Do Mega Carriers Hire On 1099?

Not being sarcastic, but if you have no truck, what do you have that you can depreciate?

 

Actually you can depreciate items, the entity doesn't matter, go get an accountant and have them explain it to you.

By the way the IRS will ask you what your status is as a driver and they may not buy your story which will screw every driver at the company, they are not stupid and they know the games played.

 

I think the point people are trying to make to you is that there is no real advantage to you. Your tax burden will be higher because you will be paying the entire burden of SS and Medicare not the half you currently do. Your write offs are the same regardless, especially if you are just driving someone else's truck. You don't get any depreciation, they do, you don't take any capital losses, they do, and so on and so forth.

All you will be writing off are the day to day expenses which you would as a driver anyway.

Then there is the matter of combing with the ACA.

 

I'll forward this thread to a friend of mine that's an auditor for IRS. His opinion of the OP's plan should be interesting.

 

#1, your premise is highly suspect ... why a "mega carrier" for crying out loud? There are fleet contractors and fly-by-night carriers all over who would love to speak with you assuming you're of the "right mindset"

#2, why not just become a full-fledged owner operator or lease contractor? Those opportunities are a dime a dozen, too and you could put your own "contractor" behind the wheel after you've had your fill.

 

Further, there are expenses that ICS have that drivers don't, and that's occupational insurance, or workers' comp. My occupational is $35 a week, which would be $1,820 that as a company driver, I wouldn't have to pay. Nice, I get to deduct it, but I still have to pay it in the first place.