getting incorporated as a company driver???

Sounds like fed ex.

 

First of all I had NO idea the posts were numbered..Hee Hee lol Ok this makes more sense. If he is being paid 1099, he might as well do L.P. and incorporate. Alot of folks get paid a 1099 and KEEP all the money,doesn't work that way. Sounds like the company is seeing trouble in their future as far as the old age question...employee verses I.C. If he just incorporates and has no write off expenses,that's not doing him any favors...your thoughts?

 

i've seen a few companies that pay 1099. but they don't make the guy incorporate.

$400 for incorporation. you can file for your license ONLINE FOR FREE. just google your state and city ordinances. i had to file with my state to make sure the name wasn't taken. then i had to file and pay fee to the city. and got my license.

 

Simple answer. NO.

 

Absolutely! This is what has gotten some companies into trouble. They tell you that you are a contractor, make you wear a uniform and tell you where and when to go.

 

I don't know why they want you to incorporate? Unless they are trying to sell you a Truck? Besides if you incorporate you will be an owner Op which means that you will be liable to pay for your own social security Tax which leave's off the hook with the IRS. See if They can ask you to do that in writing? then take their request to an attorney that can get you a fat check from this sorry No good outfit

 

It is not the fmcsa they are getting over on.. It is the IRS and the state employment agency.....Yeah they are not exactly legal with fmcsa but the IRS and state employment agency aren't getting theirs..

 

What's the name of this company, Dewey, Cheatum, & Howe trucking ? Sounds very fishy to me!

 

So they can continue getting away with paying him on a 1099 as a "contractor." These Chicago and SoCal outfits are being cracked down on by the IRS so they found a loophole. If the driver "incorporates" they can continue playing the 1099 game. My advice is run like hell and get a real job where you have benefits and taxes taken out.

 

IRS will find them as well. The corporation formed will have no assets, only personal service performed. It will stand out.