View Single Post
  #12  
Old May 16, 2002, 10:09 PM
Tom Kaasbell
 
Posts: n/a
Default The "Independent Contractors" nightmare

This may or may not have much to do with deck cleaning, but this true story should make you think twice about independant contractors.

I knew a man who owned a small trucking livery service. He had about ten van type trucks. His drivers were all employees. They cared little about how they treated the trucks and were continually abusing them. He decided to make them independant contractors by financing the sale of the trucks to the employees. Everyone was happy. He no longer had to worry about maintenance and the drivers loved the benefits of owning their own business. They now had tax benefits etc. Well everyone was happy except the IRS. They no longer had the payroll taxes being withheld from drivers paychecks and now they would have to put up with all these independant businesses - no way Jose`.

They (our wonderful government) disallowed his claim that these individuals were independant contractors on the basis that he controlled their time. They fined him a hefty sum and made him pay all the back taxes on their earnings. He had to buy the trucks back and put everyone back on the payroll.

Who says we live in a "free" society? We need to have another tea party.

> Does anyone have any tips on hiring people
> for specific jobs? My ad for deck renewal is
> running today and I'm going to see what the
> response is before I take the next step, but
> I'm thinking ahead.

> I know there are lots of college students
> & landscaper-types who need work for the
> summer. I'd really prefer not to do the deck
> renewal myself if I can help it. What is the
> best way to find local help with a little
> experience in this area? Another newspaper
> ad?

> And what red tape is involved in hiring
> someone as an "independent
> contractor" rather than as an employee?

> Any advice is appreciated. I'll share all my
> results as well.

> Thanks.

> And thanks Dien and Gordon for this
> excellent forum!

> John