Benifits For Your Drivers?

A lease from the big carriers is just a way for them to shift maintenance costs and fuel over to the driver. The driver is also not subject to health insurance and employee tax costs.

 

Yes, once you accept a load, then you are committed to meeting the pick/delivery times. That has nothing to do with employee status or not. I do not know why that concept is so difficult to grasp! As an O/O, you CHOOSE whether to accept that load, or wait on another load, or don't move your truck at all.....THAT is your decision.

 

IMHO, I think folks who buy a truck/trailer and then lease on to a carrier are only wannabe independents. No offense intended, but if you are going to be independent, then stay away from a lease carrier, especially one that has it's own trucks to dispatch. Hire you a dispatcher, set your own expectations, get your own authority and do what you darn well please (within the gov regs). There are limits to what a lease carrier can do for you as far as freight (limited freight choices, servicing their customer base, etc.) and if you want to haul THEIR freight, then they may have some to offer you. You don't accept a load they offer, you probably do go to the bottom of the list. But to think that you can make demands on a dispatcher of a lease carrier and they will kowtow to your every whim and wish is unrealistic, all the while claiming "I am a contractor and you can't treat me like an employee."

If on the other hand, your goal is working towards truly becoming an independent and you own or are buying a truck, but 1) don't own your own trailer, 2) can't buy fuel without an advance, 3) aren't figuring and paying your IFTA, 4) aren't paying your own plates, etc., etc., etc., then perhaps you take whatever freight comes your way as long as it fits your business plan.

 

Well, since you can't seem to GRASP the notion that if the Company you are leased to CONTROLS what loads you pick-up; technically they DIRECT your work you are considered (bu the IRS) an employee and in order to differentiate between a "contractor or employee" you have to jump thru 4 "hoops" to make this determination.
Since (in THIS thread and others) I have supplied the LINK to the IRS' website that explains all this and you chose to ignore it and continue arguing about something you have no idea about, I wonder why you even bother? Why not sell your equipment, because obviously there is a problem understanding simple IRS rules.

 

If they tell you: "We have a load from A to B", you do not take it and as a result you are "punished" (put on the bottom of the dispatch list) That is NOT considered giving the "driver" a true choice. That is in fact "Forced Dispatch".

"Take this load or else", is basically what they are saying, so even you were "leasing" the truck, you would still be considered an employee.

 

OK enlighten me since you're real sharp with the laws and the regulations...
Where is the difference between an employee and independent contractor ?
Why should a driver consider being treated as an employee instead of and independent contractor ? ( money related )

 

A contracted BROKER is as what it states. You are NOT an employee of that company and hold your own authority by law.
Even if you Lease a truck to a company it's clearly stated in the Lease "somewhere" to cover the LESSOR so to NOT have to withhold TAXs, BENEFITS, ect on you. They are Leasing the TRUCK! NOT the driver.

The only reason the qualify you as a driver is for THEIR Ins purposes.

It's UP to you as a LESSEE weather or not you pay a driver that is qualified and wish to provide that driver with benefits.
I do know by LAW you cant 1099 your driver.

If you provide your driver with a truck? He's an EMPLOYEE Not a 1099 Contractor.

My 2 Cents,
Matthew Sr.

 

But the point is that by simply saying "take the load or not" does NOT mean the company is "NON-FORCED DISPATCH". The IRS ONLY considers a company that offer a "choice" of SEVERAL loads (at least MORE than ONE) as TRUE "Non-Forced" Dispatch and MIGHT consider the company that does not as an "EMPLOYER". But hell, don't take MY word for it, call them yourself and ASK them.