Introduction

Here's high-level guidance on deciding when to add a contractor vs. a vendor:

You may also make your decision based on differences in product functionality. Because a company's team is typically comprised of employees and/or contractors, we updated the latest version of our HRIS so you can manage vendors separately. Vendors will no longer be grouped with team members and will have a more streamlined experience.

Note: You may not have access to the latest HRIS yet, but it is important for you to understand the differences in functionality for contractors and vendors. All customers will be migrating to the latest HRIS in 2024.

Adding a contractor to Plane requires more information — such as legal name, date of birth, and residential address — than is required for vendors.

Contractors also have access to specific HRIS functionality designed for team members:

Vendors have streamlined features:

A contractor may optionally provide a business name and business address. This is most commonly used when the business is a sole proprietorship, but it isn’t limited to this business type.

If the contractor has a business and you use a Plane-generated contract, the contract will be between your organization and the contractor’s business, with the contractor as the signatory. Otherwise, the contract is between your organization and the individual contractor.

Both contractors and vendors should complete Form W-8 and Form W-9. How they fill out this form is independent of your decision to add them as a contractor or vendor.