left the Company’s employment or contractual engagement within one year of such employment or engagement.

8. Right to Injunction. The parties hereto acknowledge that the services to be rendered by the Contractor under this Agreement and the rights and privileges granted to the Company under the Agreement are of a special, unique, unusual, and extraordinary character which gives them a peculiar value, the loss of which cannot be reasonably or adequately compensated by damages in any action at law, and the breach by the Contractor of any of the provisions of this Agreement will cause the Company irreparable injury and damage. The Contractor expressly agrees that the Company shall be entitled to injunctive and other equitable relief in the event of, or to prevent, a breach of any provision of this Agreement by the Contractor. Resort to such equitable relief, however, shall not be construed to be a waiver of any other rights or remedies that the Company may have for damages or otherwise. The various rights and remedies of the Company under this Agreement or otherwise shall be construed to be cumulative, and not one of them shall be exclusive of any other or of any right or remedy allowed by law.

9. Merger. This Agreement shall not be terminated by the merger or consolidation of the Company into or with any other entity.

10. Termination. The Company may terminate this Agreement at any time by 10 working days’ written notice to the Contractor. In addition, if the Contractor is convicted of any crime or offense, fails or refuses to comply with the written policies or reasonable directive of the Company, is guilty of serious misconduct in connection with performance hereunder, or materially breaches provisions of this Agreement, the Company at any time may terminate the engagement of the Contractor immediately and without prior written notice to the Contractor.

11. Independent Contractor. This Agreement shall not render the Contractor an employee, partner, agent of, or joint venture with the Company for any purpose. The Contractor is and will remain an independent contractor in his or her relationship to the Company. The Company shall not be responsible for withholding taxes with respect to the Contractor’s compensation hereunder. The Contractor shall have no claim against the Company hereunder or otherwise for vacation pay, sick leave, retirement benefits, social security, worker’s compensation, health or disability benefits, unemployment insurance benefits, or employee benefits of any kind.

12. Insurance. The Contractor will carry liability insurance (including malpractice insurance, if warranted) relative to any service that he or she performs for the Company.

13. Successors and Assigns. All of the provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective heirs, if any, successors, and assigns.

14. Choice of Law. The laws of the state of shall govern the validity of this Agreement, the construction of its terms and the interpretation of the rights and duties of the parties hereto.

15. Arbitration. Any controversies arising out of the terms of this Agreement or its interpretation shall be settled in in accordance with the rules of the American Arbitration Association, and the judgment upon award may be entered in any court having jurisdiction thereof.

16. Headings. Section headings are not to be considered a part of this Agreement and are not intended to be a full and accurate description of the contents hereof.

17. Waiver. Waiver by one party hereto of breach of any provision of this Agreement by the other shall not operate or be construed as a continuing waiver.

18. Assignment. The Contractor shall not assign any of his or her rights under this Agreement, or delegate the performance of any of his or her duties hereunder, without the prior written consent of the Company.

19. Notices. Any and all notices, demands, or other communications required or desired to be given hereunder by any party shall be in writing and shall be validly given or made to another party if personally served, or if deposited in the United States mail, certified or registered, postage prepaid, return receipt requested. If such notice or demand is served personally, notice shall be deemed constructively made at the time of such personal service. If such notice, demand or other communication is given by mail, such notice shall be conclusively deemed given five days after deposit thereof in the United States mail addressed to the party to whom such notice, demand or other communication is to be given as follows:

If to the Contractor:

If to the Company:

Any party hereto may change its address for purposes of this paragraph by written notice given in the manner provided above.

20. Modification or Amendment. No amendment, change or modification of this Agreement shall be valid unless in writing signed by the parties hereto.

21. Entire Understanding. This document and any exhibit attached constitute the entire understanding and agreement of the parties, and any and all prior agreements, understandings, and representations are hereby terminated and canceled in their entirety and are of no further force and effect.

22. Unenforceability of Provisions. If any provision of this Agreement, or any portion thereof, is held to be invalid and unenforceable, then the remainder of this Agreement shall nevertheless remain in full force and effect.

IN WITNESS WHEREOF the undersigned have executed this Agreement as of the day and year first written above. The parties hereto agree that facsimile signatures shall be as effective as if originals.

By:

Its:

By:

Its:

SCHEDULE A

DUTIES, TERM, AND COMPENSATION

DUTIES: He or she will report directly to and to any other party designated by in connection with the performance of the duties under this Agreement and shall fulfill any other duties reasonably requested by the Company and agreed to by the Contractor.

TERM: This engagement shall commence upon execution of this Agreement and shall continue in full force and effect through or earlier upon completion of the Contractor’s duties under this Agreement. The Agreement may only be extended thereafter by mutual agreement, unless terminated earlier by operation of and in accordance with this Agreement.

COMPENSATION: (Choose A or B)

A. As full compensation for the services rendered pursuant to this Agreement, the Company shall pay the Contractor at the hourly rate of per hour, with total payment not to exceed without prior written approval by an authorized representative of the Company. Such compensation shall be payable within 30 days of receipt of Contractor’s monthly invoice for services rendered supported by reasonable documentation.

B. As full compensation for the services rendered pursuant to this Agreement, the Company shall pay the Contractor the sum of , to be paid

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What the Self Employed Contractor Form Is and when it’s used

The Self Employed Contractor Form is a written agreement used when an individual or sole proprietor provides services without becoming an employee. It defines scope of work, compensation, invoicing, tax classification, and confidentiality terms, and clarifies that the worker is responsible for their own taxes and benefits. Organizations commonly use this form with an attached W-9 for tax reporting. Properly completed agreements reduce misclassification risk and serve as evidence of independent contractor status in audits or disputes. The form can be customized to reflect project milestones, payment schedule, and termination provisions, and is often executed electronically for speed and retention.

