List of trucking companies that scam a driver on per diem pay

Per diem in and of itself may be of tax benefit to some drivers so to characterize it as a scam is incorrect. I do agree that it should not be a mandatory policy for all drivers, but merely an option.

 

If your pay is 35 cpm & they pay you 19 cpm per diem of the 35 ..that is a scam....now if your pay is 35 cpm and they pay you 19cpm per diem on top of you 35 to equal a total of 54 cpm then it is not a scam...per diem should always be optional and a after full pay add-on..

 

8 out of 10 carriers who offer a per-diem plan "profit" from doing so in the form of an "administrative fee" that comes out of the differential, at the drivers expense. So yes, I'd call it a scam and to make it mandatory is all the worse. And to make matters worse, they play on the new driver's lack of understanding of basic tax deductions and how to itemize, and make it seem like you'd be a fool not to go per-diem when 99% of the time the OTR driver would be far ahead to retain the ability to take the standard daily meal allowance, as well as itemize the other stuff too.

 

talk to most tax prep people , and they will tell you , run from perdeim and run fast.
People don't realize, if you want to get a loan, the bank will look at your wages, and say , well jon, you only made this much money last year ,because you were on perideim , and we don't recognize as part of your wages.
Also it effects your social security with holdings.

Marten transport is one that forces their drivers on perdiem, then charges the driver 2-3 cents per mile as a admin fee. That isn't right

 

Per diem pay should be optional, not forced. I drive for Roehl and they offer per diem pay at a lesser rate which I would never accept. But if it was an equal rate I might consider it. I have no house payment, thus no interest deduction, and no other interest obligations. I will not apply for any loans in the future so I could care less about any credit ratings. I earned my maximun income for S.S. years ago so not worried about that. So per diem pay should be considered on a case by case basis.

 

Even at a lesser rate, you will always be money ahead by taking per diem ... but if you are looking at a major purchase and are young needing to build up your SSN account, then you might be better off without per diem.

In your case, though, even with a lessor amount, you will likely be cash in your pocket ahead.

And on a matter of principal, I do agree that reducing your overall pay is a rip off. For long term temporary assignment, other industries may offer to allocated part of your pay as per diem. But they do not reduce your overall pay rate.

 

Knight makes you withdraw from it every year if you don't want to get per deim. They charge a .02cpm admin fee.

 

Sadly with Obama Care coming in you'll see more Per Diem and Part time (30 hours) as companies cut back on expenses.

 

Most of you drivers are part time, aren't you ??