1099 tax savings

There’s a difference between whose paying for fuel and who’s responsible for the cost,many companies provide their 0/0’s with a fuel card,pay for the fuel and deduct the cost out of the gross income,
In the case of 1099 companies,there is no itemized settlement at the end of the week,there is no contract.
Driver made the payement,got the receipts,all he have to say is fuel was deducted out the gross income weekly,just using their card for the fuel discount.

 

In a different note,the driver is getting a 1099 at the end of the year,the IRS already thinks he’s a contractor and expect deductions,fuel and maintenance is a standard deductions in this industry,no red flags will be raised.

 

No you don’t, it isn’t legal as a 1099, benefits makes you a full employee

 

Ok please read this carefully ... I’ve posted it many times before.

if you are offered a 1099 position this means you are an independent contractor.

This means there has to be a contract, it has to spell out each entity’s responsibility.

No choice.

this means you can turn down work, unless there is a clause in the contract you are there to provide a service for that customer.,

you don’t get benefits, period, you are an employee then.

expenses are spelled out in the contract, if fuel is paid for by the driver, then usually the split is more for the driver, but it has to be in the contract.

I run a 1099 company, I don’t make these offers because while they are not illegal, they make contractors into employees very fast and the irs and department of labor have slammed owners with fines and back wage for many drivers.

 

Kingty are you going to go with them or are you still deciding?

I saw on the job posting that it's for team. How long were you planning on staying with them, to establish yourself in this industry before someone else will give you a chance due to your record? 6 months? 1 year?

I ask because running team at the best of times seems like it would be hard, much less when you're new to trucking and new to the lifestyle of it. Sleep wise and mental wise, I think running solo after you get through your initial training period would be way easier than teaming. Living with somebody 24/7 in what's essentially a closet and having to sleep while going down the road is hard.

During my training we ran "Super Solo" for 1 month (my training lasted 1 month), meaning the truck still parked for 6-8 hours every single night. I only slept 2-3 times in my bunk while the truck was driving for hours down the road, and that was simply due to how exhausted I was. And even though I was exhausted, while I slept I didn't sleep sleep. Not to mention what if you don't get along with your teammate? I got along great with my trainer and it was STILL HARD being in that small truck with him 24/7 during my training period.

I guess what I'm saying is that I think it would be way easier on you to go solo after your initial training period than team driving for a whole year straight or even 6 months straight. But I know you said your options were limited. Hoping it works out for you whatever path you choose.

 

Do you work as a 1099? If so, what is the best way to go about it?

 

I've been 1099 on multiple jobs in my life.
As a baseball umpire (all jobs you are a contractor) I would regularly buy equipment and sell it at the price I bought it at to young umpires I recruited (always cheaper than they could buy from retailers)

I would write it off .... They got cheaper equipment and I got cash back in my pocket. Sam got nothing because I always showed a loss for the year.

Hell one year I bought a bunch of video games off bestbuy and wrote those off. I sold them before I bought them and collected a $10 in store credit for each one I bought.

....then you guessed it....bought something....wrote that off with money I didn't have in the first place.

Just an easy example that anybody can do.

The downside of being a 1099 is that if you go about doing it that way and go into a bank to get a loan you will be instantly declined because you show no actual income on paper but in reality you have more cash than employee status guy.

Don't be afraid to take a 1099 job just buy some cb radios or some #### and flip em.

 

It's all good until those letters with Department of The Treasury in the top left corner of the envelope start showing up in your mailbox.lol

 

Not really.
What's to worry about?

Tv/games needed for computer game pitch training/advertising for recruiting and equipment needed because catchers can't catch nowadays and it breaks.

I've had it happen before and they just went. "Oh ok makes sense."

Better you keep it and do something with it than just hand it to the government and they give it to the 16 month unemployed factory worker that can't find a job apparently.