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Mega Carriers missed the mark

Nov 24, 2017 at 10:38 PM CST
+ 6
Instead of the Eld they should have taken away the 1099 payroll. That would have levelled the playing field. This should never ever be about the one truck guy. Those hiding behind the 1099 are the bad guys.

Art Pfluger
Replied on Sat, Nov 25, 2017 at 05:28 PM CST
You make a good point. I know a few of the benefits but not all. Can you excplain the benefits. Alot o/o's are doing that here. I don't quite agree with it either.
Replied on Sat, Nov 25, 2017 at 07:47 PM CST
+ 2 - 1
Nobody ever said they were smart. If it weren't for the government subsidies, they would have dried up and blew away a long time ago. Uncle Sam keeps importing steering wheel holders for them, and puts FMCSA in their front pocket. Then there was the clean ports program, where your tax dollars bought new trucks for the megga's. It seems that we reward failure, and punish those who try to succeed in America.
Replied on Mon, Nov 27, 2017 at 03:23 PM CST
Could you explain what you mean by that.
Replied on Mon, Nov 27, 2017 at 03:24 PM CST
Im asking about hiding behind 1099
Replied on Mon, Nov 27, 2017 at 03:53 PM CST
+ 2
Look at the difference in payroll costs for company a to properly do a W-2 employee vs company b running on a 1099. Plus the 1099 employee more than likely has no work comp or similar coverage to protect them. You force everyone that should be paying W2 and there will be a lot of equipment parked. I never understood why someone would risk their life's work only to give it to the IRS
Replied on Wed, Nov 29, 2017 at 09:28 AM CST
A company that uses 1099 - that means the contracted employee (owner/operator) pays their own taxes - the company who "hires" owner operators pays no payroll taxes. A company who employs their drivers, pays the payroll taxes to the IRS (social security, medicare, state, etc.). There are specific rules that differentiate between employee and contracted labor. Which is interesting, because to call someone a contracted employee, the company cannot have direct control over how that employee does their job. (it's a little more complicated than that, just stated in a nutshell).
Replied on Wed, Nov 29, 2017 at 10:52 AM CST
Quote: "A company that uses 1099 - that means the contracted employee (owner/operator) pays their own taxes - the company who "hires" owner operators pays no payroll taxes. A company who employs their drivers, pays the payroll taxes to the IRS (social security, medicare, state, etc.). There are specific rules that differentiate between employee and contracted labor. Which is interesting, because to call someone a contracted employee, the company cannot have direct control over how that employee does their job. (it's a little more complicated than that, just stated in a nutshell)."

No this doesnt have anything to do with O/Os but drivers who drive a companys truck..there are a few companies that will give you a few cents more to be 1099ed..and there are drivers who will jump right on this..as they are getting paid every week with NO Taxes witheld or social security..and things are hunky dunky.. until the driver is told by his tax person about the double social security that he needs to pay along with that hefty income tax bill..OR if the drive has an unfortunate work related injury..you are all on your own..
AND the company gets out of Workers comp..any kind of medical insurance.. any kind of retirment fund..not havingvto match the social security..or anything else..And yes THIS REALLY IS ILLEGAL.. but its being done..
And as ART has said..how do we compete against these illegal companies that do this? as each year.. it costs a LEGAL company thousands of dollars per year for an employee.and these companies that have 1099ed drivers not much...
I guess the answer is to drop a dime on these companies that want to 1099 a driver..
Now for how do we compete against..seeing how you live in Arizona Art..how can you compete when California was handing out $45000 to California trucking companies to help them be CARB compliant..with your new CARB compliant truck at 165000 ...and the exact same truck from California being 120000?
Replied on Wed, Nov 29, 2017 at 11:04 AM CST
Wow - they drive a company truck and are 1099'd? So wrong on so many levels - yes illegal and an accident, well that would nip it, after the legal nightmare.
Replied on Wed, Nov 29, 2017 at 02:31 PM CST
Many people cannot tell the difference between true wealth, or the illusion of wealth.
Replied on Wed, Nov 29, 2017 at 03:01 PM CST
Quote: "Many people cannot tell the difference between true wealth, or the illusion of wealth. "

1099 allows someone to be a rich man, in a poor country.
Replied on Wed, Nov 29, 2017 at 04:37 PM CST
Quote: "1099 allows someone to be a rich man, in a poor country."

Until the tax man cometh..the the 1099 driver becomes the poorest of them all.