A recent increase in fuel prices has made truck drivers particularly aware of the need to keep their costs down. The current ban on Russian oil sent gasoline prices through the roof, and a gallon of regular cost $4.17 on Tuesday. A veteran trucker says the price of fuel is a major contributor to his standard of living, and he said he’ll stop driving if it keeps increasing. The average truck driver pays nearly $500 a month for gas.
One of the largest expenses of owning a semi-truck is fuel. Owner-operators can expect to pay between $50,000 and $75,000 per year on gas, which is about $4,000-$6,000 a month. The cost of gas is calculated by multiplying the price of fuel per gallon by the average number of miles per gallon. Company truck drivers pay for their fuel either with a fuel card issued by their company or out-of-pocket. They are reimbursed each pay period through their paychecks.
Do Truck Drivers Pay For Their Fuel?
In some trucking companies, truckers must pay a certain percentage of fuel expenses. For example, if the cost of gasoline is $2 per gallon, truckers are expected to pay 25% of that price. This can add up to a significant amount when you consider how many stops truckers make every day. Truckers and owners-operators must agree on the price before they start driving. This means knowing how much fuel the average trucker consumes and the costs of gas stations in the area.
Drivers may want to consider joining a labor union. Labor unions often negotiate wage rates. Other trucking jobs are less physically demanding, such as local delivery drivers. In contrast, fuel truck drivers often work overnight shifts, early morning and evening hours, and weekends. These drivers often work long hours and have to load and unload their trucks. Some may choose to work a more normal schedule in a less physically demanding industry, such as delivering packages or groceries.
How Much Money Do Truck Drivers Spend on Fuel?
Gas prices are rising across the country, and the trucking industry is not immune. An average trucker travels 68,000 miles each year and uses 5.29 gallons of diesel. This adds up to around $37,400 in annual fuel costs. Diesel fuel is the biggest expense for hauling loads, and trucking companies pay for it. Here are some ways to calculate fuel costs:
For independent truck drivers, fuel costs are a serious problem. They’re losing their jobs to larger, national companies, and the industry is struggling to hire new drivers. Fuel costs are so high that it’s hard to imagine paying for a truck full of groceries or goods. Many drivers don’t even know how much fuel they need to drive to Atlanta. In the first quarter of 2022, the average owner-operator spent 72% of its revenue on fuel, according to a report by the American Trucking Association.
In addition to fuel costs, truck drivers also have to pay for driver salary. The average owner-operator spends between $50,000 and $70,000 per year on fuel. Diesel prices are approximately $2.50 a gallon, so the average truck driver spends more than $37,000 per year on fuel. However, fuel surcharges can’t cover the full fuel bill. Therefore, drivers are encouraged to plan their routes to purchase fuel at the lowest price possible.
Do Walmart Truck Drivers Pay For Their Own Fuel?
For a company that relies on their truck drivers to replenish its stores, it makes sense to pay them more than their competitors. A new Walmart truck driver salary will put new drivers in the nineties and thirties income range. But are they really worth it? Let’s take a look at some of the reasons why Walmart is offering more to its truck drivers. For starters, it is paying their first year salary between $95,000 and $110,000, which is considerably more than what truck drivers can make in their first year.
As of 2017, Walmart employs 12,000 truck drivers and is looking to hire as many as 4,500 new drivers in 2019. The company also pays its truckers above-market wages and provides predictable routes. However, it is important to note that drivers must live within a 250-mile radius of the facility where they will be working. If you are accepted into a Walmart job, be prepared to relocate if necessary. The company offers a comprehensive orientation, a steady paycheck, and free parking.
How Much Do 18 Wheelers Spend on Gas?
Most 18 wheeler truck drivers pay for gas up front. That’s because the average tank of diesel can cost anywhere from $550 to $1,650. In addition, owner-operators pay more than $1,000 per tank, compared to the $550 or $160 of a new truck. In addition to this, the drivers must also pay for the cost of coffee, which can add up to more than $600 a year.
With gas prices on the rise, truck drivers are feeling the pinch. In fact, some drivers are even losing their jobs due to the high cost of diesel fuel. A recent AAA survey shows that the average price of regular gas in the Hampton Roads area is $4.25 per gallon, which is nearly 14 cents more expensive than the national average. It’s not surprising that truck drivers are feeling the pinch of rising fuel prices, particularly in the current economy.
For example, a truck with a 120 gallon tank costs $360 to fill, while a truck with two 150-gallon tanks costs $900. Based on this price, the driver could expect to drive up to 600 miles per tank. And assuming a 6 mpg fuel consumption, that’s more than $900 a year. And compared to a passenger vehicle, an 18-wheeler will consume more than twenty thousand gallons of gas during its lifetime, whereas a passenger car uses just 500.
What Taxes Do Truckers Pay?
Self-employed truckers and independent contractors both report their income and expenses on Form 1040 and Schedule C, respectively. While company-employed truckers have their taxes deducted automatically from their paychecks, self-employed truckers have to pay taxes on a quarterly basis. Self-employed truckers pay 15.3% of their income in taxes, divided into 12.4% for Social Security and 2.9% for Medicare. Individual truckers and self-employed truckers use the IRS 1040-ES form for self-employment taxes; corporations use Form 1120-W to file their annual taxes.
Whether you are working for a trucking company or own a business, truck drivers must understand their tax obligations and file timely. The Advanced Training Systems CEO advises truckers to keep all receipts and business expenses for at least three years, but more if possible. Keeping these records will help you maximize your tax refund. In addition, it will be helpful if you can track your personal vehicle miles, contribute to retirement accounts regularly, and take advantage of available deductions and credits. Finally, seeking the help of a tax professional is highly recommended.
Are Truckers Affected by Gas Prices?
As gasoline prices have increased across the country, the economy has felt the impact on businesses, and the price of fuel for trucks is no exception. Despite recent price reductions, truckers continue to feel sticker shock when they leave the job. The rising cost of fuel will trickle down to the price of groceries and goods. Veteran truck driver Cesar Rodriguez says he has experienced sticker shock while driving to Atlanta and back. As a result, truckers are struggling to earn a living.
One Dallas-based trucking company, Summit Trucking, is suffering from the high costs of fuel. It has 200 trucks and 500 trailers and 150 trucks on the road each day. CEO Bart Plaskoff said the company pays $3.60 per gallon for gas, which is up from $2.50 to $3 last year during the oil-price pandemic. “This is really bad for business,” he said.
How Much Do Truckers Make Per Mile?
Most truck drivers are paid per mile. It is the most common way to compensate truck drivers. However, some trucking companies are making a shift to other compensation models. If you’re interested in a truck driver job, here’s what to expect. While a typical solo company driver earns around $.51 per mile, they may make more, but their overall pay depends on their mileage.
In general, company solo drivers make $0.40 to $0.68 per mile, while owner-operated truck drivers earn $0.94 to $1.79 per mile. While truck drivers can make up to $725 per week, they’re unlikely to make that much unless they’ve been driving for years. Truck drivers can expect to earn less than experienced drivers, but most companies give their new employees pay raises every six to 12 months.
If you’re thinking of becoming an owner-operator, you can use the infographic below to learn more about the average cost per mile in your area. This information will help you determine how much profit to expect from your trucking business. Keep in mind, however, that the profit you earn is the money left over after expenses. By knowing how much money you can make per mile, you can plan accordingly.
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