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<p>[QUOTE="buzzarddriver, post: 5257593, member: 59926"]Just to explain how company per diem works:</p><p>So, say you get paid 30 cents a mile. You choose per diem pay at 10 cents a mile.</p><p>On your settlement it will show:</p><p>1500 miles at .20/mi = $300 less taxes, ss, medicare, and any other deductions. This is your net pay.</p><p>Then add the .10/mi per diem of $150, which is not taxed to Net pay for your final pay.</p><p>Now, say you average over the years time, 450 miles a day, At .10/mi that equals $45/ day.</p><p>At tax time, you, as a driver governed by Federal HOS rules allowed to claim $63 a day X 80% for each day out on the road. This leave you approx $2.40 for each day that you can add to your tax deduction.</p><p>This is a simplified example, but is just to show how it works.</p><p>By taking the per mile per diem, you bring home more each check. By not taking it, you take the full per diem deduction at tax time and bring home a little less each paycheck.</p><p>Good luck to you no matter which way you decide to go.[/QUOTE]</p><p><br /></p>
[QUOTE="buzzarddriver, post: 5257593, member: 59926"]Just to explain how company per diem works: So, say you get paid 30 cents a mile. You choose per diem pay at 10 cents a mile. On your settlement it will show: 1500 miles at .20/mi = $300 less taxes, ss, medicare, and any other deductions. This is your net pay. Then add the .10/mi per diem of $150, which is not taxed to Net pay for your final pay. Now, say you average over the years time, 450 miles a day, At .10/mi that equals $45/ day. At tax time, you, as a driver governed by Federal HOS rules allowed to claim $63 a day X 80% for each day out on the road. This leave you approx $2.40 for each day that you can add to your tax deduction. This is a simplified example, but is just to show how it works. By taking the per mile per diem, you bring home more each check. By not taking it, you take the full per diem deduction at tax time and bring home a little less each paycheck. Good luck to you no matter which way you decide to go.[/QUOTE]
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TruckersReport.com Trucking Forum | #1 CDL Truck Driver Message Board
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Stevens Transport Aviary . . cont'
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