Lumper fees on pay stub, help it make sense.

Even though my company pays for all lumper fees, the take it out of my pay and then reimburse it back in my pay that same week. This doesn't make sense to me because it's a company expenditure, the driver only does the paperwork or uses an app.

Why would a company show it being taken out of your pay and then immediately reimbursed on the same pay stub?

 

They might have you down as the actual lumper for tax purposes and the reimbursement back to you is a line item for something else [on their taxes].

 

I did a little research and feel pretty #### confused now, but what i think i got out of it is the driver is responsible for paying the lumper fee but it is mandatory that the company will reimburse. Its a holdover from when it was paid in cash. You as the driver paid the fees and the company reimburses you through the comcheck, you just give the check to the lumpers instead of paying out of pocket. Makes about as much sense as the need for lumpers anyway.

 

Correction: the driver is not using his own money to pay the lumper.

The company is paying the lumper at the time of the load/offload. However, the company then takes the money from the driver's pay and puts it back the same week. I can only think of one reason to do that and it is a tax reason and not necessarily an above board tax reason...

 

I know I should be looking at my paystub closer, but if they're avoiding paying taxes on lumper fees, then who's responsible for those taxes.

 

It’s probably done for accounting/security purposes. Driver issued an EFS check, pays lumper, turns in receipt and gets reimbursed. There is no tax consequence for the driver and the company knows the funds were used as intended. Believe it or not drivers sometimes are not honest and might get an advance “saying” it’s for a lumper but cash the check and buy roller dogs for the week instead.

 

Are you on a L/P?

 

It was the same thing during my year at Prime on the occasions when I had to get an express code to pay the lumper...it would show up as coming out of my paycheck and being reimbursed on the same settlement.

Most of the lumper services I came across accepted fuel card payments however, where you didn't even have to save the receipt and it wouldn't be on the settlement at all. I had comcheks with me in the truck but I never actually had to write one.

 

OTR, not LP.

 

That is Not the correct procedure, need to let them know You know and better yet, talk to a Tax profesional advisor about it. Also verify your reported income for the past years on your Social Security.