New job hunt

renting the truck sounds like a "lease to NOT own" plan.

Will you get to see the "real" paperwork on load revenue?

and paying for damages? That could add up very quickly, even if they are all not your fault. What if the tranny goes out, and he says it is because of your shifting?

I'm not even in a truck yet but this "deal" does not sound too secure...

Mikeeee

 

jeddomike,

Ironpony is right-tax scam. You describe a situation not of an independent contractor by any means but of an employer avoiding the hassles of withholding, worker's comp, unemployment, SS, etc. The only "service" you are providing is your labor, calling it otherwise is not legal. Smelly deal.

It's been a while, but the IRS really cracked down on the exact thing some years back in the building trades. "1099s" didn't make you a "sub-contractor" If you provide labor to a contractor you are an employee.

 

I actually understand what you posted.

Sounds very similiar to trip leasing.

There was an outfit in chicago that does the same as you are talking.

Money was great !!! Even after deducting for the extra taxes and insurance !!!

You've been around for a while, just be sure to check into this company.

Proceed, (as you are aware of) , with extreme caution.

You never know, there are still a FEW reallly good jobs out there !!

 

That's only one facet. A 1099 contractor must be able to refuse loads and must be at financial risk for loss - both of which are part of pulling for a single-carrier. It doesn't sound like you have either option here, but I didn't sit in the room when you were chatting either. Be aware, your "job" could disappear in a hurry if the IRS ever goes back on them for employment taxes. A final observation - 29% is chicken feed. Good luck man.

 

http://www.landlinemag.com/todays_news/Daily/2011/Mar11/030411/030211-05.shtml

Just a link to today's ooida news. It's about a proposed law in Cali to close the "loopehole" about being an "employee" or an "independant contractor" Like they need more laws out there. Seriously though, an "OO" or a "LO" as we use the terms actually runs a business. They assume risks. They have the equipment in their control. If you just drive someone's truck and he sends you a 1099, that's at best a loophole. They want and need that worker comp money and unemployment insurance money bad these days. They are flexing their muscles to get it.

 

Good luck!