Now that’s an excellent question. Maybe because many employers like to think they are doing the help a favor by letting them work with horses in the first place?
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That is probably the answer and there is so much wrong with that.
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It isn’t and they could easily do it. But I suspect in this case that a calculated risk is operating. That is, their expert advice weighed the number and likelihood of the “employees” protesting PLUS the highly overworked IRS vs. all the effort and cost involved in handling their grooms as employees. It’s a heck of a lot cheaper to treat everyone as a 1099, no matter how you spin it. So that’s what they are doing, in spite of all the $$ and “integrity” involved.
Microsoft had a lot of lawyers too and they were all proven wrong. But they were also up against a well-educated and pissed off workforce who knew to band together to get what they were entitled to. Not a scenario I can see happening with the horse business. So people continue to accept lesser conditions, even if those conditions are great compared to the rest of the industry.
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I concur.
And clearly so acceptable that people post about it and others see nothing wrong. I know it’s not hard. I’m just shocked at the amount of shrugging that goes along with it. I mean, so long as the money is good right? The barn that treats their employees like dirt playing the 1099 game would get buried here. This particular place pays six figures so people are willing to look away and say good job. Unreal.
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I’m sitting here wondering if her boss would be so blase about his/her employee publicly bragging about gaming the tax system, because “everyone is doing it.” I somehow imagine not, I mean unless their last name is Andrade :lol::lol: #thisiswhatiam
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Ditto.
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If said employees and you, do nothing with the 1099 it’s money under the table. Why are you expecting the more than the “least generous way possible” when your employer and you by accepting this are illegally gaming the tax system? You do realize this is illegal right? You are publicly posting this on the internet. Given your screen name, it’s amusing.
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I started grooming about 10 years ago. I did it because I love horses and couldn’t afford my own. It was a way for me to be around what I love most and get paid at it too. I’ve worked at 3 barns. My first job was with a big program. Mostly hunters. Usually 40-50 client horses. We had 5 grooms. I was an employee. My salary was $43,500. I had taxes withheld. I got a W2 at the end of the year. We had health insurance but it was pretty bare bones. I remember at the time thinking that the $ was pretty good compared to other people I knew. My groom mates used to joke that I got “white girl” groom money which I took to mean that I might have been paid better. Most clients tipped us at shows. Well, they actually tipped the head groom who pocketed most of the $ and kicked down a little bit our way. I usually made $100 at a show in tips. We worked 6 days. My hours were longer. Probably more like 12 hours a day. I’m not complaining. That’s just the job.
I left that job for an offer at another barn. I got a 1099. I was paid $1,100 per week. It’s a well-known program. I took the job because I wanted to be in Florida during the winter and my old job didn’t do WEF. It was a better job. 20-25 horses. 5 grooms. Same hours. We got tips at shows. Usually $200 a week. I didn’t mind the 1099. I paid my taxes. In the end, I made more $ than I did as an employee in my old job. I had to buy my own health insurance but that was OK by me. Maybe even better because I could pick coverage that was better for me. I got a lot of exposure at this job and had a chance to be on a FEI path. My current job is what people would consider a very top program. I make $1,350 per week. I work 6 days. I usually get two weeks vacation but we don’t really have a formal vacation policy. When I need time off, we just make it work. I got a $2,500 bonus to start. I’m not bragging but I think that is pretty good. We have basically one owner/rider. 12-15 horses. 4 grooms. Hours are a little better. I probably work 50 hours a week or so. We get bonuses every so often. Usually $1,000 every couple months. Tips are still around $200 per week. Day money at shows is $25 per day. If our rider wins a big class, we get a piece. It usually works out to $500-1,000 for each of us. Once when we sold a horse for a lot of money, we each got $10,000. I get a 1099 on this job. I don’t mind that. I think I have a good job. I pick my own health insurance. I was worried about getting injured so I bought supplemental insurance to give me a little cushion in case I’m injured and can’t work. This costs me around $1,800 a year which is a lot but it gives me some piece of mind. My health insurance is $440 a month. So my insurance costs me around $7,000 for health and supplemental. This is a lot more than I made as an employee even after paying my insurance out of pocket. Last year when it was all said and done I made $98,300 on my 1099. Tips aren’t included. This year I think I’ll make a little more. Overall, I’m happy. Like I guess any job there are good days and bad. I like my boss. I love our horses. Life is pretty good.
I don’t feel abused my the 1099. I’m doing better than I was as an employee with more control. Now I have to say that I haven’t been offered to be made an employee. I worry about losing the insurance that I have now which I really like to get something that the employer chooses that may not be as good. I also wonder if i would get tips and bonuses or if it would all be salary. I also would worry about some of my co-workers who may not have perfect papers to be legal employees. This isn’t something I’ve heard discussed. Not being political. Just saying that some grooms may not be residents or citizens. They can’t be employees. They would lose their jobs and that would upset me if my friends were out of luck because they had to be employees. If I could get the same health insurance and same money then it would be great to be an employee but I don’t know if this is realistic. I like being able to make my own choices. People are saying that what makes the horse world special but maybe it’s because it is a pretty unusual and weird place. So this is my experience. Sorry for writing so much.
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Totally not at all a houseguest.
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@GabbyGirl. I’ve been a groom. I don’t care how much y’all bring home before paying taxes. It’s still illegal to be classified as an independent contractor. That’s the point. Your view on feeling abused or not has no bearing on you being illegally paid as an independent contractor. Your employer could be the best employer in the world. Still illegal.
@HonestPersonFakeAccount this is how threds go sideways. You and yourself try to make illegal situations okay.
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Is what I’m doing illegal or is what they’re doing illegal? I pay my taxes. I don’t include my tips because these are cash even though i guess i technically should.
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I always thought it was their option to give you a W2 or a 1099 so long as you pay your taxes.
No it’s not.
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Isn’t the only diff if they take out taxes or if you set them aside yourself? I guess I don’t see the big deal for me. I’m not arguing or disagreeing!!! I’m just saying I don’t know a lot about it beyond my situation.
:lol::lol::lol:
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I’m sorry if i’m being ignorant. is there a difference for me either way?
So both. What you and your employer are both doing is illegal.
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I regret typing…
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How am I being illegal? That makes no sense to me.I get a 1099. I pay my taxes. What’s illegal? Can someone please be helpful instead of telling me I’m doing wrong?
