if you only own a few trucks is it best to pay your drivers by the mile or by percentage? and if your drivers could pick and choose their own loads would that make a difference in how they are paid.
how to pay drivers
Discussion in 'Ask An Owner Operator' started by stormy379, Apr 28, 2015.
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Percentage is the only way to go and if they're dispatching themselves then you'd add on. Like 30% of them he gross to be your driver plus 5-10% to dispatch themselves. But let me say to you good luck in that scenario. Anything is possible if everyone is on the same page 100% of the time
stormy379 Thanks this. -
Either way just pay them fairly.
stormy379, Licensed to kill and OldHasBeen Thank this. -
What I learned the hard way was if you are going to do percentage make a certain portion of it incentive based, and by that I mean pay 20% of the linehaul and up to 5% for the "little" things: PTI, Trip Sheet, Correct Logs, Safety, etc....maybe it was the drivers I hired but they needed that extra motivation to do stuff the "right" way. It seemed the only motivation I could find was in the pocketbook.
Before anybody jumps on me I learned that this needed to be spelled out word for word in a contract that both parties signed. Rarely did I encounter a driver that was willing to pay me back lost profit because the DOT put him OOS for Failure to do logs.KANSAS TRANSIT, stormy379, icsheeple and 2 others Thank this. -
Pay the with Bitcoins or gum......
Studebaker Hawk and dannythetrucker Thank this. -
After all the expenses have been logged and catuclated.
It all depends if you are going to be fare to your drivers or to your company and what you are hauling.
It all depends what your are clearing after expenses and we all know every week and month is going slightly different, good or bad.
Make up a emergency percentage off the top in case of hard times as a back up plan in case of something bad happens down the road, we know insurance does not cover everything.
Driver rather CASH... but in case you want to keep the tax man off your but and lower the risk of B&E in to your businesse or theift, most all companies rather deal to pay their drivers by check or direct deposit.Last edited: Apr 28, 2015
stormy379 Thanks this. -
EHB Thanks this.
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How ever the one who wrote the check that bounces will find their head does not bounce on the cement floor very well at all.
$1 per head bang to the floor.
May sound like a lot but it's fun and gets your point across very well. If and when the finally come too. -
%Base is the way to go. If you try to do mileage you'll end up eating your shirt, just my opinion. -
We have been having an ongoing discussion about this very issue, and I think it just REALLY depends on your situation and drivers, I had a driver that was adamant that he would make more on percentage, we tried 25% he LOST money every week for a month.
The other issue I see is with a small company drivers talk, it would only be a matter of time before one driver just happened to luck out on two good runs back to back while another driver had to deadhead somewhere for a trip, next thing is you are being accused of playing favorites, believe me, it happens.
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