Why a clear contractor form matters

A Self Employed Contractor Form documents deliverables, payment terms, liability allocations, and IP ownership. It reduces classification disputes, supports accurate tax reporting, and creates an auditable record that can be executed electronically under ESIGN and state UETA laws to streamline onboarding and payments.

Why a clear contractor form matters

Who typically completes and relies on this form

Common users include small businesses, independent contractors, and in-house procurement teams who manage short-term engagements.

  • Independent contractors and freelancers handling project-based work and consulting engagements.
  • Small business owners and startups hiring external talent for one-off assignments.
  • Procurement, legal, and HR teams issuing standard contractor agreements and compliance checks.

Use the Self Employed Contractor Form to clarify expectations, streamline onboarding, and help ensure tax and regulatory compliance across engagements.

Who signs and approves the form

Contractor

An individual owner-operator or single-member LLC who performs services under the agreement. The contractor should provide legal name, tax identification (SSN or EIN), and confirm responsibility for self-employment taxes, insurance, and any subcontractors used.

Client Representative

An authorized company officer, hiring manager, or procurement agent who can accept deliverables, approve invoices, and sign on behalf of the payer. Verify authority and company details to avoid disputes over contract validity or payment obligations.

Essential details the form must capture

Contractor Name: Full legal name as on ID
TIN / EIN: Provide SSN or EIN, exact digits
Payment Terms: Net 30, hourly, or fixed price
Scope of Work: Concise description of services and deliverables
Effective Date: Use MM/DD/YYYY format
Signature Block: Printed name, title, signature, and date

Step-by-step: completing and executing the form

Follow these sequential steps to prepare, validate, and execute a Self Employed Contractor Form for a compliant, auditable agreement.

  • 01
    Prepare: Gather contractor details, TIN, W-9, and scope.
  • 02
    Complete: Fill all required fields and dates accurately.
  • 03
    Verify: Confirm identity, authority, and payment instructions.
  • 04
    Execute: Send for signed acceptance and store executed copy.

How to set up an online signing workflow

Configure an online workflow to place fillable fields, require authentication, and automate distribution and storage for executed Self Employed Contractor Forms.

Field Configuration
Upload Document PDF or DOCX; use final version
Place Signature Fields Add signature, date, and initial fields
Authentication Level Email link, SMS code, or KBA
Notification & Storage Email copies and save to cloud storage

Common routing and submission paths

Typical endpoints for a completed contractor form include secure delivery to signer, identity checks, and archival storage in a document management system.

  • Send to Signer: Email or secure link with signing fields
  • Signer Authentication: Optional SMS code or identity verification
  • Return Documents: Automatic copy sent to all parties
  • Archive: Store PDF and audit trail securely

What to check in your eSignature and storage platform

Ensure your eSignature platform supports required file formats, authentication strength, and integrations for secure eSubmission and recordkeeping.

  • File Formats: PDF, DOCX, Excel supported
  • Integrations: Salesforce, NetSuite, Google Workspace supported
  • Security: TLS 1.2/1.3, AES-256 encryption

Key dates that affect contractor agreements and reporting

Important deadlines include tax reporting dates, records retention windows, and payment due dates that affect compliance and payroll treatment.

Provide W-9 on Request:

W-9 should be provided to payer upon request to avoid withholding.

1099-NEC Deadline:

Issue 1099-NEC to recipient and IRS by Jan 31.

Form 1040 Deadline:

Contractor files personal return by April 15 (extensions available).

I-9 Retention:

Keep I-9 for 3 years after hire or 1 year post-termination.

Payment Terms:

Follow contract terms, e.g., net 30 or specified milestone dates.

Penalties and risks of incomplete or incorrect forms

1099 Late Penalty: $60–$330 per form depending on delay
Intentional Disregard: $660+ per form, no maximum
I-9 Paperwork: $281–$2,789 per violation
Backup Withholding: 24% withheld for missing/incorrect TIN
Misclassification Risk: Potential taxes, penalties, and litigation
Ambiguous Terms: Disputes over scope, payment, or ownership

Common preparation mistakes to avoid

  • Incomplete or inconsistent taxpayer identification leads to backup withholding and delays in payment; always verify SSN or EIN matches IRS records before invoicing.
  • Vague scopes of work allow disputes; include deliverables, acceptance criteria, timelines, and milestones to reduce ambiguity and payment disagreements.
  • Using an employment-style contract rather than a contractor form can create payroll tax obligations; document independent control and method of compensation clearly.
  • Failing to execute or store signed copies electronically can hinder audits; keep a tamper-evident PDF and audit trail for compliance and retention.

How this contractor form differs from an employment agreement

A brief comparison shows the contract’s effect on tax withholding, benefits, and termination rights to clarify classification differences.

Criteria Contractor Form Employment Agreement
Tax classification independent contractor employee
Withholding no withholding employer withholds taxes
Benefits no employer benefits may include benefits
Termination contract-defined termination employment law applies

eSignature vendor comparison relevant to contractor form execution

Pricing and feature highlights for commonly used eSignature vendors to help compare costs and capabilities; signNow is listed first per product data.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by vendor Varies by vendor Varies by vendor Varies by vendor
Bulk Send Yes — Business Premium Varies by plan Varies by plan Varies by plan Varies by plan
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Frequently asked questions about the Self Employed Contractor Form

Answers to common legal, tax, and execution questions to help avoid delays or compliance issues when using the contractor form.


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