Which specific activities constitute the administrative burden for independent contractors?
Marketing themselves, negotiating rates, invoicing clients, and managing complex tax obligations
For individuals operating as independent contractors, the role extends beyond the technical service they are hired to perform; administrative tasks become integral parts of their business operations. This burden includes proactively marketing their services to secure the next engagement, negotiating the specifics of rates and scope with potential clients, formally drawing up clear contractual agreements, issuing invoices for completed work, and diligently managing all aspects of their complex tax obligations, including filing self-employment taxes. These activities require dedicated time and effort that a traditional employee delegates to internal HR or finance departments.
