I applied for a driver position with a O/O he asked if I have a business open I told him yes! what will be the best way to go about this with a SS number or with my LLC ? First time working for a O/O any tips ? from experts here ?
If he puts you on a 1099 then it means you won't have workers comp which is very likely against your home states laws. If your "just the driver" so to speak, it should always be a w2. A lot of guys cutting corners hoping to haul for even cheaper then the next guy. I personally would see it as a red flag. As far as social security number to LLC.... not much difference really in regards to how your taxed.
Thank you ! I will have to provided a him with a insurance or pay $ 150 per week I think. I also signed a contract saying that I am there to provide a service, bla bla bla. I am just not 100% sure if that is the procedure for every driver... Thank you
I would run from this guy now. Get a driving job that pays on a w2. On a 1099 you will have to pay double Social Security, pay quarterly filings to the IRS. And if you are hurt you won't have workers comp unless you pay for it yourself and you won't get any unemployment if you lose your job.
Yeah generally the 1099 is to avoid workmans comp which is very costly. Avoid matching your payroll tax contributions which adds up fast. Avoid paying unemployment taxes of any kind. Lastly, they can get by much more cheaply and easily on their back end accounting costs not having to do payroll, just cut a check. Normally I wouldn't care what people do inside their business, but this in particular sort of irks me because it allows them to cut major costs that us legit guys are paying.
I would have thought he would have you sign a W-9 and put you as a subcontractor. Then it is up to you to figure out what your reporting and he wouldnt have to worry about workmans comp as you would be your own boss.