Question about per diem

I'm curious how you did this. Did you estimate the additional federal taxes that would have been withheld (and been overdeducted) if they did not do per-diem? If you did not factor in the excess tax that would have been withheld then this makes sense, but it's not an accurate example of per-diem vs no per-diem ... (if I'm understanding correctly what you did and what you're saying)

 

I claim 0 on dependants so I don't get hit super hard on taxes. I had one non trucking job last year for a few months but the per diem part only gave me 1k back when I factored 59/63 a day. There was an option on the deluxe version of turbo tax, they did not show me the math. I have been debating on amending last year and going to a tax professional, it didn't seem right.

 

Exactly, so if you are paid .52 cpm and $50.40 a day per diem to cover expenses while working the per diem is tax free and has no effect on wages, tax on earnings, or social security. This is the way it works in every other business.