question- regarding job

tangman99

Active Member
Originally Posted by Veni Vidi Vici
http:///forum/post/2503342
Thats where th 1099 form comes in.Covers their butt.
That would work but I can't imagine anyone paying cash and filing a 1099 but as I mentioned, I've never worked 1099 before.
 

1journeyman

Active Member
This is definitely a legal issue. Where is Crimzy? I know he's one of the members on the boards who is a lawyer.
My guess, and it is definitely just a guess is that legally they can hold you to the contract you signed.
My guess also is that if you mentioned the IRS when they started trying to hold you to that contract they would quickly tear it up. Not only are they cheating on taxes, they are cheating you by not matching your withholdings (granted, you are also making more money by not paying taxes).
Here's where it gets more sticky. You are required to pay taxes on the money you make. So, when the IRS goes after them they would probably also come after you and each employee who was paid the same way.
 

veni vidi vici

Active Member
Originally Posted by TangMan99
http:///forum/post/2503356
That would work but I can't imagine anyone paying cash and filing a 1099 but as I mentioned, I've never worked 1099 before.
Ive had it happen to me before.I was working for a contractor and he got audited by the IRS.He figured he needed to account for all his income.
 

teen

Active Member
im going to find out tomorrow. if its 1099, im putting in my 2 weeks notice. im in college and cant be responsible for paying a good deal of money next year when that time comes around.
 

teen

Active Member
Originally Posted by 1journeyman
http:///forum/post/2503364
This is definitely a legal issue. Where is Crimzy? I know he's one of the members on the boards who is a lawyer.
My guess, and it is definitely just a guess is that legally they can hold you to the contract you signed.
My guess also is that if you mentioned the IRS when they started trying to hold you to that contract they would quickly tear it up. Not only are they cheating on taxes, they are cheating you by not matching your withholdings (granted, you are also making more money by not paying taxes).
Here's where it gets more sticky. You are required to pay taxes on the money you make. So, when the IRS goes after them they would probably also come after you and each employee who was paid the same way.

looks like im bringing them and everybody else down with me then.
 

1journeyman

Active Member
Originally Posted by teen
http:///forum/post/2503375
looks like im bringing them and everybody else down with me then.
Hehe.
Seriously, take 5 minutes to get some legal counsel. If nothing else find a forum that discusses legal issues. Go in to talk to them with some knowledge backing you.
 

teen

Active Member
Originally Posted by 1journeyman
http:///forum/post/2503378
Hehe.
Seriously, take 5 minutes to get some legal counsel. If nothing else find a forum that discusses legal issues. Go in to talk to them with some knowledge backing you.
thats exactly what i plan on doing. with my luck, id go in there make a big scene and theyd send me a check this week and id be screwed.
 

pontius

Active Member
Originally Posted by teen
http:///forum/post/2503388
thats exactly what i plan on doing. with my luck, id go in there make a big scene and theyd send me a check this week and id be screwed.
like was said before, if you were paid cash, you really don't have much to worry about as far as having to pay tax goes. your biggest concern now is the contract about not working or selling for competitors.
but being paid cash under the table is something you can throw back at them if they want to make a stink about you working for the competition because that could get them in more trouble than it's worth. unless of course they gave you some kind of invaluable training that could hurt their business if you took what you learned elsewhere, but that's pretty unlikely.
 

teen

Active Member
Originally Posted by Pontius
http:///forum/post/2503401
like was said before, if you were paid cash, you really don't have much to worry about as far as having to pay tax goes. your biggest concern now is the contract about not working or selling for competitors.
but being paid cash under the table is something you can throw back at them if they want to make a stink about you working for the competition because that could get them in more trouble than it's worth. unless of course they gave you some kind of invaluable training that could hurt their business if you took what you learned elsewhere, but that's pretty unlikely.

this is the kind of job where they learn something new everyday. not vice-versa.
 

crimzy

Active Member
I would have chimed in sooner but I just neglected to read this thread.
A non-compete is enforceable under 2 conditions... (1) it includes a reasonable proximity (location), and (2) it includes a reasonable amount of time. This is the Michigan law but most states are similar in this realm. If you violate the non-compete then the old employer can sue you for money damages and to prevent you from continuing to work. There is no potential for criminal charges.
Everyone else is right, though that if you do not pay taxes on your wages then you are committing a crime. It's not the end of the world or anything, I mean you're not Al Capone (then again, maybe you are?). This is completely unrelated to the noncompete issue but I probably wouldn't advertise in a public forum that you get paid under the table.
The reality of the situation is that, while your old employer could potentially sue you, there is not a great liklihood that they will. First, working in a pet store, it is likely that you are not earning a substantial income that would justify a potential financial recovery for them. Second, it is likely that they will never find out that you are working there. Most non-compete clauses are more style then substance... most employers aren't going to sue to enforce them unless you have trade secrets or earn a substantial income.
My legal advice is to keep your mouth shut and keep working. Worst case scenario is that they sue you and you have to stop working. You don't even have wages that can be garnished. There really would be no incentive for the old employer to go through the time and expense of litigation.
Now that that's over, I'll be sending you my bill.
 

