An independent contractor is best described as which?

• A. A worker employed by a company
• B. A self-employed individual providing services under contract
• C. An employee with benefits
• D. A temporary staff member

Answer: (B)

Independent contractors are self-employed professionals who provide services under a contract rather than as employees. They typically bill for their work, determine how and when the work is done, and use their own tools or resources. They handle their own taxes, insurance, and business expenses, and they often work for multiple clients rather than being on a single payroll. Because of this arrangement, they usually don’t receive employee benefits.

The other descriptions describe people who are on a company’s payroll or tied to a single employer, often with benefits or through a staffing arrangement, rather than working as independent, contract-based service providers. That’s why the self-employed, contract-based description best fits an independent contractor.