Saturday, September 5, 2009

WHY IT MATTERS

People have asked me why it matters whether I was called an I/C or an employee. It's really not that hard to figure out if you're one of the misclassified employees. It may be a bit harder for you to understand if you're one of those companies that has Chauffeurs who are not reaping the benefits of being an employee. It's also much less expensive for you, as an owner, if you're not paying the proper costs associated with having employees vs. I/Cs.

After leaving CTG, I began working with REAL I/Cs. The company I work for has both employees and I/Cs. Having never been an employee paid by the job, with no taxes withheld, I really was clueless as to how an actual I/C was paid and what their responsibilities were and how they filed their taxes.

I was SHOCKED to see that I/Cs are paid a certain percentage of each job, along with gratuity. How come they are paid such a high percentage, I asked? Well, because the I/C is responsible for the upkeep of his or her OWN car. The I/C is responsible for all costs associated with having their own business, such as gas, tolls, repairs, insurance, car payments, etc. The I/C also receives a pay check with whatever name they have chosen for their own business, and their pay check is issued to that company name. My hand-written pay check from CTG certainly didn't qualify as a business name, because I don't have a business. My name is not a business and I am not Jane Doe DBA NC Professional Services.

When it came to tax time, I found out that an I/C can write off all of the expenses associated with running their business. What did I have to write off? Nothing. No gas, repairs, tolls, insurance, car payments or any costs associated with owning my own business. Why was I called an I/C by CTG? I don't meet the criteria set forth by the IRS, as we have now found out thanks to David Bennett having the testicular fortitude to fill-out the IRS SS-8 and waiting about 8 months for a decision.

According to CTG, I HAD an I/O or I/C agreement with them, where I was paid 50% of the base plus gratuity! Wow! FIFTY PERCENT OF ALL THOSE AS-DIRECTEDS? FIFTY PERCENT OF ALL THOSE AIRPORT TRIPS? FIFTY PERCENT OF ALL THOSE RUNS FARMED TO US FROM BOSTON COACH? PLUS GRATUITY? Well.....where IS that money?

I have no deductions to take as an I/C.

Because I never was one.

Your repeated lies that I was given a car will come back to haunt you. Where I lived, we were given a parking sticker for each car we parked on the property. We were only allowed to have 2 cars based on the size of my family. I had 2 cars. I had a sticker for each car. In order for me to have parked a CTG-owned vehicle within my complex, I would have had to register that vehicle with the complex owners. Absolutely NO ONE is allowed an extra car. Aside from that fact, former employees of CTG will testify under oath that I never had an assigned vehicle that I kept at my home and neither did they.

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