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Discussion Starter · #1 ·
Ok i need some info.

I have been working for a guy that was using a third partys insurance. He just let me know that that is done.

He went out and got liability insurance today. He told me it cost $150 extra per person to add people to it and if i pay $75 of it per year he will give me the paperwork so if we are slow i can find side work on my own and be covered.

He also said i am a independent contractor and that there is no workmans comp incase i get hurt

Does this all make sense to yall? I am new to all this contractor stuff. As a independent contractor do i need to get my own workmans comp and how much does it cost? He said i needed to fill out a w9.

Also do i need a business license or anything. Im just a little confused with all of this
 

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What does your paycheck look like? I bet there are no taxes of any kind withheld. Did that not seem weird to you?

Trust your instincts here.
 

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Discussion Starter · #3 ·
No taxes. Handwritten check from business account. I need the job evenn if im considered a independent contractor. I know i am responsible for my own taxes. Im just wondering if i need to get a health insurance policy to cover incase something bad happens. Ive only been doing carpentry work since january. He pays me $18 an hour. No overtime or anything. I have to have my own tools. Im basically just starting out. Ive always work as an employee and never doing commercial work
 

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Discussion Starter · #4 ·
The companies we do work for require liability ins. Thats why he used someone elses company name and paid that person 7% of everything made to do so. The guy im working for is my cousins husband and he is starting his own company. Hes worked for other people for years and decided to go our on his own
 

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So you are in essence the sub of a sub of a sub.

If this guy was really serious, he would do things the right way and hire employees. Yeah, it costs more to do this the right way. But in the end, that is the best way to get good jobs, good workers, and stay in business for the long haul.

As far as you getting hurt, The hospital will always ask if the injury happened at work. Good luck with any health insurance if you answer "yes" to that question.
 

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He says work comp cost 20k per person and he cant afford that
Then in my opinion, he can't afford to start his own business unless he works solo. The IRS has a great checklist to determine if you are indeed an independent contractor or an employee.
 

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Discussion Starter · #9 ·
You're getting screwed
Yeah i know that. Im guessing hes getting about $30 per person. I get 18. He pays lead guy 25 and experienced guys 20-22.

But its paying my bills and beats working at mcdonalds ya know.
So at least until i get enough experience in this trade where i can easily get a job i kinda wanna hang around. Im learning fast and have all the tools needed ( slider. Compressor. Nail guns. Ect)
 

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Discussion Starter · #10 ·
Then in my opinion, he can't afford to start his own business unless he works solo. The IRS has a great checklist to determine if you are indeed an independent contractor or an employee.
Im just wanting to make sure im covered incase something happens and i get hurt. Ive always had health insurance and work comp thru employers but i also never worked in construction
 

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Im just wanting to make sure im covered incase something happens and i get hurt. Ive always had health insurance and work comp thru employers but u also never worked in construction
I would say that you are NOT covered. I guess if you wanted to lie about your injuries then maybe you would be covered.

Your employer friend is the scourge of this industry. It makes it tough for guys like me who pay into Workers Comp, Unemployment, FICA, and the rest. I sleep well at night knowing that I am doing things the correct way and that my guys are covered in case of a workplace injury.
 

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Warren said:
The IRS has a great checklist to determine if you are indeed an independent contractor or an employee.
...And a Draconian list of penalties for the employer if they deem "you" as an employee.

Shake the "trade" tree a bit.

Other work out there, as an ACTUAL employee.

Sounds like your employer want to have his cake and eat it too.
 

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Discussion Starter · #13 ·
As soon as i can get enough experience that i can actually say i am an experienced carpenter i plan on finding somewhere else to work. Mainly because at times i go a week or two with no work. I didnt work last week and nothing to do until next week and its getting old. Im just trying to get the experience and get my name out there. I really like this trade and i can say im 30yo and this is the first time ive had a chance at a trade instead of a hot factory job for $9 an hour
 

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Discussion Starter · #14 ·
I was a idiot growing up and got in trouble and now im paying for it by not being able to find a good job. I have missed several job opportunities because of background checks. Nothing i done was really bad or drug related but a criminal background is a criminal background im not a bad person. Ive served in the army. But most people wont give me a chance
 

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Discussion Starter · #15 ·
Thats why im hoping if i get my name out there and people see i work hard and take pride in what i do maybe it will be easier to make ends meet. I tried the mcdonald route and the ex con factories. Neither one paid me what i make now.

If i have to get my own liability and work comp and licenses i want to when i get to the point i can afford it
 

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I was a idiot growing up and got in trouble and now im paying for it by not being able to find a good job. I have missed several job opportunities because of background checks. Nothing i done was really bad or drug related but a criminal background is a criminal background im not a bad person. Ive served in the army. But most people wont give me a chance
I am not coming down on you personally. A guy has got to make a living. A lot of folks here operate the same way. Sure comp is expensive. I spent almost $40k my first year in business. It is part of doing business. To get the good jobs, you gotta play by the rules. I guarantee that someone higher up in that commercial endeavor has chosen to look the other way in regards to the comp requirements.
 

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Discussion Starter · #19 ·
If i can get another 8-12 months out of this job ill be good and can maybe find job with actual legit company ya know
 

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So you are in essence the sub of a sub of a sub.

If this guy was really serious, he would do things the right way and hire employees. Yeah, it costs more to do this the right way. But in the end, that is the best way to get good jobs, good workers, and stay in business for the long haul.

As far as you getting hurt, The hospital will always ask if the injury happened at work. Good luck with any health insurance if you answer "yes" to that question.
Funny story last Decemeber..in my trailer..modifying an old Porter Cable plastic case to accept my Rigid stick nailer..I hate my tools to be loose..anyway..cutting away that hard molded plastic..utility knife slips and stops when it hits the bone in my left thumb..I say CRAP!!..I take one look and grab the closest thing to cloth I could see..turned out to be a cloth nail bag with drywall screws in it..I realize this thing is too deep for crazy glue and duct tape..I have to get my daughter from school in 25 mins..I go in the house..grab a wash towel..blue tape that thing tight and jump in the shower..go to school get daughter..head to urgent care..

While I am checking in they ask for my insurance ID..I hand it over..ask what happened..I tell them I cut my hand..grab a seat..get treated..6 stitches later..checking out they ask where it happened..I said in my trailer..they asked if I was "at work"..I said.." what does that matter?.I am self-employed..my insurance is paid for by my company..where does it matter I hurt myself?..lady goes on to say it is workmans comp case if it happened at work..I said again slowly.." I am self-employed, I am insured, I pay the premiums, I am the boss, I write the checks and if you think there is going to be a problem getting this covered then they should have had a problem when the first check arrived to pay a premium with the company name having the word construction in it"...

The poor lady said..well it is just more paperwork for us to file if it happened at work..workmans comp she said again..so I said..
" It happened at home when I was opening a box I received from UPS with a razor knife"..she smiled and said that is better..

$50 co-pay and never saw another bill...
 
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