reefraff

Active Member
I've been sued under a non compete in California. In most cases (according to the company lawyer that defended me) They are used to intemidate employees. In more extreme cases (Mine and the 3 other people who quit within a month of each other) A company will file a suit, usually just so you have to hire a lawyer to respond to the suit. They then use that to keep the other slaves, I mean employees in line and too scared to change jobs. They have to be able to claim damages. If they sent you to school they could recover at least a portion on those costs. Other than that they have no damages. They used Unjustified Enrichment on use which is supposedly a catch all cause of action for suites.
In our case the two companies made a deal not to snipe each other's employees and everything was dropped.
One question I didn't see asked is did they get your social security number? If they didn't they have no intention (or ability) of filing a 1099. Besides there are some pretty strict IRS rules as to who is a contract employee. You ain't even close to it if you are working retail and have set hours at the same location. If you are called in on a as needed basis to say clean tank then you could meet the standard
You can read about it here
http://www.irs.gov/businesses/small/...=99921,00.html
All that being said if you want to quit I wouldn't worry about it. Unless you hose them over it not worth their time or effort sue you. Give notice and part ways on good terms which is how you should attempt to leave any job. The two companies involved in my situation were multimillion dollar corporations. It just gave their lawyers a little extra work to do. I doubt a fish store is going to want to drop the bucks to hire an attorney unless you really hose them over.
P.S. I aint a lawyer and didn't stay at Holiday in last night but it seems to me if you are being paid cash and have set hours etc. they should be a lot more afraid of you reporting them to the IRS than you should be of them doing anything to you.
 

1journeyman

Active Member
Originally Posted by reefraff
http:///forum/post/2503499
...P.S. I aint a lawyer and didn't stay at Holiday in last night but it seems to me if you are being paid cash and have set hours etc. they should be a lot more afraid of you reporting them to the IRS than you should be of them doing anything to you.
They've got a lot more to lose by paying him under the table, I would think.
 

renogaw

Active Member
Originally Posted by reefraff
http:///forum/post/2503499
One question I didn't see asked is did they get your social security number? If they didn't they have no intention (or ability) of filing a 1099. Besides there are some pretty strict IRS rules as to who is a contract employee. You ain't even close to it if you are working retail and have set hours at the same location. If you are called in on a as needed basis to say clean tank then you could meet the standard
technically they can ask him for a w-9 (or is it a i-9?) that requires him to supply his *** for tax purposes. But that would technically be for contract labor (or in my case, making sure my company pays income taxes on the margin we make). being a LFS employee is quite different from that though.
 

m0nk

Active Member
They'd definitely get in more trouble for paying you off the books than it's worth to them to enforce the non-compete. Besides, most of the times they're to scare people into staying with the employer over looking for another job.
 

sigmachris

Active Member
Teen,
My advice for a college job if you have to leave the store and the industry is go to a bank as a teller. They always seem to be hiring bright college age kids and the pay isn't bad. I don't know what it is today, but back then I was getting about 3 times the amount of minimum wage. It was great for me in the 90's with the hours around school. Plus it looked good on my resume for looking for my first post college "real" job. It adds a bit more responsibility and credibility to the resume versus my previous jobs which were bus boy and valet parking.
Just my 2 cents, you can keep the change.
 

1journeyman

Active Member
Originally Posted by SigmaChris
http:///forum/post/2503773
Teen,
My advice for a college job if you have to leave the store and the industry is go to a bank as a teller. They always seem to be hiring bright college age kids and the pay isn't bad. I don't know what it is today, but back then I was getting about 3 times the amount of minimum wage. It was great for me in the 90's with the hours around school. Plus it looked good on my resume for looking for my first post college "real" job. It adds a bit more responsibility and credibility to the resume versus my previous jobs which were bus boy and valet parking.
Just my 2 cents, you can keep the change.
Good point.
Also, several larger companies give tutition reinbursement to employees as well. Definitely worth lookin in to.
 

perfectdark

Active Member
WOW I wish, maybe in Texas or Cincinnati the banks pay well. My wife started as a teller a long time ago, her pay was crap. She made advances throught her career and ended as an ATM/Debit Fraud Investigator, had authority to sign off on refunds etc etc etc... and still for the work they required from her... I felt as though her pay was garbage... Just my 2 cents.. But it does look good on her resume.
 

cowfishrule

Active Member
i've noticed hearing alot more companies doing the "non-compete" clause.
i cant blame them- if they invest their time and money into you, they should have kind of return on that.
i also see it as blackmail, almost. either work here and like it, or go elsewhere, violate this agreement, and see where that lands you.
 

dragonzim

Active Member
Hey Teen
I am guessing that this is SCFR that you are talking about? From what I've heard about them they owners seem to be couple of scumbags..
That being said, and I am NOT a lawyer, I dont think they can legally hold you to that agreement, especially since you are being paid off the books. From what I understand, unless you have some type of trade secrets or knowledge of the industry that would be detrimental to your employer if you took it to another job they really can't enforce it. They can not legally block you from making an income. I would love to see how they can enforce it when you are not even legally an employee there as far as the IRS goes.
 
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