should i pay my driver BEFORE/AFTER FUEL COST

Discussion in 'Ask An Owner Operator' started by freddie900, Jan 31, 2010.

HOW SHOULD I PAY MY DRIVER

  1. *

    BEFORE DEDUCTION OF FUEL

    25.0%
  2. *

    AFTER DEDUCTION OF FUEL

    6.8%
  3. *

    BEFORE DEDUCTION OF FUEL & INSURANCE

    63.6%
  4. *

    AFTER DEDUCTION OF FUEL & INSURANCE

    13.6%
  1. knlken

    knlken Bobtail Member

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    If you've collected fuel surcharge you keep that in your pocket & you're not cheating your driver. For example same difference reverse the role play maybe help with some common sense. Your an O/O leased to me and I'm paying you 80% of the load & I never use brokers but say I do & a load pays $3000 gross rate no fuel surcharge. Really that load pays FS but since having to go through a broker its all included in 1 flat rate. So I'm going to take my cut at 20% of $3000 which is a rip off cause you're paying the fuel & you need the fuel surcharge to stay profitable. In all fairness I figure up the fuel surcharge and deduct that from the flat rate then I take my 20% after fuel & thats the way it should be. Most company's won't tell drivers that cause they don't have the experience other than being a steering wheel holder not knowing how a business should be ran or truck should be ran & driver assumes they're being ripped off. Now there are a lot of company's you have to watch out for cause they will flat out rip you off. This is a flat out cut your throat business & Good Luck to You & your Driver

    Ken
     
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  3. Old Man

    Old Man Road Train Member

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    Why would a driver want to work like that? No insurance, one serious injury and he is screwed for life, sure he can get on SS disabilty after 2 years.
    If you want to be in business do it right and play by the rules. Can't make enough? Get out, don't screw drivers just so you can make a buck.
     
    Pur48Ted Thanks this.
  4. RickG

    RickG Road Train Member

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    Owensboro , KY
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    How can you write a contract not having a clue what the terms of employment are ? If the owner makes the truck payments , buys the fuel , and assigns the loads he is an employer . Playing games with the IRS can be very expensive .
    Are you not aware FedEx Ground lost suits and was fined by IRS for calling drivers on single truck routes contractors ?
     
    Pur48Ted Thanks this.
  5. LavenderTrucker

    LavenderTrucker Medium Load Member

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    Oct 29, 2009
    Omaha,NE
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    I would!!! I have been a 1099/contractor for years. I have great health insurance, retirement, cd's, annuities, life and all... much better than what most companies offer and more cost effective too...
    Consider just this... I am a perimenopausal lesbian... what do I need maternity coverage for... maternity coverage hikes up the insurance premium for females... If I were to get my insurance thru a company I would be paying for coverage I don't need... I have blue cross/blue shield... I pay only for what I need covered...

    Here is another thing to consider... my insurance is not dependant on my employment with a company... lose your job... lose your insurance or pay the high cost of cobra.... not me... I don't have that worry...

    Believe it or not... sometimes it is better to set up and take care of things on your own than to put it in the hands of companies or the government...

    I am set up for if get injured or whatever... and the premiums I pay are only a smidge higher than what I would pay by getting insurance thru a company... Like I said though, I also have better insurance suited to my needs.

    When companies offer insurance and all to it's employees it is a big part of their opertating costs and so guess what... less for wages...

    I am an intelligent consumer.. I would rather get my own insurance and have higher wages....
     
  6. Old Man

    Old Man Road Train Member

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    Oklahoma City, OK
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    So you go into the deal with your eyes open, most drivers have no clue that they would not have workers comp, until they get hurt. To pay a driver on a 1099 to save paying worker comp and save some employment taxes just so you can run your truck for a few cents less or pocket more is not good business. I guess its OK if the little guys do it, got to cut rates to get the freight away from the responsible carriers.

    I have payed my own ins and retirement for the last 35 years, you will really like the health insurance rates after you are post menopausal and your insurance goes sky high, you will need the higher wage...Oh, I forgot that Obama will solve that problem.
     
