Am I missing something, 1099?

I'm at Landstar. I'm 1099. So is every O/O everywhere.

In regard to someone being a company driver, perhaps their options are somewhat limited at the moment.

 

You assumed correctly. 0.45 per mile won't get even the stupidest o/o to apply. Definitely company drivers and definitely stay clear.

 

It's not a matter of want. We are contractors.
At the end of year that's how contracts are accounted for by the people remitting the funds.

Boeing gets a 1099 from Uncle Sam in the hundreds of billions at the end of the year.

 

I knew a guy that used to work for a fleet operator leased to Landstar. Booked his own loads and was 1099. It worked out fairly well until he took a breaker bar to the face then found out life without health insurance sucks.

In my neck of the woods 1099 companies take on people that no other company would touch. So it works out, the company gets to bleed the last bit of life out of the driver, and the driver gets a place to sleep for a while longer, pretending he isn't homeless, but just living on the road.

 

Ok many times it is a form of cheapness for owners who refuse to do their employees right. Most don't compensate them for the additional taxes and most of them are squeezing pennies out of them as much as they can. A lot of these owners tell the drivers what to do, what loads to pick up and even routing. That makes them an employee, and withholding should be done.

However there are owners who use 1099 to the advantage of the employee, I am one of them. As you know how contracting houses work, there is a lot of independence to do the job for the customer and my company there is almost the same to get the job done. The driver has a fixed percentage rate on loads they pick and the additions come in play later on. I don't route, I don't play games, I make sure that they have the tools to do the work in a professional manner. The compensation paid to my drivers with a check still puts them ahead for a lot of reasons and the savings I have is passed on to them in their perks.

This has been used by other owners, and it has passed IRS scrutiny several times.