1099 Questions?

Discussion in 'Report A BAD Trucking Company Here' started by jwat14, Apr 21, 2019.

  1. jon69

    jon69 Light Load Member

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    None.

    1) The company doing this probably pays zero or very little US taxes. They let the 1099 driver stay on for 3 months or so then get rid of him, erase all his records and the money they made is their- tax free.

    Some 1099 companies that once were exclusively 1099 are now offering both 1099 and W2. Maybe they sense a govt crackdown coming.

    2) As a 1099 employee you have no recourse through the State Dept of Labor for wages owed. Once you get fired or quit they keep your escrow and last 2 week's pay.

    You can go to Court and spend 5-10 thousand to recover 3-4 thousand but as you can see it's not worth it.
     
    Lonesome and speedyk Thank this.
  2. TheyCallMeDave

    TheyCallMeDave Heavy Load Member

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    All of the things the OP said you can do to save your behind if you go 1099 just seems like a pain in the ###, and I say that, because just about EVERY 1099 company around here dictates your day, provides you with a truck, doesn't let you pick loads, tells you when to come to work and when you can go home, where to fuel etc etc, so in that instance, just hold out for a w2 position and save yourself the hassle. Now, IF you found a company that pays 1099 and makes it financially WORTH IT, and also gives you the freedom to pick where you go, where you fuel, the route you take, yada yada yada, then yea, maybe then it could be beneficial, but around here the 1099 companies DON'T allow that, and hardly pay anymore more than reputable w2 companies in the area. YMMV.
     
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  3. truckdriverslave82

    truckdriverslave82 Bobtail Member

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    Here in FL, every trucking company that isnt a mega pays a 1099 for company driver. i worked with one company for almost 2 years 1099 .40cpm and provided me a pdf pay stub every week.. the dispatchers always say they will pay me detention and layover but never did. then they say they have to await payment from the brokers for couple weeks then i can get paid but of course that never happens. I keep reminding them about it but always get the run around. I only stayed with them that long because i wanted to build a steady work history.

    Now that i have it, i got my tanker hazmat endorsement thinking i can get a local tanker job and still get turned down :(

    But there are some trucking companies here that pay 1099 company driver, withold 1 or 2 weeks pay, require you to stay out atleast 4 weeks and make you pay an escrow of at least $2000. they say its because some drivers do damge to there equipment. i hang up the phone as soon as i hear that when there trying to explain themselves. you really want to stay away from companies like that.

    As for the taxes i guess i have a good accountant for example i made $30k for the year and paid $900. not including his services. i later got a letter from the irs saying that i underpaid for obama care so i had to pay an extra $200 for that.
     
  4. roshea

    roshea Road Train Member

    If that is a "good accountant" I wonder what you would have owed if you had a bad one?

    And FYI, just because someone is an accountant that does not make them a tax expert. I see accountants giving bad or questionable advice all the time in this industry and others.
     
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  5. jwat14

    jwat14 Bobtail Member

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    What would you consider financially worth it? Yea thats understandable. Why go through the hassle when you can get a W-2 since technically you are operating as one.
     
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  6. jon69

    jon69 Light Load Member

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    Also, as mentioned on another thread these 1099 companies outsource their dispatch. You will see a number such as area code 708 (which is Chicago) but it's actually a Google Voice number and the dispatch person is talking to you via computer from Ukraine or wherever.

    They don't make much maybe $500/month which is a lot for over there. Also the dispatch is told to treat the drivers like crap and after X amount of time to run them illegal, run them hard and if they refuse they get fired.

    The 1099 Company keeps the escrow, whatever pay is owed and another sucker comes in to take the drivers place.

    Previously I thought why don't the Feds come in and shut these places down.?Well, now I think it's too late. Putting these 1099s out of service would probably cause a big disruption to the economy- the Govt just doesn't want to take that chance.
     
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  7. TheyCallMeDave

    TheyCallMeDave Heavy Load Member

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    You're preaching to the choir here hoss and if you read my post correctly, you wouldn't have included the last sentence. I don't work for anyone under a 1099. As far as what I feel COULD be "worth it?" 2k a week? 2500? Hell, whatever would allow once to pay the necessary taxes and still profit. Depending on individuals and what they "claim" as deductions the situation will vary.
     
  8. jwat14

    jwat14 Bobtail Member

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    The last sentence was just conversation. I was actually agreeing with you. But okay
     
  9. superflow

    superflow Road Train Member

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    Yeah , stay away from the 1099 traps , you will only end up screwing yourself at the end of the day
    ...by the time you pay for an accountant to keep track of your taxes you make about as much as any other w2 driver , this also holds your butt out in the wind if anything goes wrong.
    ....hang the phone up as soon as you hear how great it is to be paid on a 1099
     
  10. supertrucker79

    supertrucker79 Bobtail Member

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    I wasn’t knocking what was said, but I am talking about a broader picture. As blue collar workers, this 1099 business should be alarming to all of us, driver or non driver.

    It amazes me no one references history, in particular the American industrial revolution. Do we really think if the powers that be would not take the chance to have us all living in a shantytown outside a steel mill like so many Irish immigrants at one time?
     
    Last edited by a moderator: Apr 25, 2019
    Reason for edit: Removed political commentary
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