Is this a decent gig? Kind of long. Sorry
 

Me and another driver who lives close to me drove for the same company, but we quit because things were going so bad at our last company. He got on with another company and wants me to come over and put my app in with them and I want to know if this seems like a decent deal.

Small company (around 12 trucks), and probably about that many drivers, they slip seat, out 4 days and off 4 days. Trucks are old. Newest ones are 05 Columbias with auto trans. Some are like 10 years old with close to a million miles. My buddy says the owner stays on top of maintence though.

All reefer -produce,bread, etc- loads from NC to PA or in that area. If he has a back haul, you take that, or if not, he dead heads you back. Basically do 2 trips, then go home for about 3.5 to 4 days

Pay is by the load. So if you just come back empty every time, you won't make as much money. So far my friend says you make around $600-$800 wk. And if someone needs off, you can take one of their runs, then you would be gone 5-6 days, but make closer to $1,000

One thing that worries me is that the owner does not supply any benefits, and he pays on a form 1099, so there are no taxes taken out. I'm 31 and pretty healthy, but you never know.

The lot where we drop the trucks off is ony about 5 min. from my house. I think that is every thing I know about them.

So how good does this sound?? Not trying to be picky, but not sure how bad getting paid on a 1099 is.
Thanks!

After you take care of the taxes, $600 comes out to about $420 for you, $800 would be about $560 for you, and a thousand would come out to about $700 a week. With a 1099, you had better allow for the taxes or you will be hit really hard when tax time comes around. You could find yourself trying to pull money out of your butt to try to take care of the taxes. it would mean between $180 and $300 a week going into a bank account that YOU DO NOT TOUCH, so that you have the money for taxes.

Thanks for the reply. I am usually pretty good about saving money. My buddy said the owner has someone that you can call and report your taxes to eack quarter or something like that (if you wish).
Couldn't I just put like two hundred dollars a week in a seperate savings account and just pay my taxes out of that at end of year? And that way I would even be getting interest on the money?

Contractor (Self-employed)
 

When you're paid by 1099. you have to pay taxes (income, FICA, SS) on a quarterly basis as if you are self-employed. The upside is you can squirrel more away for retirement (SEP) and use an HSA to pay for your medical expenses. BOL

Even if you save money for taxes...your state may give you grief. Check with your states tax office or a good tax accountant.

Last year I owed Indiana approx. $1700 in taxes. They tried to make me to an estimated tax situation later but I worked things out. They said even though I paid what I owed...they would stick me with a penalty if I owed them too much the following year.

Lets be totally honest here. What this small fleet/trucking company owner is doing is illegal. He is committing tax fraud by paying employees on a 1099.

Not only is he putting 100% of the tax burden on his employees I would also be willing to bet that if you got hurt on the job you are 110% screwed as there is most likely no workmen's comp coverage on any of his drivers.

Did this 1099 thing for the past, seven months and never again.

I'll go ahead and settle what I have to, but I'm sticking to W-2's from now on.

Sorry but I dont like it. Crappy old trucks, a 1099, possibly deadheading a very long distance for free, no health insurance, no worksmen comp? All for 30-40k a year? Any major carrier can do better than that. What do you see that we dont? I guess if you want the 4 day week then maybe. :thumbsdown:

No one's mentioned SS withholding yet. You lose out there too, and bisablty, comp. ect and even without thinking of that and just looking at the $$ it's on the low side

Thanks again for all the replies. I just talked to an accountant about it and they told me that I would have to pay double the SS (like 12% vs 6%) and more on the other taxes as well. YIKES!
I have been out of work but enjoying the time off but am starting to look around for another job and this one just landed on my lap without even looking. The working 4 days, then having 4 days off sounded alright to me, and I could live on $600-800 a week (that was about what I was making OTR, staying out 5-7 weeks at a time), But wasn't sure if the downsides were worth it. It is sounding more and more like I should look around for something else.

$600-$800 a week without bennies? That really sucks. Whether you are healthy or not doesn't matter. Anything can happen at any time.

the other thing that is quite obvious is that he is trying to save money by paying you as an independent contractor. Otherwise you wouldn't be getting a 1099. It will only be a matter of time until the IRS catches up with him. Do your best to get far away from this character.

RUN AND RUN FAST!!!!!!!! Anytime i hear that 1099 BS i just have to laugh. You know it is a joke of an outfit if they pull that BS.

Agreed 100%.
Thats no money at all for all the trouble/risks you have to deal with.
$600 a week? You can make that kind of money anywhere.

I'm inclined to agree with you. 1099's are usually reserved for business owners and the self employed. Why he is paying like that is a mystery to me and I'd want an opinion from a cpa first before I did that. Your not self-employed or buying the truck and leasing back on to him are you? Otherwise, maybe, it sounds to me like he is avoiding paying fica, etc...which is a crime. If you do use the 1099 and pay all of the taxes your supposed to then the grief will probaly come back on him from the irs but I'd be real careful of this one.

Hey, I had Land Air offer me 4 on/4 off slip seating from the raleigh area. I didnt take it but you might call them up and ask.