Research on labor statistics puts truck driving as one of the fastest growing occupations, with more and more job openings every year. As it is, more than 70% of all inland freight around the world gets around by truck. One of the reasons this occupation is gaining popularity is the amount of money you earn in the job.
In most cases, many truck driver recruiting services connect the driver with a company to employ them. It is the company that determines what to pay depending on the job the drivers are expected to do. Earnings also vary significantly in terms of the number of hours one works, the quality of equipment they operate and whether or not they work nights.
The following are some of the ways drivers receive pay:
Per hour
This payment type is common for people who work for a set of hours every week. Usually, the payment is broken down to the dollars they earn every hour. Most intrastate delivery institutions work with this module. Drivers move goods from Point A to Point B in distances not exceeding 150 miles per trip. Warehousing businesses also use this payment method.
In some cases, drivers are obligated to participate in unloading or loading of fright. They often have many stops along the way. Associated with this payment method are terms like route driving. The entry-level drivers earn the least, often interact directly with customers, and have strict schedules.
Per mile
This payment method is standard in the industry even though the amount the companies will pay for that mile will vary. Rates are determined in three ways.
- Practical mileage considers the best distance, calculated through satellite. It typically appears in the logging device of the truck.
- Household goods mileage (HHG) is calculated by considering the least possible distance between addresses.
- Hub mileage is the total miles that the driver covers taken from the odometer reading.
Per Diem
Also called pay per day, this method gives the driver a daily allowance that is not taxed that covers their expenses and meals as they travel. A company that offers this method will have the paycheck features the money, but the IRS does not touch it. Even if the company fails to provide the paycheck, the driver can take the per diem deduction by the IRS as they file their taxes.
Load percentage
Most drivers who operate their trucks negotiate to pay per the amount of load they carry. They share a certain amount from the net or gross revenue of the load in question. This is an attractive method for people who haul valuable freight.
Stop pay
Here, the driver is paid for all the stops that they have to make on their journey. This is an excellent option if you have to make many stops. However, it does not cover the stop at the pickup point and the destination.
Many companies also offer bonuses for safety and fuel. The idea is to create an incentive for the driver to, for example, reduce the costs of fuel. When choosing a company to work for, pick one where you are comfortable with the reimbursement.
