Confused about driver's pay

Best advice is forget CPM and go to %. FSC comes 100% to owner and extras for work goes 100% to driver. On a % you have the driver focused on being profitable. On mileage they just want more miles. In the end you should both make more on less miles.

 

i like that idea, too bad most companies do not pass on much of the acc pay to their drivers.

 

Well boys and girls, it's in.....the salary numbers.

According to the experts...a stay at home mom works 95 hrs a week and is worth 113,000 a year. That's $22.81 an hour!
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Now, we are licensed professionals so IMO we deserve at least 10% more meaning we should be making round $25.00 an hour. There you go....

What's in your wallet???

 

My $.02 is this:

First and foremost, as a business owner you not only need to be profitable, you HAVE to be profitable! And on top of that you should never let yourself feel bad, or be berated by employee type people by running a profitabe business.

Everyone wants to make more money. And many are too shortsighted to see that the owner of the business is not a money tree. There are a thousand things the employer has to do to make all the numbers land in the green, including taking all the risk!. And that person should be compensated for making all that work. Afterall, if you can't turn a profit there will be two (atleast) people out of work. You are taking the risk, it is your responsability as the business owner to make a profit for yourself which by defalt means your employees are paid as well. When you make money, your employee/contractor has a job. Simple

If I were in the OPs shoes I would give myself an advantage by giving the driver some "Skin in the game" so-to-speak. Pay on a %. Give a 6+ mpg (or whatever) bonus. And treat them like they are an assett rather than an expense.

Find a figure that you can pay that is fair to all partys (including YOU) and let the applicant decide if he/she can drive for those wages. If they can't, do the "Thanks we'll be in touch" and move to the next resume. If a bunch say the same thing you might rethink your %.

And for gosh sakes know what you have to make per/mi and don't roll without atleast that!

 

So put him on as an employee on a W2 like he's supposed to and stop trying to cheat the employee.

Learn how to do payroll the correct way or go talk to an accountant.

You have to pay your half of SSI. As well as make all the deductions for Medicare, fed and state taxes as well.

Going a 1099 is a backdoor invitation to just being a cheap skate.