Home daily driver being paid per diem?

Discussion in 'Questions From New Drivers' started by cstew, Apr 2, 2014.

  1. stranger

    stranger Road Train Member

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    In response to a post above about anecdotal knowledge, Roadmedic is a tax specialist.
     
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  3. NewNashGuy

    NewNashGuy Road Train Member

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    I know for a fact that legally you get paid per diem for every day you are not home as a truck driver. If you deliver a load out of state but return to your house after your work is complete during the same day you do not qualify for per diem that day. I asked multiple accountants this question before.
     
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  4. cstew

    cstew Bobtail Member

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    Hello everyone! Thank you all for your input. After looking over his paystub I realized that they are not taking out CA SDI either. He reports to work at a warehouse in CA everyday even though the company is based in the east coast. From what I've read he should be paying into that as well. Jeez! This isn't looking good at all!
     
  5. cstew

    cstew Bobtail Member

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    Thank you for your help. The numbers I used were just an example. I didn't know how much detail I should get into here so I fudged them a bit. The correct numbers are below.

    Gross Taxable Wages: $1055.00
    Per Diem: $295.00
    Total: $1350.00

    Social Security tax on this stub is $65.41. The are also charging him local NJ taxes when he is based, and never leaves California. Is that right?
     
  6. HotH2o

    HotH2o Road Train Member

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    No disrespect but like another member stated you should post this question on a forum related to taxes. Most of us drivers can't even agree on the definition of the 30 minute break rule. Don't expect to get us to agree on your per diem question. Haha
     
  7. cstew

    cstew Bobtail Member

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    Will do. Thank you.
     
  8. Roadmedic

    Roadmedic Road Train Member

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    You take the Gross taxable wages of 1055.00 and multiply it times the social security rate of 6.20% and it equals the 65.41. So, it appears they are not reducing the gross wage for the per diem pay.

    However, I am wondering why they are paying him per diem pay unless it is because he is based in NJ and is in California as a benefit for the expense outlay for meals. They are not taxing the per diem in this case.

    As far as NJ, is this where he lives?

    Was it where he lived when hired?

    Is he a resident of California?
     
  9. cstew

    cstew Bobtail Member

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    Apr 2, 2014
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    Hello again.

    He is a resident of California and is home every night. He was hired and clocks in every day at a warehouse in CA. I don't get why they are giving a per diem either and they won't return phone calls. Seems like something shady to me.
     
  10. Roadmedic

    Roadmedic Road Train Member

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    Does not look shady. Looks like they think he is from NJ.

    I would be contacting them to get more information on this and stop it if not eligible. What is the exact amount of the earnings for the week. Not the gross wages.

    Are they withholding NJ taxes from the check?

    If so, you need to correct this immediately.
     
    Last edited: Apr 3, 2014
  11. Bigray

    Bigray Road Train Member

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    treat the per diem as extra income to you, and you will have to claim on tax return at end of year
     
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