Employee vs Contractor
In Virginia, I work for a multi op DJ service (meaning "They" have several DJ's that work for them). From what research I have done on the net, it seems I am an employee and not a contractor as it says on my contract with them.
"They" do all the bookings, handle all the consultations, etc. with the client. I am told where to go and when to be there. I use "Their" equipment and music. I use my vehicle to pick up the equipment, go to the job, set up, perform, tear down, and return the equipment with a job report. I have no finacial "risk" involved since I am just doing what I am told. BTW, "They" don't take any withholdings out of my pay. I have to pay the withholding myself at the end of the year. "They" set the pay scale. No matter how much they charge for an event, I only receive a set amount of pay. "They" do increase the amount of pay for a job, depending on the distance I travel. I do deduct mileage for my van. "They" also have a time specific "non-compete clause" in the contract that appears to be enforcible under VA law.
It is my understanding, if I were a "real" contractor, I would be using my own equipment and be set up as an independent business working for "Them". I could work for whomever I wanted unless I signed an exclusive contract with them. There would not be a "non-compete clause".
From my readings, it appears the biggest concern about the difference between an employee and a contractor is the amount of financial risk I have.
It appears I really don't have any. I can quit anytime I'd like, but just can't go into business for myself or work for another service for a specified time and specified area.
Thansk for your comments.
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