  7. knlken

    knlken Bobtail Member

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    Learn how to read as you can see I know the terms of employment!!!!!!!
    And this isn't how I run my business if that's the answer you're looking for.
    This is how he's running his business and try asking the thousands of drivers working for O/O's just like this. Some drivers prefer to run like that which how many times have you used your health insurance being a truck driver(can you make your doctors appointments) How about all the drivers found in their trucks dead every year that probably have insurance but cannot take care of themselves properly. I won't take this personally you probably took offense in my comment of being a steering wheel holder. I edit my QUOTE so you can see a little better. This is what happens when some drivers try to figure things out but just can not & thats just life which we all have to live with it unfortunately. Thats another problem with drivers that jump to conclusions. I was just trying to help the guy out which this is how he's going to do it if you & I like it or not. He was looking for an educated answer & I know what he's looking for so I gave him the answer that he is looking for. Really I think he's wasting his time but some people need to experience it to find out what is rite for them. You also need to remember you also have some real winners out their ready to sue you for a broken nail from cause of their own stupidity.

    Ken
     
    Last edited: Feb 5, 2010
  8. Old Man

    Old Man Road Train Member

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    Oklahoma City, OK
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    What about those drivers families, do they deserve a little protection?
    Like I said, many of those drivers don't even know they don't have workers comp until something happens. If a driver gets hurt on the job, say they turn the truck over, their pesornal health ins(if they have it) will pay until they realize it was a work related accident and then they will go after the employer. In the end the driver will get stuck with the hospital bills and have no disability income. Then we the taxpayers get stuck with the bill.

    I guess if a driver is stupid enough to work for a owner that runs his business that way they deserve each other.

    Insurance and taxes are part of doing business, if you can't afford it , get out, don't screw someone and their family just so you can make a few dollars.
     
  9. knlken

    knlken Bobtail Member

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    A lot of drivers that have experience running like this choose to run like this. Driver may not even have a family or has a wife that works that has insurance. Accidents happen but if driver is running unsafe out their rolls truck over & kills an Innocent family he deserves to be hung out to dry. Why should an employer or our system take care of a driver or HUMAN BEING like this. But accidents do happen to good people not just drivers & end up getting screwed. For the driver telling me I don't know the terms here is something to read & maybe call them will help you understand better. It's amusing sitting at a restaurant hearing a bunch of truckers arguing about facts that they have no clue about.

    Does an employer have to carry workers comp insurance? Generally, "yes," but there are exceptions. As a general rule, firms with five or more employees must be covered, although contractors with even one employee must also buy coverage. It is important to note that Missouri law does not distinguish between employees of different employment statuses. The statutory definition of "Employee" includes both full and part-time employees, seasonal and even temporary employees.

    The Workers' Compensation Act does exempt a very small and very specific group of employees, which includes farm laborers, domestic servants, certain real estate agents and direct sellers and commercial motor-carrier owner-operators.

    Sole proprietors and partners are not themselves covered unless they elect to be covered. On the other hand, close family member-employees and members of limited liability companies are presumed to be covered unless they opt out.

    Employers that don't have the required number of employees or who have employees in the exempt categories may nevertheless "elect" to come under the law. Exempt employers that decide not to purchase workers compensation insurance or to self-insure remain exposed to civil lawsuits brought by employees who are injured during work.

    Interested parties who desire further clarification of these requirements or need direction as to their specific business obligations may contact the Division of Workers' Compensation at 573.751.4231 or toll-free at 888.837.6069.
    Ken
     
  10. knlken

    knlken Bobtail Member

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    I have 2 family members 1 is Vice President of large Insurance firm & 1 that handles workers comp claims. Will not disclose their names for their privacy. The 1 that handle workers comp claim works directly with these responsible carriers. Will not disclose these carriers cause will be law suit against the person that gives me this information. Workers Comp rates are very high especially for large responsible business's when a claim (someone injured) is filed they hire a person to investigated. They actually have a person watching you at all times & if you leave the area they know about it & will follow you. You take a trip to Vegas you maybe playing poker with this person & become friends for a short period time when this person hired by the responsible carrier shuts your Workers Comp. claim down whether you have a legit claim or not. They really don't care about a person that are hurting their Workers Comp. rates.

    Ken
     
  11. Pur48Ted

    Pur48Ted Road Train Member

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    That is a LIE and a scam, not to mention ILLEGAL.
     
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