Navigating the world of trucking comes with a unique set of financial considerations. Truck drivers' compensation can vary based on several factors, including the type of freight they haul, their employment status, and the specific pay structures of their employers. Understanding these nuances is essential for anyone considering a career in this dynamic field. Let's dive into the various ways truck drivers get paid.
1. Mileage Pay
Mileage pay is one of the most common methods of compensation in the trucking industry. Drivers are paid a certain amount per mile driven (cents per mile), which can vary significantly depending on experience, the company, and the type of cargo. This method ensures that drivers are compensated for the distance they cover, incentivizing longer hauls and efficient routes.
Example: Average truck driver pay is around $0.50 per mile. If they drive 2,500 miles in a week, their earnings would be $1,250 for that period.
What's a Good Cents Per Mile Rate?
A good cents-per-mile (CPM) rate for truck drivers varies based on experience, type of freight, and region. Entry-level drivers typically earn between $0.28 to $0.40 per mile, while experienced drivers can expect rates from $0.40 to $0.50 per mile. Specialized freight, such as hazardous materials, often commands higher rates, ranging from $0.50 to $0.60 or more. Long-haul and team drivers can also see higher rates. Factors such as industry demand, cost of living, and company benefits influence these rates. Gaining experience, obtaining special certifications, and negotiating effectively can help drivers secure better CPM rates.
2. Hourly Pay
Some trucking jobs, particularly those involving local deliveries, regional drivers or short hauls, offer an hourly rate. This structure is straightforward and ensures that drivers are compensated for all the time they spend working, including delays due to traffic or loading and unloading.
Example: If a driver earns $20 per hour and works 50 hours in a week, their weekly earnings would be $1,000.
Make Sure You Understand Your Company's Overtime Policy
In truck driving, overtime pay for hourly workers generally follows the Fair Labor Standards Act (FLSA) guidelines, which mandate that employees receive 1.5 times their regular hourly rate for any hours worked over 40 in a workweek. However, it's important to note that some trucking positions, especially those involving interstate commerce, may be exempt from FLSA overtime rules. In such cases, overtime policies can vary based on the company's specific regulations and employment agreements, so drivers should consult their employers to understand the exact terms and conditions regarding overtime pay.
3. Salary Pay
Salary pay is less common in the trucking industry but can be found in certain specialized sectors or for dedicated routes. Drivers receive a fixed annual salary regardless of the hours worked or miles per week, providing financial stability and predictability.
Example: Average truck driver salaries range from $60,000-$80,000 annually, which breaks down to a consistent paycheck every month.
Why Trucking Companies Prefer Mileage and Load-Based Pay Over Salaries
Truck driving companies often do not pay salaries because the nature of the job involves variable hours and distances, making it challenging to standardize a fixed salary. Paying per mile, load, or hour allows companies to more accurately compensate drivers based on their actual work and productivity. This pay structure aligns with the fluctuating demands of the trucking industry, where workloads can vary significantly from day to day and week to week. Additionally, mileage and load-based compensation incentivize drivers to maximize their efficiency and ensure timely deliveries, which can be beneficial for both the drivers and the companies.
4. Load Pay
In this structure, drivers are paid a set rate per load they deliver, which is common in sectors like oil and gas or logging. This can be advantageous for drivers who are efficient and can handle multiple loads in a day.
Example: If a driver earns $300 per load and completes 10 loads in a week, their earnings would be $3,000 for that week.
There Are Risks Involved With Load Based Pay
Load-based pay in truck driving carries several risks, primarily related to income variability and job pressure. Drivers may face inconsistent earnings, as their pay depends on the number of loads available and successfully completed, which can fluctuate due to factors like market demand, weather conditions, and logistical issues.
This variability can make financial planning challenging. Additionally, the pressure to complete more loads might encourage drivers to rush or bypass safety protocols, potentially increasing the risk of accidents and violations. The emphasis on quantity over quality can also lead to job dissatisfaction and higher stress levels among drivers.
5. Percentage of Load
Some companies pay drivers a percentage of the revenue generated from the freight they haul. This method aligns the driver's earnings with the value of the load, which can be lucrative for high-value shipments.
Example: If a load generates $5,000 in revenue and the driver’s pay rate is 25%, they would earn $1,250 for that load.
When to Consider Percentage of Load Pay
Load percentage pay is commonly used for various types of cargo that require specialized handling and offer higher compensation due to their complexity and associated risks. This includes flatbed loads like construction materials and machinery, refrigerated freight such as produce and dairy, and hazardous materials like chemicals and fuel.
Oversized loads, which exceed standard size and weight limits, also fall into this category, as do automotive transport and intermodal containers that involve moving shipping containers between ports and distribution centers. Specialized freight, including livestock and high-value electronics, further exemplifies cargo types that benefit from load percentage pay due to the additional skills and care required.
