gotta remember what the state says is one thing. how the feds see it could be different.
here is the IRS web site and what it thinks.
here is My Op. Of course my opinion and $1 may still get you a candy bar...
A sub contractor is someone you hire to do a job. who generally provides his/her own tools, and is not directed on HOW to complete a task. The Sub contractor generally bid a job and is paid a final price based on the completion of the job. Ie you hire an electrician to wire up your shop.
An employee is generally subject to the businessís instructions about when, where, and how to work. All of the following are examples of types of instructions about how to do work.
When and where to do the work.
What tools or equipment to use.
What workers to hire or to assist with the work.
Where to purchase supplies and services.
What work must be performed by a specified individual.
What order or sequence to follow when performing the work.
the litmus test IMO is discipline. if you can discipline a person. then they are an employee... You generally cannot discipline a subcontractor.
take a look at the fed site it may change your mind...