Question:
Tossing around a couple of job prospects. One driving job is to work for a smaller company. The owner will give me a 1099 form (self-employment)Should I or should I not work for this company? Any of you senior members have suggestions I am all ears! Thanks! Blue

Answer:
Nothing wrong with being a Sub-contractor if the money is there. The only real problem is workmans comp. You most likely will not be covered for on the job injuries. Thats a bad thing. Something you may want to check out first. It's easy to get hurt as a driver and you dont want to be stuck with no bene's if it happens.
If you make enough and can afford your own bene's that would be good. You will also have to do your own taxes. Make sure you save for them when the time comes.
it's all about the money in a sub-contractor job. Is the pay there to cover the other items you need. If not then a regular company job would be better.
"There is just something about fresh winter snow and a river. The day is bright even if it is cloudy, the water is friendly even if it is cold and the fish are there even if they are not biting."

Answer:
I really appreciate that advice Stuffs! Here is the scenario. Having been out of a truck for awhile I have limited choices. Training school company or now the possibility of being hired as a sub-contractor for more money. My wife has great medical insurance and has a solid job. Between going with a training school company or this small truck company which should I choose? Again I will appreciate any comments or advice. Thanks! (the sub-contracting job will pay about 8-9 bills a week)

Answer:
Be REAL careful here! I drove for an owner-operator last year. The money was damn good--.50CPM but he was/is a scumbag plus there was a lot of unloading so I stopped that crap.
Anyways, another guy I know drove for him and hurt his back. The doctor/medical bill was $5000.00 smackers! Driver tried to get O/O to pay for it:
O/O says, "Sorry you're an independant contractor you're not covered by me or workers comp."
Driver: "Let's go visit my lawyer, O.K.?"
O/O: "Here's a check for $5000.00!"
So, the thing is even though an I.C. is not covered by workers comp nor is the company or entity s/he contracts to obligated to provide protection, s/he may sue the company if the injury was caused by negligence on the part of the company.
There's mounds and mounds more to discuss about being a freelance driver, but too busy now--will continue later.

Answer:
NC law states you have to workmen's compensation coverage no matter if you are the only employee.
Good luck in Charlotte!

Answer:
This has been discussed over and over, but in short, it is completely illegal. Go to the Tax Forum and let a professional answer this for you.
Just a grouchy old man.
"The average dog is a nicer person than the average person"-Andy Rooney

Answer:
Between going with a training school company or this small truck company which should I choose?
Training School Company.
The money may not be all that great, BUT....
At least you'll have bennies & work comp & most importantly, Job Stability & a Guaranteed paycheck.(the training company is not going to fold up & leave you hanging w/o pay w/o any notice....unless they SUDDENLY get eaten alive by SWIFT.)
Not to mention a better chance of getting home in an emergency.(b/c they will have a better chance of getting a drvr to switch loads w/you so you can make it home.)
The training company will more than likely have more Freight to keep you rolling.(unless the O/O in question has a good customer base built up.)
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Ordinarily, I'm all for working for an O/O or a small ma & pa carrier.
But, this did NOT seem like a case that I would TRUST That Particular O/O. SOMETHING about this scenario does NOT seem to be on the up-n-up.(I just can't put my finger on it.)

Answer:
1) You are supposed to file quarterly estimated tax returns. This is very much like doing your taxes 4 times a year.
2) At your stated weekly pay, you will have to pay 7.65% self-employment tax. Deduct that from the 'higher pay' (e.g., 90 cpm becomes 85 cpm with the stroke of a calculator key).
3) You probably should carry occupational hazard insurance in addition to your wife's coverage (if an insurance company gets a whiff of a job-related accident they may get cranky about paying). Occ hazard is kinda like workers comp for the self-employed.
If the company is simply planning to pay you on a 1099 while you drive their truck on a forced dispatch basis, the IRS will probably disallow the entire arrangement, leaving a quagmire for both you and the employer.
If it is an IRS-legit arrangement, then there are a ton of other details to consider that will have a major effect on your net pay and effort (fuel tax reporting, fuel surcharge pass-thru, base plates, cargo and truck insurance, etc, etc, etc).

Answer:
FYI: According to the FMCSA (US DOT) you are still an employee of the carrier and the carrier must:
1. Have you do a pre-employment drug test
2. Enroll you in their randm D & A program
3. Verify 3 years of previous employment
4. Verify positive or refused drug or alcohol test
5. Ensure you're medically qualified
6. Have you fill out an application for employment
7. Maintain a DQ file on you
8. Have you turn in your logs within 13 days
9. Maintain your logs for a minimum of 6 months per Part 395
10. Maintain your logs for 3 years per Part 379
Many carriers believe the 1099 relieves them of duties as required by the FMCSR. This is a bad assumption and is not true.
The only way a carrier is relieved of any responsibility for a driver is if the driver has their own US DOT and MC number and the carrier acts as a broker in regard to the transportation of freight.
John Q.
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51st Federalist Papers"If men were angels...No government would be necessary."
51st Federalist Papers
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