OTR drivers....are you w-2 ?

My job is W-2 but I've done 1099. 1099 jobs are good for those people with a jacked up license, those who have felonies, etc. They're good for rehabbing your career without having to go thru SAP or anything like that. I'll warn you, 1099 companies will try to make it seem like they're paying a lot more than W-2 companies. On the surface it appears that way. Now deduct the cost of insurance from your settlement, then deduct let's say 10 percent from your settlement for taxes. After you do that, your pay is in line with any other company. If a Chicago company pays 60 cpm or better, that's just because they aren't paying any of that other stuff. It's only what the W2 companies would pay you if they weren't paying benefits and such. Real talk, you're not winning if you're being paid 1099 as a company driver. W2 is always better

 

I start with a guaranteed minimum pay every week. Then if I run more miles I get paid for all the miles I drive. Then I get detention pay if more then 2 hours waiting for loading or unloading. If I don't get home for the weekend I get layover pay. I'm W-2

 

Everyone in California is offering a 1099, if you do get lucky and find a job with a W-2 it usually equates to a low wage, that is what attracts people to the 1099. It seems that Chicago has jumped on the band wagon as well but at least the wage is $.60 cpm. Los Angeles will dangle $.42 cpm and act like they are doing you a favor!

 

It shows up in the same box on your W-2 as your CPM wages. That box doesn't show what was pay per CPM and what was hourly pay and what was accessory pay. Pay is pay on a W-2, other than 401k and company paid benefits.

 

After you pay taxes and insurance, it comes out to around 45 cpm. It's all the same. You're only seeing 60 cpm if you are not taking out taxes.

 

This might be more of a per diem question the banker just may not know how to ask ....for instance I pay my guys on avg 55 to 60 k that shows up on w2 and around 15 or 16 that's not taxable as per diem which may or may not show up on w2 ......i.d have to look at how my CPA reports it

 

All of my jobs have been W2.
I can imagine, in 1099. That opens up a whole world of tax write offs. Could be helpful in a state with high taxes like Ca.