truck company paying gross not taking ou taxes

The biggest reason for the amount of debt through out this country is people for the most part are just flat out financially irresponsible.

 

I really don't see any advantage to getting paid 1099. I don't thing the few extra dollars would be worth it.

 

If you find it difficult to manage your money and pay your bills, then being paid on a 1099 may not be the best way to go. However, there is often more money to be made (net) with many companies who do pay on a 1099 than some who pay with a w-2. Other than the small amount the employer pays on your social security tax, you will pay the same taxes. The only difference is that you are the one who writes the check to the IRS instead of your company. All you would need to do is put about 20-25% of your wages aside for taxes. That should be enough to pay your social security and income taxes after adjustments when time comes to send a check.

 

Ok, what am I?

1: A carrier sold me a truck by contract BUT it's still in his name. All permits, insurance and auth...all in his name. To be stopped, I look like a co. driver.

2: He tells me what to do like go get this and take that there.
3: He takes w/c out of my check every month.
4: I am responsible for all maint and fuel.

To read the IRS web I look like an employee without doubt...... what say you?

 

...anytime an employer offers this type of deal, you're officially an independent contractor, totally responsible for taxes, so know up front 2 things:
1) you have to not only pay your taxes, but suggest paying them quarterly
2) you have to charge more so you're still making a profit, or decide it's not worth it
...another one of those "painful" lessons in life, don't do it unless you're prepared

 

When I worked under the 1099 I ad no idea. I thought we were being paid under the table sence it was cash but come to find out the boss man was writing a check and cashing them for every one handing us an envelope every week. We weren't making much of anything anyway but didn't know until I recieved the 1099 in the mail after the first of the year. Thats why I got screwed because I didn't save anything because I didn't know.

 

Whether you were paid in cash or with a check, you should have known that you would need to pay taxes. You screwed yourself. Your employer didn't screw you unless he didn't pay you as agreed.

 

Did you sign a lease agreement giving the carrier the right to tell you what to do and act on your behalf? Did you agree to pay the carrier for this service, in exchange for a loan on a truck you couldn't get through other means?

If so, you are an independent contractor with a sub-prime truck loan.

I hope you pay it off quickly.

 

The most dangerous thing about working on a 1099 is if anything happens such as an accident, you have no protection. You are an independent contractor and you are liable for anything that happens. Get hurt on the job, pay for the medical treatment out of your own pockets, get sued and the owner will laugh at you, because you are behind the 8 ball, not him.

 

If you are in an accident and get into a lawsuit, you and the carrier will be sued. They will go after the owner of the truck whether it is the carrier or the owner operator. They go after the deep pockets and that usually means the insurance company and whoever has the authority is the one who is responsible for having the insurance. If you are an independent contractor then it is YOUR responsibility to either have workers comp or your own occupational accident policy. The occupational accident policy will run about $140-150/month. A occupational accident policy will pay for your medical expenses and will also pay a portion of your salary while recuperating should you be hurt on the job. Lawyers sue anyone whom they think that they can shake down.