Hi,
I'm thinking of going to work for a vehicle owner that has a contract with an expediting company. I would basically be an independent contractor, because i would have to pay my own withholding taxes, insurance, etc.
The owner is registered as an LLC, and I woud be contracting to that. The company pays per mile for the runs, and I would make 60% of that. Plus, they pay a fuel surcharge, which I would get 100%.
What would I need to do to be legal? Do I need a business license? Should I form an LLC? What else do I need to know?
The vehicle is a Sprinter. As long as the vehicle is below 10,000 pounds and I don't haul hazmat am I correct that I don't have to keep a log or cross scales?
Is this arrangement a good one? I would get 60% of 82 cents a mile, plus the fuel surcharge of 18 cents a mile. Of course I pay fuel/tolls/parking, but the owner pays all other vehicle expenses including maintenance and repair, and insurance. From what I've read the Sprinters get around 20 mph.
thanks
Driving for an owner as an independent contractor questions
Discussion in 'Ask An Owner Operator' started by 101driver, Apr 29, 2012.
Page 1 of 3
-
-
Trucking Jobs in 30 seconds
Every month 400 people find a job with the help of TruckersReport.
-
If you applied to Swift and they wanted you to work under this same scenario, would you do it?
He is an employer, you are an employee. You do not qualify as an independent contractor. You are providing only a service of driving.
No workmens comp. No insurance. No unemployment.US MARINE, aiwiron, Onetruckpony and 1 other person Thank this. -
Personally, I would pass on that 'opportunity'.
MNdriver Thanks this. -
I wouldn't even pass...
I'd run away. -
guys, i'm really green and new here. please tell me why you think those things?
-
because you are his employee not an independent contractor.
As an employee, you should be having social security and other taxes withheld and paid by the employer.
Legally, you don't even meet the definition of an independent contractor.
If he's doing that, that means he's also pocketing the 7.5% of YOUR WAGES that he is supposed to be paying towards your social security and medicare.
Which mean he is making YOU pay it when you pay self-employment tax.
YOU are getting screwed 6 ways to Sunday.Roadmedic, aiwiron and Onetruckpony Thank this. -
i see.
anyone else care to chime in? i was just about to say yes.
the owner says his drivers are making 1200-1600 a week. a company driver i know said at his company first year can make 40k, which is 769 a week. -
well,
15% for self-employment tax
10% for federal tax
5% for state tax.
that's about the same amount.Onetruckpony and Roadmedic Thank this. -
I knew this was a waste of time before I made my post.
Onetruckpony, MNdriver and VisionLogistics Thank this. -
Take your taxes and expenses out of that and you make less.
This company is looking for a way to skirt tax and labor laws.
Most of these wind up bad.
If they'll screw the Government they'll screw you!
Run Away!
Trucking Jobs in 30 seconds
Every month 400 people find a job with the help of TruckersReport.
Page 1 of 3