company drivers no more per diem 2018

Do you have any idea what a driver pays for in meals per day? In Oregon, that per diem rate is $51 per day. In some areas of Washington and California per diem is much higher. Do you know why the per diem rate is lower in Oregon and higher in say, Washington and California?

Have you ever sat down for breakfast in a truck stop? Then drove half a day, stop for lunch in another truck stop? Then drove half the day, stop for dinner in a truck stop? I suggest you try this, across three states, for a week. Then report back here with your findings. I think you'll change your tune from "...maybe this is why they took it away" to something that actually means something to us that put up with these narrow opinions.

 

Why is it as a company driver if you make over 100k/year you can claim per diem, but under 100k no dice?

Sounds pretty fishy, looks like I'll make $99,500 for 2018

 

I think you're very confused about my position on standard meal deduction and other job related expense deductions. I spent months in this forum fighting the loss of these deductions with the new tax plan [as an employee driver who spends 340+ days on the road every year]

I'm one of those where the increase in the standard deduction will not anywhere near offset what I deducted in TY 2017 between meals (345 days), showers, and hotels.

I'm at loss to understanding why you seem to be claiming I'm against the ability to deduct meals and other expenses.

 

I've often stated that the deductions that [poorly paid considering sacrifices] OTR drivers were allowed were one of the few reasons to pursue such a miserable job with lots of costs associated with it. Now that's mostly gone and I'm not liking it one bit.

And the "CPM Per Diem" plans most carriers offer in exchange is a rip off, too

 

The only reason they offer it is to benefit the company, and most short your pay .02-.05cpm to take it.

 

Per diem should never "come out of" base CPM pay. Per diem pay should be completely apart from normal CPM pay, but this is not the case for most carriers.

My company offers a per diem option and they do not charge any sort of "handling fee" but I still feel it benefits the carrier's bottom line much more than it will ever benefit me, in the long term, especially.

 

Note the definition of Per Diem. There's no mention of a reduction of CPM pay then adding that reduction back into the CPM pay. Give me my normal pay at normal tax rate, then give me an agreed upon amount for each day I'm running the truck, where I don't pay tax nor do you. It's simple.

per di·em
[pər ˈdēəm]
ADVERB

1. for each day (used in financial contexts).
   "he agreed to pay at certain specified rates per diem" · 
   [more]
   synonyms:
   [more]

NOUN

1. an allowance or payment made for each day.

 

The "handling fee" is either the reduced non perdiem "CPM" rate or, like you described, the hidden payroll fee of doing partial perdiem.

I get a kick out of companies paying $0.12cpm+ perdiem with average OTR miles...if you are honest about it, you would end up owing the IRS for excessive untaxed income even if you stayed out 365 days a year & compound that by the days 99% of non lease drivers don't.

That is assuming best case scenario deducting the transportation industry flat 80% of federal $63 per day perdiem allowance instead of individual state allowances which can be less.

Didn't the once-hyped Poly trucking pay some ridiculous $0.20+something cent perdiem as part of their $0.48cpm pay rate?

Lol

Back when were at Prime, they paid $0.08cpm solo/$0.05cpm each team perdiem & that usually got me within $3-$4k to federal allowed limit...maybe I'm not understanding correctly

 

Which you will find absolutely no where in the tax code.

 

My momma always said there will always be days like this my momma said