My starting job in 2002 at Werner was 25c per mile. Obviously, they must have thought it was reasonable and indeed I agreed to work for as much. I don't know what they pay there now but 100 000 miles a year amounts to $25 000 a year + some insignificant accessorial pay. Suffice to say, I was not there for too long.
I definitely want to minimize tax loss. I make great money as a company driver doing what I do but I am salary capped. As a company driver I don’t think a person could make much more without owning their own truck. I know it will be harder in the beginning but I’m prepared for that. There is a learning curb for anything new that you do. I appreciate the feedback I have gotten because some threads on here don’t go into detail. I know I will do well even though some people make this seem impossible. I plan to lease on with someone to get my feet wet to get a better handle on things.
As a sole proprietor you don’t have the protection of losing everything you have or do you? Could you explain the pros a cons for a llc vs sole proprietorship
Never been over the road! I went straight from wrenching to driving locally in a quad then gravel train 6 months after.
@S.V.Buyck, don't overthink this too much. As long as you can pay your taxes when they are due, as an O/O you don't have to do a bunch of complicated accounting. You also don't need a CPA, unless you have some special circumstances that warrant it like other businesses. Just ask some tax preparers if they do small businesses, specifically trucking. My guy has had a ton of truckers over the years so he knows what he is looking at. All of my pay from brokers comes to two accounts I have, one personal (the first one I had) and a basic commercial bank account because some brokers require that. Anyway, I do recommend a paper trail or sorts, even online is fine. I move a salary from my work account to my personal (and wife's) account once a month. At the end of the year I can simply print out that I paid myself a salary each month. Then I sit down with my tax man and pay him about $200 to figure out my taxes. Usually takes about 2 hours with him. It is much simpler than people make it out to be. I will never register as LLC, I just don't see the benefit. Neither does my tax man.
Doesn’t a LLC protect you from being sued or shall I say protect your personal property in the even of a lawsuit?
If you are driving the truck and get in an accident, the lawyers will sue your LLC as the company and you personally as the driver.
LLC protects your personal property (assets) from outstanding business debts incurred by your company. It does not protect you from personal injury or property damage lawsuits...
