One thing to consider about contracting or working as a 1099 is that you receive compensation but no other benefits. This is something to consider when you establish your rates. You'll need to pay your own health insurance, dental, vision, retirement, Social Security and FICA -- a combined 30% of your pay.
I haven't checked recently to see what an average hourly rate would be for a 1099 instructional designer. With so much remote work it's hard to say if the rate is dependent on the locale of the employer or more of an average rate across the U.S.
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