1099 Job

Whatever. Your comments beget that of a 13 YO. Girl who's whining over something she wants when she knows it's not right to have.

To answer your three original questions means to ignore the legality or in this case, the illegality of the situation.


Which is. In the eyes of the IRS, YOU are not an I/C.

But hey, you know better.

 

Another reason not to go 1099 is employers are prohibited by law from deducting damages from employee wages. A 1099 driver is a business suppling a driver service and is responsible for the load. If there is a damage claim on the freight the carrier is not prohibited from deducting the claim from the settlement .

 

these scumbags who run the 1009 scam do pay 25%, but HERE is how they do that. when a load is offered by a broker, the carrier is immediately paid one half of the total cost of the line haul. the driver is paid the 25% of the load revenue on the half up front. you can believe it or not. when i was operating that way, my dispatches showed what my portion of the load paid. it took all of a whole 2 trips with the fuel cost adding up for me to figure out what was happening and how the money game was being played.

company operators who do this avoid paying all the taxes on the money. the bottom line is if you were working a legitimate job, and the company folded up and split town, you do not have to worry about taxes being paid on the money. the 1099 job makes you liable for everything.

not to even mention that by paying you 1099, they are making a ton of money hand over foot at your expense. they are avoiding all the money spent on taxes and workmans comp insurance. all you are doing is making some slimeball a fookload of money.

they will make you pay for damages to truck and freight, and the one i worked for screwed the drivers and made them pay for the repairs that the truck needed when it failed a DOT inspection.

we are not ball bashing you by any means. i have a thread on here where i had enough and left, and that thread chronicles my troubles and legal roadblocks in getting my money that was legally owed to me. if you get in a dispute over something and you decide to leave, you will find out about the headache firsthand.

in other words, and im sad to say this goes for all trucking jobs, they have to answer to no one. if you have a wage dispute , all you are entitled to is minimum wage for the hours you drove. dont believe me, call the US wage and hour division. trucking is interstate commerce, therefore the employers have no state laws to follow. and that is wrong.

 

As long as you are listed on his insurance you should be covered in case of an accident. If you don't have workers comp, then you need to get an occupational accident policy. OOIDA has them for about $140-150/month. Other companies write them, as well. I like the occupational accident policies better than workers comp and they are usually less expensive. The occupational accident policy is similar to workers comp. It will pay for injuries and loss of income up to the amount listed on the policy. As far as the taxes, you will pay the employers part of the social security tax, which is about 7.5%. As an independent contractor you may have additional deductions which could actually lower your taxes than if you were strictly listed as an employee. Personally, I prefer the independent contractor arrangement and would rather be paid in that manner. As an independent contractor you need to remember to save enough to pay your tax bill each quarter. As an independent contractor you are self employed. You only pay taxes on the net amount of your income after expenses. You can still take the daily per diem on taxes. I believe it is $59/day. As an employee, you pay taxes on the entire net income paid to you by your employer. For instance, as an employee your employer pays you $50,000. He will take income and social security taxes out on that entire amount. You may receive some of the income tax deductions back at the end of the year due to your deductions, but you will not have use of that money until after tax time. Essentially, you are giving the government a interest free loan. As an independent contractor, you only pay taxes on your "NET" income, which is what is left after expenses. Let's assume that you are out 5 days per week for a year. Just including the per diem deduction, you would pay taxes on $50,000-$14,750 = $35,250. There could be other deductions that you could make and deduct, such as your cell phone, internet service, etc., Remember, as an independent contractor your social security and income taxes are paid on the net. As an employee you pay on the gross pay from your employer. I won't try to sway you one way or another, but it may give you a little different perspective on the matter.

 

I don't know where you got your information, but you are way off base. Carriers are not always paid 50% of the rate up front. Any money that is advanced is primarily for fuel. That doesn't have any effect on the driver who is paid percentage or on a 1099. I don't know of any carrier that pays on the advance money. Drivers who are paid percentage are paid on the total amount of the load. If the load pays $1,000 and the carrier takes a $500 fuel advance, the driver is paid on $1,000, not $500.

Whether a driver is paid on a 1099 or W2, both are legitimate jobs. The only difference is who pays the taxes. Just because a driver is paid on a W2, doesn't necessarily mean that his taxes will be paid by the employer if the company goes under. Either the money is there or it isn't. An employee is still responsible for his taxes, whether they are paid by his employer or himself. Keep in mind that the only difference in a 1099 and W2 is the 7.5% social security tax. The employer deducts the income taxes and employee portion of the social security taxes, but the driver still pays the taxes. The difference is who writes the check to the IRS.

As far as repairs being paid by drivers, unless the driver abuses his equipment the company usually pays for all repairs. If a driver abuses his assigned equipment then he should pay for repairs, whether he is paid on a 1099 or W2. Most carriers will pay for repairs even if it is questionable as to whether the driver was responsible. Some will deduct the repairs from the driver's pay. Unless there is negligence on the part of the driver then I doubt that most carriers would expect a driver to pay for repairs, unless the driver was doing a lease purchase from the carrier. In that case, all repairs would be on the back of the driver.

 

take a job working a 1099 position. otherwise, your point is just like the others here. a point. i have been down that road, and that is the bottom line. i dont care who listens to the information or not. facts are facts.

 

Good choice.

 

Now that sounds shady as midnight, no way I would ever do that.

 

A 1099 for a driver has few if any win wins for the driver!!!!!!!!!!!!!!!!!


Its not some thing that I'd be involved in!

Its been covered 1000 times that some one being ONLY a driver is not an independent contractor in any shape or form.
If you are bringing your own truck to the table then yes you can be an IC operator.