Freelancer vs Independent Contractor: What's the Difference?

When it comes to working independently, there are many different titles that people might use to describe themselves, including freelancer and independent contractor. While the terms are often used interchangeably, there are some key differences between the two.

What is a Freelancer?

A freelancer is typically an individual who is self-employed and offers their services to clients on a project-by-project basis. Freelancers may work in a variety of industries, including writing, design, and programming. They are often hired for a specific project and paid a set fee upon completion.

What is an Independent Contractor?

An independent contractor is a self-employed individual who provides goods or services to another party under the terms of a contract. Independent contractors may work in a variety of fields, including construction, accounting, and consulting. They are typically paid by the hour or by the project, and they are responsible for paying their own taxes.

Key Differences

While there is some overlap between the two, there are some key differences between freelancers and independent contractors. One of the biggest differences is the nature of the work that they do. Freelancers typically provide services, while independent contractors may provide goods as well as services.

Another key difference is the way that they are paid. Freelancers are often paid a set fee upon completion of a project, while independent contractors may be paid by the hour or by the project. Freelancers may also be responsible for their own taxes, while independent contractors are always responsible for paying their own taxes.

Lancr - The Ultimate Solution for Freelancers and Agencies

Lancr is a platform that allows freelancers and agencies to connect and work together more efficiently. With Lancr, agencies can save 75% on fees and two hours a week paying their freelancers. We make it easy to pay your freelancers with smart payment routing and easy-to-use time tracking and approvals. By using Lancr, you can save time and money while still getting high-quality work from skilled freelancers.

Conclusion

Whether you're a freelancer or an independent contractor, there are many benefits to working independently. With the rise of platforms like Lancr, it's easier than ever to connect with clients and find new opportunities for work. By understanding the differences between these two types of workers, you can make the best decision for your career and your financial goals.