Comments by "gary K" (@garyK.45ACP) on "Amazon DSP Drivers Reveal The Challenges Of One-Day Shipping" video.

Technicality. If Amazon provides uniforms, the person wearing them cannot be considered a "contractor". Actually, I have no idea how they are getting away with this anyway. An independent contractor is one that has control over their own business and, at least theoretically works for many people. These drivers are in no way "independent".
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@kennethsouthard6042 UNLESS they are also contractors to the DSP. You are making an assumption. You have no direct knowledge of the employment status of every Amazon DSP and their drivers. You shouldn't assume you do. If they were employees of the DSP and the DSP were paying payroll tax, workman's comp, FUI and SUI PLUS medical benefits (required of any employer with more than 50 full time employees) then their business could not be profitable at the rates Amazon pays. The individual drivers become "self employed" and are exempt from Workman's comp and FUI and SUI in most states (if not all) They are supposed to pay Self employment tax on every dollar they make If the drivers were actually paying those costs (self employment tax is double what is deducted from an employees paycheck) THEY couldn't work for those prices. They probably write off every dollar they make, or much of it. So no one pays those taxes (or gets those benefits). When it coms time to prove income, for a mortgage loan, for example...they have only their tax return which shows...little or nothing. There is no magic to this. The employment costs cannot just be passed along and expect a lower price for deliveries.
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@kennethsouthard6042 What is "your understanding" based on? Have you reviewed a DSP contract?
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@kennethsouthard6042 No, I have not. Which is why I have not made any assumptions about them. You did. You have not reviewed one (you didn't say so, but you didn't have to) and have no basis other than "common knowledge" because "several articles say so". Please provide a link to ONE of the articles you refer to which explains Amazon's DSP contracts. I'll wait here.
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@kennethsouthard6042 So, no answer. No link to any of the "several" articles. As I said, you are making assumptions. I though you had some useful information on the topic. You don't.
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@kennethsouthard6042 I didn't say they were. YOU said they weren't. Links to articles YOU are using to support your claim they are NOT contractors. please. Stop avoiding the question.
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red diamond71 Exactly. I know that many companies abuse this tax regulation. They do so to save money for themselves and pass the employment taxes to the next level, but then those "contractors" pass it to the next level...the driver. The driver ends up paying 12.3% self employment tax on every dollar they make PLUS income tax. When they find this out, they try to minimize their income. But doing that also minimizes (or eliminates) their future Social Security and Medicare benefits. AND makes it difficult for them to apply for loans, mortgages, etc. because they show no income. Clearly a case of business passing along tax and benefit burdens imposed by the government. Yet, some morons still say "tax the corporations to pay for my free stuff" 🤣
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red diamond71 Note to people considering self employment: You need to set aside at least (AT LEAST) 30% of your income to cover self employment and income tax, right off the top, before other expenses. If the person selling you this nonsense says you can make "$1500/week", first...divide by 3 and then subtract 30%. So, $500-150= $350/week. If you can live on that and pay all your vehicle expenses bills and medical insurance...good for you. Most of these "contractor gigs" are in the realm of "Timeshares" and multi-level marketing.
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3:10 "If Amazon's cost structure changes, so will yours" Remember this when Biden tells you that he will "tax corporations" to pay for the $3.5 Trillion spending plan and "no one who makes less than $400,000 per year will pay more" I cannot imagine how Amazon gets away with calling these people "independent contractors". In no way do their duties and job description fit that definition. The government wants to hire thousands of IRS agents to monitor our bank accounts for each transaction over $600, but allows a mega-corporation to avoid paying billions of $$$ in payroll tax (Social Security and Medicare) and income tax withholding. Keep that in mind when they say they will "tax corporations"
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