There are a lot of differences between a W-2 and 1099 truck driver that should be considered before deciding what’s right for you.
The Cliffs Notes version is, W-2 drivers can get paid benefits and have less to worry about come tax season, whereas 1099 drivers can earn a little bit more money because of tax write-offs and they have more control over how they run and distribute their money.
Whether someone is classified as a 1099 independent contractor or a W-2 employee depends on three major categories:
The relationship
Are benefits included? Is the job going to be performed for an indefinite amount of time? Is the relationship more permanent or flexible?
The behavior
Does the company control what the driver does and what jobs they must carry out? Does the company decide how and when a job must be done?
The finances
Does the company provide all supplies? Does the company handle all expenses? Does the company control if the driver can seek other work in the market?
According to Illinois law, an independent contractor is someone who is free from the control and direction of a company over the performance of their work, performs their work outside of the place of business, and is in an independently established trade, occupation, profession or business. There can be some gray area within these stipulations. It all comes down to how the driving positions are communicated and implemented.
