Those expenses are tax deductible, so it’s not all gloom.
Right. But the contractor is responsible for all payroll taxes (as both employer AND employee). And the contractor also has to insure his vehicle for commercial use. I can’t imagine why anyone would work under these conditions.
True. I think that gets lost in all of this.
I had delivered newspapers for over a year, as an adult news carrier. I had a route of over 200 homes and apartments.
And on the tax returns for those years, I took tax deductible expenses, such as the car expenses, expenses for office and billing supplies, etc.
This was about 25 years ago. I recall calculating how much per hour I was netting, not gross but net, and my net was about $12 an hour back then. Adjusted for inflation I think it would be over $20 an hour today.
Safe to say, it was worth it to me to get up in the middle of the night and deliver the papers for that pay, even though there were expenses of doing business, as an independent contractor, I was making satisfactory money. Otherwise I wouldn’t have done it.