Who is self Employed?
To be self employed:
- You should have different customers or clients.
- There must be a risk of losing money.
- You should be your own boss.
- You should supply your own tools.
There are four tests available to check if you are self employed:
The Control Test: According to this test you are free to choose what to do without any binding and instructions.
The Organization or Integration Test: According to this test your job should be absolutely independent. It should not be tied to your customer’s business.
The Economic Reality Test: According to this test, You should own your own tools. Your business should be at risk of making a loss.
The Specific result Test: According to this test a self employed individual will do a specific job and get paid for it. Where as an employee will perform many different jobs as required by his / her employer.