Alex Can a trucker be classified as an independent contractor?
A trucker may be misclassified as an independent contractor if the company sets the driver’s hours, controls mileage rates and/or load assignments, or if the company uses a GPS or another satellite system to track the trucker’s location. The same goes if the trucking company restricts the trucker from working for other carriers.
What does it mean to be an independent contractor?
An independent contractor is a person or company that is under contract to work for another entity, but is not considered an employee, according to Investopedia.
What are the expectations of an independent trucker?
Customers often have high expectations of independents, sometimes impossible to meet the expectations, such as expedited delivery times. With the hours of service, truckers must adhere to, this can lead to an independent unable to meet the customer’s needs, thus the customer may turn to a larger trucking company with team service.
Do you get a tax deduction as an independent contractor?
You are an Independent Contractor, BUT SARS will want your employer to deduct PAYE (employee’s tax) at 25%. Your income must be coded to 3616 on your IRP5 . You may deduct your business related expenses.
A trucker may be misclassified as an independent contractor if the company sets the driver’s hours, controls mileage rates and/or load assignments, or if the company uses a GPS or another satellite system to track the trucker’s location. The same goes if the trucking company restricts the trucker from working for other carriers.
Customers often have high expectations of independents, sometimes impossible to meet the expectations, such as expedited delivery times. With the hours of service, truckers must adhere to, this can lead to an independent unable to meet the customer’s needs, thus the customer may turn to a larger trucking company with team service.
How are independent contractors paid in the US?
The U.S. Department of Health and Human Services explains a company has limited control in how an independent contractor performs the job, so long as it is completed on time. Independent contractors are typically paid by the job as opposed to on an hourly basis.
Who is the owner of a trucking company?
An owner operator, on the other hand, is normally contracted to a just a single trucking company. In this case, the company owns the trailers, arranges for the freight, insurance, permits and uses their authority.