Contract vs Salary: What's the Difference?

Many churches ask whether they can just “put someone on contract” and avoid any employer-employee relationship with its accompanying payroll and benefits responsibilities. There are several questions one must ask to determine whether or not the person is an employee or a self-employed person. It is each church’s responsibility to ensure that it is adhering to the guidelines issued by Revenue Canada regarding these questions.

To help you determine what your relationship is, please see the document Employee or Self-Employed (RC4110(E) Rev.19).

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