You are an accounting student at a university and also a talented guitar player. During summer vacation, you are hired full time to do bookkeeping for a computer store. You work during normal business hours at the computer store. Your work there is supervised by the office manager, and you are paid an hourly wage. On Saturday nights, you play guitar at a pub. You bring your own instrument and you decide what music to play. You are paid a set price for this gig.

A question arises at both the store and the pub as to whether you are an employee or an independent contractor. This question is important because employers have certain obligations to employees that do not apply to independent contractors. For example, employers are liable for the wrongful acts of employees but generally not for the acts of independent contractors. Likewise, employers must withhold payroll taxes for employees but not for independent contractors.

Are you an employee or an independent contractor at the store and at the pub?

A. You are an independent contractor of both the computer store and the pub.

B. You are an employee of the computer store and an independent contractor of the pub.

C. You are an independent contractor of the computer store and an employee of the pub.

D. You are an employee of both the computer store and the pub.