Free New York Independent Contractor Agreement Template

A New York independent contractor agreement is a written contract between a business and a self-employed worker hired for a specific job. It spells out the work, the pay, and when payment is due.

In New York, most freelance jobs worth $800 or more must have one. That rule comes from the Freelance Isn’t Free Act, which took effect on August 28, 2024.

The written-contract rule turns on the value of the work. General Business Law Section 1410(3) defines a freelance worker as one person, or a one-person organization. What triggers the rule is engagement as an independent contractor for $800 or more.

The $800 Threshold

The threshold counts a single job, or several jobs added together. Contracts between the same hiring party and the same worker aggregate over the preceding 120 days. Four $250 projects in one quarter therefore cross the line.

Figures and deadlines in the statute can change. So confirm the current text with the New York State Department of Labor before you rely on them.

Who Is Covered

Several groups fall outside the freelance worker definition. They include sales representatives under Labor Law Section 191-a, attorneys practicing law, licensed medical professionals, and construction contractors.

Payment and Recordkeeping

Payment falls due on the date the contract sets. Where the contract says nothing, payment falls due no later than 30 days after the freelance worker finishes.

Once work has begun, a hiring party also may not demand a discount as a condition of paying on time.

Section 1412(3) then adds a records duty. The hiring party must keep the contract for at least six years and produce it to the Attorney General on request. Otherwise the law presumes the terms the freelance worker describes are the agreed terms.

General Business Law Section 1412(2) lists the minimum terms. Every New York independent contractor agreement covered by the Act must include:

• The name and mailing address of both the hiring party and the freelance worker
• An itemization of all services the freelance worker will provide
• The value of those services, plus the rate and method of compensation
• The date compensation is due, or the mechanism that sets that date
• The date by which the freelance worker must submit a list of services rendered

That last item is easy to miss. It exists so the freelancer can meet whatever internal processing deadline the hiring party runs on, and so payment still lands on time.

Nothing is filed with a state office. The obligation is to create the contract, hand it over, and keep it.

1. Check the value, including anything you paid this worker in the previous 120 days.
2. Put the five required terms in writing before the work starts.
3. Furnish a copy to the freelance worker, physically or electronically.
4. Pay by the contract date, or within 30 days of completion if no date is set.
5. Store the signed contract for at least six years.

New York State’s Department of Labor publishes a free model freelance worker agreement. Freelance workers may also file complaints with the New York State Attorney General.

Beyond that, your New York independent contractor agreement is yours to shape.

The statutory minimum is a floor rather than a complete contract. Beyond the required terms, consider covering:

• Revisions — how many rounds are included, and by when
• Termination — the notice each side gives to walk away
• Intellectual property — what transfers on final payment, and what does not
• Confidentiality — what each side must keep private
• Expenses — materials, travel, or insurance you agree to reimburse

New York City has its own freelance law, which can apply alongside the state one. Businesses hiring in the five boroughs may therefore want local advice.

Build your agreement now and send it before the work begins.