A contract employee can be a great asset to you business, if you are willing to outsource jobs typically done by an office employee. Especially with the talk about health care reform, you can save a lot of money. You will not have to pay insurance, sick leave, vacation time, or deduct income tax and social security. However, you can still find qualified professional who are willing to work from a decent wage. However, you should request a contract employee to sign a W-9. Then, you will have proof that you had a legitimate business expense. In addition, you can still ask for references and samples of their work, so you know that the project you have in mind will be done to your specifications.