Free Illinois Independent Contractor Agreement Template

Most states leave this contract optional. Illinois frequently does not. Because the Freelance Worker Protection Act requires written terms across a large share of freelance engagements, an Illinois independent contractor agreement often carries statutory duties rather than just good practice.

Illinois is the rare state where statute reaches the document itself, so the requirements below describe the contract rather than only the relationship.

When the Written-Contract Rule Applies

The Freelance Worker Protection Act, at 820 ILCS 193, took effect on 1 July 2024 and reaches contracts taking effect after that date. It covers a natural person hired as an independent contractor to provide products or services in Illinois, or for a contracting entity located in Illinois, where the value hits at least $500 – either under a single contract or across all contracts within a 120-day period.

Who Falls Outside It

The Act excludes employees as defined by the Illinois Wage Payment and Collection Act, individuals performing construction services as defined by the Illinois Employee Classification Act, and construction workers who are employees of contractors. Construction work therefore runs on a separate track.

Payment Timing

Payment falls due on the date the contract sets. However, if the contract names no date and no mechanism for fixing one, compensation comes due no later than 30 days after the freelance worker completes the services.

Recordkeeping

The contracting entity must retain the contract for at least two years and make it available to the Illinois Department of Labor on request. The department is also required to make model contracts available to the public at no cost.

No Filing, Fee, or Notarization

Despite all of the above, nothing goes to the state and nothing costs anything. Instead, the duty runs three ways: create the contract, hand over a copy, and keep one.

The statute sets a floor rather than a ceiling. An Illinois independent contractor agreement covered by the Act must include, at minimum:

• The name and contact information of both parties, including the contracting entity’s mailing address.
• An itemization of all products and services the freelance worker will provide.
• The value of those products and services under the contract terms.
• The rate and method of compensation.
• The date on which payment is due, or the mechanism by which that date will be determined.
• Where the contracting entity requires a list of products or services rendered in order to pay on time, the date by which the freelance worker must submit it.

A copy must be provided to the freelance worker, physically or electronically.

1. Check whether the engagement clears $500, counting all contracts across a 120-day window.
2. Confirm the work is not construction services, which sit outside the Act.
3. Draft the contract with all six required elements above.
4. Give the freelance worker a copy before the work starts.
5. Pay on the contract date, or within 30 days of completion if no date is set.
6. Retain the contract for at least two years.

Build your agreement now and cover the statutory terms in one pass.

The Act sets a floor rather than a full contract. Most engagements also need:

• Ownership of copyright and work product.
• Confidentiality obligations.
• Revision limits, so scope does not drift.
• Termination notice on both sides.
• A statement that the contractor controls how the work is performed.