Employee or Contractor

At AppGenie we have Employees and Contractors who work with us on various projects. AppGenie meets all obligations as described by the ATO. To assist you in understanding the differences between each of these employment types please see the below:

Employee or contractor

Employee

Contractor

Ability to subcontract/delegate: the worker can't subcontract/delegate the work – they can't pay someone else to do the work.

Ability to subcontract/delegate: the worker can subcontract/delegate the work – they can pay someone else to do the work.

Basis of payment – the worker is paid either:

  • for the time worked
  • a price per item or activity
  • a commission.
 

Basis of payment: the worker is paid for a result achieved based on the quote they provided.

A quote can be calculated using hourly rates or price per item to work out the total cost of the work.

Equipment, tools and other assets:

  • your business provides all or most of the equipment, tools and other assets required to complete the work, or
  • the worker provides all or most of the equipment, tools and other assets required to complete the work, but your business provides them with an allowance or reimburses them for the cost of the equipment, tools and other assets.
 

Equipment, tools and other assets:

  • the worker provides all or most of the equipment, tools and other assets required to complete the work
  • the worker does not receive an allowance or reimbursement for the cost of this equipment, tools and other assets.
 

Commercial risks: the worker takes no commercial risks. Your business is legally responsible for the work done by the worker and liable for the cost of rectifying any defect in the work.

Commercial risks: the worker takes commercial risks, with the worker being legally responsible for their work and liable for the cost of rectifying any defect in their work.

Control over the work: your business has the right to direct the way in which the worker does their work.

Control over the work: the worker has freedom in the way the work is done, subject to the specific terms in any contract or agreement.

Independence: the worker is not operating independently of your business. They work within and are considered part of your business.

Independence: the worker is operating their own business independently of your business. The worker performs services as specified in their contract or agreement and is free to accept or refuse additional work.

In Short

Employee

Contractor

  • Completes Timesheets detail project deliverables and hours
  • Is paid every fortnight and receives a Payslip
  • Has PAYG and Superannuation contributions for the Employee deducted
  • Receives Superannuation contributions from AppGenie
  • Has Sick, Careers and Annual Leave entitlements
  • Work equipment is supplied
  • Is covered by AppGenie's Worksafe and Indemnity Insurance
    Completes Timesheets detail project deliverables and hours
  • Invoices AppGenie on a monthly basis, including GST
  • Invoices are paid in alignment with AppGenie's payment terms
  • Is responsible for Tax incurred on any payment received
  • Is responsible for their own Superannuation contributions
  • Has no Sick, Careers or Annual Leave entitlement
  • Provides their own Work equipment
  • Maintains their own Worksafe and Indemnity Insurance