Additional Compensation and Benefits
Apart from the primary pay structures, company drivers may also receive additional compensation and benefits, including:
Per Diem Pay
Per diem pay is a daily allowance provided to cover meals and incidental expenses while on the road. This is usually in addition to the primary pay structure and helps to offset the out-of-pocket expenses drivers incur.
Example: A driver might receive a per diem of $50 per day on top of their mileage or hourly pay.
Sign-On Bonuses: The best trucking companies offer hiring bonuses for experienced drivers.
Bonuses: Many companies offer bonuses for safe driving, fuel efficiency, or timely deliveries.
Health Benefits: Full-time drivers often receive health insurance, dental, and vision coverage.
Retirement Plans: Companies may offer 401(k) plans with employer matching.
Paid Time Off: Vacation days, sick leave, and holidays can be part of the compensation package.
Layover and Detention Pay: Compensation for time spent waiting due to delays not caused by the driver.
Referral Bonuses: Get your friends into trucking! These bonuses can add to your truck driver earnings.
Types of Truck Drivers
Specializing can increase your rate per mile as a professional truck driver. Just because you have your CDL, doesn't mean you can land one of these jobs, but working towards them is a great way to increase your pay.
OTR (Long Haul Trucking Companies) Comes With More Perks
Being an Over-the-Road (OTR) driver is often considered the best trucking career path due to the higher average salary and the opportunity to see diverse parts of the country. OTR drivers typically earn higher cents-per-mile rates compared to local or regional drivers, and they often receive additional bonuses for safety, fuel efficiency, and timely deliveries.
OTR often requires border crossings, long trips, and experienced truck drivers.
Oversized Loads
Driving oversized loads offers several notable benefits, including significantly higher pay rates due to the specialized skills required to handle large and heavy freight safely. The consistent demand for transporting oversized items, such as construction equipment or large machinery, ensures job security and frequent work opportunities.
This niche enhances a driver's skill set, making them more versatile and valuable within the industry, and can lead to career advancement opportunities such as pilot car coordination or load planning. Additionally, driving oversized loads often involves traveling long distances through unique and scenic areas, adding variety and adventure to the job. Successfully managing these challenging tasks enhances a driver’s professional reputation and recognition within the trucking industry.
Additional Endorsements: Hazardous Materials and Tanker Endorsements
Driving hazardous materials and tankers offers several significant benefits for truck drivers, primarily through higher pay and specialized skill recognition. Hazardous material (hazmat) and tanker drivers typically earn higher cents-per-mile rates due to the increased risks and responsibilities associated with transporting dangerous goods.
This specialized work also provides job stability and greater demand, as companies always need qualified drivers to handle these critical shipments. Additionally, obtaining a hazmat or tanker endorsement enhances a driver's professional credentials, opening doors to more job opportunities and potential for advancement within the industry. The added experience and training required for hazmat or tanker driving (or both) contribute to a driver's overall skill set, making them more valuable and versatile in the trucking industry.
Start Your Journey to Better Pay Today
Understanding how truck drivers get paid is crucial for anyone considering a career in this field. With various pay structures and additional benefits, drivers can find opportunities that best match their lifestyle and financial goals. Whether you prefer the consistency of a salary, the incentive of mileage pay, or the potential earnings from percentage pay, the trucking industry offers diverse options to suit different preferences and needs.
Ready to jumpstart your truck driving career? Enroll in our Entry Level Driver Training (ELDT) Theory course today. At CDL eXpert, we don’t just provide training; we offer unparalleled CDL advice and guidance shaped by 60 years of industry experience and over 100,000 successful graduates. Our comprehensive programs are designed to ensure your success, including specialized ELDT courses for Hazmat and tanker endorsements. Join CDL eXpert and take the first step towards a rewarding and lucrative career on the road. Contact us now to begin your journey with the leaders in truck driver training!
FAQ
How do truck drivers get paid in the US?
Most truck drivers in the US are paid based on a cents-per-mile (CPM) rate, meaning they earn a set amount for each mile driven. Other common payment methods include hourly pay, salary, and pay per load, with additional compensation often provided through bonuses, per diem allowances, and benefits packages.
How to make money as a truck driver?
To maximize earnings as a truck driver, consider obtaining endorsements for specialized freight, such as hazardous materials or tankers, which often come with higher pay rates. Gaining experience and maintaining a clean driving record can lead to better-paying opportunities. Additionally, long-haul and team driving positions typically offer higher pay and more consistent work.
What is the highest paying truck driver job?
The highest paying truck driver jobs are typically those that involve hauling hazardous materials, oversized loads, or working as an owner-operator. Specialized roles, such as ice road trucking or driving for the oil and gas industry, can also offer substantial pay due to the increased risks and responsibilities involved.
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