How can I know if I am an employee, self-employed, sole trader, or contractor?

I received an offer letter, apparently, it is a fixed contract.
I would work from Monday to Friday, 40 hours per week, from 8 am to 5 pm. I would receive a monthly payment.
It is a company, not an agency.
Can someone please help me to clarify this?

Replies3

  • If you are based in the USA then it really boils down to: who is paying the IRS. If you are invoicing them and they don’t pay taxes for you then it’s almost definitely a contractor position. In the USA all employers have to collect and pay tax on behalf of their employees. It’s perfectly fine to have contractor terms which don’t report or pay by the hour.
  • @Luke Freeman HELLO! I am based in the UK but this company is based in the US.
    1) I am not sure about PAYE, they use the platform Deel ( it is a payment & compliance platform)
    2) As this is a US company they sent me an offer letter (Fixed Contract) + I would have to submit my passport and complete some details on that platform.
    3) They didn't ask me to record my hours through a timesheet. On the contract is written 40 hours per week, Monday to Friday from 8 am to 5 pm. And on this Deel platform, there is a section for invoices submitted by them

    THANKS IN ADVANCE!
  • Not sure what your contract of employment says, to confirm if you’re a freelancer contracted as self-employed.

    Are you on the PAYE pay system which they/accounts would send you a Payslip ? if that’s the case then you are employeed directly through the company. Did you do any paperwork that means you submitted a passport or give your NI number.

    If you are asked to record your hours through a time sheet and submit an invoice then your contracted as a self-employed.

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