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Carrier Driver Payment

Updated: Oct 5, 2023

According to the different payment arrangements between drivers and a carrier or vehicle ownership, drivers could be placed under a different category, to list a few, company driver, owner-operator, lease-purchase driver, and so on

Truck drivers are the doers in the transportation industry and without them, work cannot be carried out. Hence they are very favored by trucking companies and carriers alike. This is also due to the fact that these drivers have less long-term effect on the FMCSA noncompliance penalty.

By working with carrier companies the driver has lower accountability than the carriers who they work for. This then gives them the flexibility to switch carriers at any time for any scrutiny their current carriers may go under.

While truck driving may be fun there are the long stressful days, weeks, and even months on the road. Adding payment-related issues such as delayed payments, high insurance premiums, and increases in dispatch fees just give drivers more reasons to switch carriers. This makes the smooth payment process vital for carrier business.

Driver Payment Complications

What makes the generation of driver paychecks a complex affair may be due to random expense-sharing between the driver and the carrier, different payment arrangements among different driver types, an occurrence of fleet and expense transaction date outside of paycheck scheduled period, and other factors such as

  • Splitting of fuel and maintenance fees either equally or by a certain percentage agreed upon between driver and carrier.

  • Payment is generated through different arrangements such as road mileage, fleet fees, or a fixed amount.

  • Toll fees and other miscellaneous expenses are sometimes paid for by the driver's out-of-pocket expense. They then balance out every fee and expense incurred when it's payday.

  • Sometimes a few transactions may not be deducted from the carrier’s dispatching service fee. For example, lumper fees.

  • Some periodic external fees like IFTA Tax Dues, Oregon Tax, etc. are also sometimes directly applied to dispatch fees.

  • Recurring fees like ELD fees are sometimes forgotten or charged back in the latter paycheck period by carriers.

  • Paychecks may be carried over from previous payment periods. Or these payments may be moved to the future. Therefore, the fleet that started on the previous paycheck dates may need to move the paycheck date to the future.

ZTrucking Driver Payment Services

ZTrucking has an intuitive and simple approach to this problem of driver payments. The software generates a summary of all payments and expenses which is then shared with the driver for easy communication. This payment summary is achieved by maintaining communication and information within the dispatch and automatically bringing in reimbursable expenses, recurring expenses, and associated payment transactions to the drivers' paychecks. Thereby removing the burden of account management.

Generating paychecks just became simpler and a lot more informative with ZTrucking. The software helps carriers identify which fleet has already been settled or paid by customers and then provides a way to easily move the paycheck dates to a future time. This method easily beats using a spreadsheet, even a spreadsheet guru. Why? ZTrucking automates entries into the cloud database and effectively rules out any double entries and ensures accurate recording of payments.

ZTrucking is an all-in-one cloud-based fleet management software providing industry-leading solutions and can easily generate driver payment and invoices.

Along with monitoring fleets & invoices, third-party fuel transaction integrations, setup recurring expenses, flexible paycheck calculation strategy (for example by percentage or mileage), account for customized dispatch fees per paycheck, report on fleet count by dispatcher, monitoring and reading invoice status on the fleet, fuel expenses, and so on. It is the best fit for your carrier company and a great way to increase profits for both you and your clients.

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