Am I liable for costs as a 1099 employee

In my experience in talking to real live people, and even a fair amount here is that they do it to avoid having to pay taxes.
They hate the government "taking" their money, but the same people tend to be first in line at the welfare office.

 

Chicago by any chance?

 

These are good questions to ask BEFORE you agree to work at the company. Don't forget to save at least 30% of your income to pay taxes. 1099 is not for the uninformed.

 

Uncle Sam is the first one that needs to be paid, like it or not. That's where a lot of people put themselves in a bind. O/O need to have enough sense to seek out professional help, even if its just a bookkeeper who can keep them in line and putting aside tax money before anything else. I'm a self created accountant out of my desire to being able to run every aspect of my own business. I'm a control freak, of sorts. It's a weakness, perhaps, but knowing how to decipher financial reports and filing ones' own taxes, has taught me every aspect of small business accounting over the past 20 years. It's nice to be able to compute in my head if I'm really making money or just spinning my wheels, pun intended.

 

30% won't even be enough if you're netting 100k with no dependents, especially if you're in a state that collects state income tax. Better save 40%, in that case.

 

1099 employee

No such thing, Hoss !!! Not in any legal sense. In the company's eyes it is tho because they can dump all their business expenses on to a contractor and still treat him like a company hand. All in the guise of "Running Your Own Business".

 

This cannot be emphasized enough. There are two options:
W-2 Employee OR
1099 (Independent) Contractor

Companies cannot mix and match as they wish. Well not legally anyway.

 

My advise is consult with the lawyer before you get into this situation. certainly take advise from strangers on a trucker board over getting advise from someone who would actually knw, thats how you got into this situation to start with.

 

If they screw you then screw them back by calling the IRS and reporting them

 

Google the IRS 20 factor test sheet. That will answer your employee vs contractor questions. There is no such thing a driving a company truck and being a 1099 employee. I wish your people would get that through your heads.