Unfortunately, there is no one universally applicable test for determining whether a worker is an employee or independent contractor. The applicable test varies according to which law is being considered. It is possible that a worker could be held to be an independent contractor for the purposes of one law (e.g., taxes) and an employee for the purposes of another law, such as the Fair Labor Standards Act (FLSA).
Regardless of which test is applicable, generally speaking, the ultimate determination is made on a case-by-case basis only after considering how much direction and control the company retains over not only the desired work results but also the means and methods to accomplish them. The more control workers retain over the manner in which they achieve the desired results, the more likely they will be deemed independent contractors. In contrast, the more control the company reserves over the manner in which the work is performed, the more likely the workers will be deemed employees. Three of the most common tests are the: