What best distinguishes an independent contractor from a dependent contractor?

• A. They are integrated into the company culture.
• B. They work for more than one client.
• C. They receive employee benefits.
• D. They must be employed full-time by one employer.

Answer: (B)

The key idea is how much a contractor relies on a single client versus having multiple opportunities. An independent contractor typically works for several clients, which shows they aren’t economically tied to just one employer and they control how they take on and perform work. A dependent contractor, by contrast, isn’t an employee but relies heavily on one client for a substantial part of their income and may be more integrated into that client’s operations. That difference in the number of clients is the clearest signal separating the two: working for more than one client demonstrates independence, while dependence on a single client indicates a dependent relationship. The other options describe traits common to employees or are less definitive about independence (integration into culture, benefits, or full-time single-employer status), and don’t as reliably distinguish independent from dependent contractors.