1099 Subcontractor or Employee: An Attorney's Opinion (2/4)

[@Drew_Warner]

This series should be mandatory for anyone starting a contracting company.

[@SuccessfulContractor]

Love it! Thank you!!

[@leezy7787]

I'm an employee(in Texas) out of 5 or 6 employees. The owner has us on 1099, and the pay is "salary". We work 60 to 80 hours every week for the same amount of pay but if we miss a day or two we are not paid for that day. No overtime is paid. We use all his tools and truck, are required to be at the shop at a certain time, and what/when/how we're to get things done. Sounds like I'm an employee and not a contractor. Even claims we're employees but doesn't want to have us on w2 because "he has to pay twice the amount of taxes and its not fair"

[@SuccessfulContractor]

Ah the old "save money by paying your people illegally" routine. 🙄

[@quickdrawmcgraw3784]

Im in the same exact boat. In Texas, this company has about 13 people on staff. We work 11-14 hours a day / 6 days a week. No overtime. We use their tools and trucks, sometimes I use my truck if a work truck isn’t available. I bought some advertising magnets to put on my truck as I want to start my business as well. They told me they don’t want their customers to see a different company name on my personal truck at their job site. We are sent a message each night with an address and the work that needs to be done and to be at the shop at 6am.

[@AdrianaIBe]

@@SuccessfulContractorhow is this illegal I’m going through the same thing

[@MarthLuna-wq3ny]

​@@AdrianaIBe they can switch up your salary and make you the employee more taxes than the employer, saving the company and contractors more money for themselves.

[@hebermolina74]

Great info. I recently started my own fence company in California and was completely clueless about this subject. Thank you for providing some content on this.

[@jakebrown9829]

This is some good info. Thank you. We are the guys who 1099 "not employees" Good lesson to learn here.

[@SuccessfulContractor]

Do it right and there is nothing to worry about. Get it wrong and you could be headed for disaster and lots of fines. Thanks for watching.

[@BrandonHiggins-q6u]

Really great video, I appreciate you guys putting this together. What's the perspective for using temps. Would that mitigate the risk mentioned?

[@rogerbettencourt9654]

Craig’s information/knowledge is gold. Thank you guys for sharing this with us. Now you need a Craig segment to the channel. 👍

[@SuccessfulContractor]

He is a great guy and we are lucky to have him as an advisor.

[@HyacinthEarth-InspiredLocCare]

Question! When a W-2 Employee is fired from a corporation does that mean the Corporation is required to pay Unemployment? and for how long? -Just a general question. -

[@sharablecortex2725]

Absolutely, under the table.....

[@SuccessfulContractor]

Shady stuff!

[@antman3055]

I’m a 1099 for a trucking in state of Illinois and I you put in a twins notice and the company kept 3 weeks worth of pay. What can I do about it?

[@SuccessfulContractor]

Report them to the department of labor with the state and the national DOL....that will light a fire!

[@antman3055]

Thanks… this madness must stop

[@antman3055]

Also what’s DOL

[@antman3055]

Department of labor never mind..lol

[@centinnel]

Stwrting working for an employee and even had to sign a no compete agreement but in treated as an employee. The 1099 sub wasnt discuss and the interview or they ever mention it

[@sunnysmiles8211]

I have worked for dentists since 1993 and many of them have intentionally mis-classified me when I was a temporary worker to avoid paying their share of FICA taxes. Then when I worked as a FT hygienist, I had a doctor changing time cards in the computer to avoid paying OT. They have generally kept hygienists at Part time also to avoid paying benefits of any kind. It’s a really tough industry and I’m about to get out of it. Just not much advocacy for the employees. They hire brother in laws or other family members as an “HR” person but that person is really there to cover up for the boss. A lot of it is older men taking advantage of younger women in the workplace. They mostly want agreeable women who don’t ask too many questions, And they also know that most women are afraid to ask for raises and I have yet to work for a boss in recent who openly offers reviews. The employee had to initiate everything.

[@SuccessfulContractor]

I’m sorry that you ran into so many bad actors.

[@sunnysmiles8211]

@@SuccessfulContractor me too, thanks.

[@geophswiss648]

Y’all in WYO?

[@SuccessfulContractor]

We are. 👍🏻

[@carebear1994]

Please bring in a lawyer and have her/ him explain it… because there’s more to it.

[@SuccessfulContractor]

He... he is a lawyer.

[@kevingross9748]

They knew exactly what they are doing before doing so, it's all a scam .

[@SuccessfulContractor]

Agreed.