Paid by 1099

I have been working for a company that pays me 1099 for the past 9 months. I wouldnt wish for what i experienced on my worst enemy.

Run FAR away from ANYTHING 1099. Like a poster above me said the company is either cheap or broke and in my case cheap. And when they are this cheap about your pay you can bet they are cheap about EVERYTHING else.

What an awful, awful experience this has been...

 

there are small carriers that do it correctly too

 

It seems to me that a 1099 employee by definition should be illegal in trucking in many situations if you follow the IRS guidelines. I don't know if some of the labor law exemptions override the IRS or what?

Here is the 20 question IRS guideline for determining a 1099 employee.

Behavioral Control Factors

• Does the worker decide their own schedule and location of work?
• Is the company providing training to the worker?
• Does the worker have their own employees?
• Does the worker decide the order and sequence of services?
• Does the worker decide what kind of reporting is provided to the company?

Financial Control Factors

• Will the worker submit invoices?
• Will the worker pay their own business and travel expenses?
• Does the worker furnish his own tools and materials
• Does the worker have his own business?
• Does the worker advertise their services?
• Will the worker recognize profit or loss based on good or bad decisions?

Relationship Factors

• Is the worker retained for a specific project or are they involved in ongoing operations?
• Does the worker have other clients?
• Will the worker maintain independent activities?
• Does the worker maintain his own insurance?
• Is there a signed contract between the worker and the company specifying that they have an independent contractor relationship?
• Does the worker receive benefits?
• Is the relationship temporary or open-ended?
• Are the services provided a key aspect of the regular business of the company

 

Not only that, if they offer benefits where they subsidize them like health care, you are an employee, not a contractor and they will end up in court by the IRS and made to pay the taxes and so on.

 

Stay away from these Chicago companies that pay by 1099. Their all shady. If its a Volvo from Chicago....run far far away.

 

IF they own the truck, it is almost impossible to claim the driver is an independent contractor and not an employee. Who pays for fuel, repairs and who decides when and where to drive? If all answers are controlled by the company than you are an employee. They can not legally pay you via a 1099.

 

1099 they can also launder their tax obligations on to you.... (Saying you made more than you did) don't ever work for a 1099 system

 

I have been in the workforce for over 40 years, since 1974.

Fortunately, by the grace of God, every company that I have ever worked for, paid into social security, Medicare, unemployment, and workman's compensation.

As one gets older, all this becomes much more valuable. When you are old enough, age 62 to 70, social security retirement benefits are based on the highest 35 years of contributions made by both the employee and employer.

Also, with Medicare, one needs to have so many years of contributions made into the system, not sure, but at least 10, perhaps many more as the years have gone by.

Please, whatever you do, stay away from 1099 companies.

Good luck to you!

God bless you and your family! God bless the U.S.A.!