Which statement accurately compares employees and contractors?

Independent contractors are generally paid as nonemployees and receive a Form 1099 from the company to report their compensation. Employees typically receive a Form W-2 instead, so “Only contractors receive a 1099 from the company” is the accurate comparison. Contractors usually set their own work hours, and neither group automatically has a say in how company profits are spent.

AI-written and checked against the verified answer.