pd on a 1099

1099 doesn't mean that they are a shady outfit or are there to screw you, it means you will be a contractor and not an employee.

Those who seemed to complain about this form of work are the ones who are not prepared to pay taxes.

You will have to take care of your own taxes, yours and the company's share of the social security tax but the one thing that is important to understand is you can refuse work where as an employee, you pretty much have to take loads you don't want to.

 

The law is very clear on this. A driver is not an independent contractor. He does not make business decisions and he has no financial risk as far as assets. The IRS does not like this arrangement.

 

Most 1099 companies treat their drivers like employees even though they pay on 1099.

 

Not even remotely true. I've been a company driver for my entire career. I can't count how many loads I refused, yet I NEVER got terminated or reprimanded from any driving company.

As an IC, you have overhead, therefore less flexibility to refuse a load than a company driver does.

 

I think the original point you're responding to is missed by you. As an IC for a truck/bus mover, you could for instance refuse to run northwest or northeastern states. Try that as a company driver for a 48 state truckload carrier and you won't last long. It may not be in their best interest to turn down a series of loads for whatever reason, but they still retain that option regardless.

Your situation is apparently unique and rare because most companies won't tolerate more then a few refused loads by employees at a forced dispatch company as most are [whether they admit this or not at orientation]

 

Out of Forest City, IA. I would guess you would be moving Winnebago RV's to dealer locations (that's all they have up there) HUGE Winnebago plant.

People have a lot of views on 1099....and most of them are 100% wrong. 1099 DOES suck...but it ain't illegal, and the IRS does not care WHO pays the taxes as long as they get paid. The only caution I can give anyone on 1099 is, just make sure you are good with your money, know what you owe, and pay it. And if you are NOT good with money, hire an accountant.
By the way you don't HAVE to pay your taxes quarterly either on 1099---it is just easier to do, and recommended. Taxes are due April 15th. of each year, and unless you file for an extension, that is the only time you HAVE to pay your taxes. Example: You can pay $4,000 four times a year, or $16,000 April 15th.---as long as they get paid.

I have worked on 1099, and made a LOT of money...but I didn't like taking care of my own taxes. I would avoid 1099; the hassle isn't worth the extra dough.

 

I understand but I read a lot here on this site that people are told to do things or else. SO I count you as lucky to find a good company or companies in your career.

Even working for a company that provides contract/temp drivers, I've been told the same thing - refuse to work or get fired.

BUT as an IC, you don't have any more overhead, you are not an owner and don't have to pay for things like insurance or fuel unless the contract is setup that way (for fuel). As a IC driver, you have that flexibility.

I have four drivers who are ICs, they are not employees because I don't hold their hands, tell then how to drive or anything like that, they know what I expect, they pick and choose the loads they want with a couple exceptions (like one customer who asks for two of them by name for one type of shipment) and they get the help they need to do the job from the companies I am leased to or I deal with the problem directly with the company.

 

An IC for Bennet Drive-Away has lots more overhead. They have to pay their own cab fare, air fare, and/or bus fare back to wherever they decide to take their next job from, as well as hotels in most cases. Yes, they get paid more then a conventional IC truck driver per one-way mile but that's not the point. The point is we're talking about drive-away contract work and that's a different animal altogether.