If you’re an owner-operator, it’s easy to see why you’d sometimes feel a bit overwhelmed. You probably have new equipment purchases to make or save for, important schedules to keep, and bills to pay. You’re moving across multiple functions on any given day. It’s no wonder that keeping things straight is challenging. So how can you increase your productivity and make your life a little easier? Here are 7 tried and true time management and productivity tips for owner-operators: Don’t multitask. Yes, you wear tons of hats, but don’t try to wear them all at the same time. If you’re on task, stay on that task until it’s complete and finished. The quality of your work suffers when you don’t devote your full attention to the task at hand. Don’t procrastinate. It’s a simple win to check off all the easy tasks on your daily to-do list, but don’t put off those difficult or daunting tasks because they’re unpleasant. Tackle them head on and complete it. It will make you feel good, accomplished, and relieved to get it off your list and get it done! Plan your work; work your plan. Create a list of tasks you need to accomplish each morning. Make the list realistic. Prioritize those tasks and then start with number one and work through your list. Sounds simple enough, but all too often distractions get in the way and before you know it you’re multitasking (see point one). Check email only after completing a task. It’s very easy to get distracted if you check your email after every email notification alert. While it may be hard to do at first, try ignoring those alerts until you’ve finished the task at hand, and only then review your inbox. Use the calendar feature of your email system. Google and Outlook both have integrated calendar features that allow you to plan your schedule. Don’t just plan your meetings. Put placeholders in for the tasks you need to accomplish, including the obvious like stops or breaks. These calendars have mobile apps as well, allowing you to access your calendar on the go. Plan for contingencies. Try to build time into your schedule for the unexpected, such as traffic, weather, or maintenance stops. Planning your route ahead of time or checking weather online will ease your mind, and reduce stress. That extra little bit of prep time can be valuable. Make the best use of your breaks. Try not to just sit in your truck when you’re on a break. Find a trail to walk and enjoy some fresh air. Use the time to get a workout in, or spend time doing good long stretches. Using your breaks to move your muscles will not only help your mind focus when you return to work, but also increase your energy levels. As an owner-operator, your productivity and time management are paramount in running your business. These 7 tips will help you stay focused and manage your all-important workday. Image 1 source: https://www.flickr.com/photos/michaelloudon/ Image 2 source: https://www.flickr.com/photos/klash/

Top athletes invest incredible amounts of time, hard work, and energy into a disciplined training regimen. In fact, many Olympic athletes schedule their training years in advance to ensure that they achieve their performance goals. Alongside every top athlete is a team of coaches dedicated to helping them achieve their success. From a nutrition coach to a workout coach, success depends on everyone working together. Owner-operators need a top business team dedicated to their profits, tax preparation, and their overall financial health. ATBS is the preferred financial coach for thousands of owner-operators across the U.S. Owner-operators that work with ATBS are given a dedicated team of experts who provide key coaching tools that translates into greater profit, and less tax burden. Steps for Coaching your Business Towards Success Tool 1: The Profit Plan. The ATBS coaching team is led by Business Consultants who know trucking inside and out. Clients are assigned a personal consulting coach who takes the time to guide them through a custom Profit Plan. This Profit Plan outlines not only the driver’s current financial state, it outlines career ambitions, and the steps it takes to achieve every goal. Tool 2: Bookkeeping. Imagine sending every receipt you sign to one team -- using any method you like, from a smart phone, fax, email, even US Mail. Next, imagine you can view those receipts anytime, anywhere with just a couple of clicks on your smart phone or desktop. It not only means you can produce a receipt to claim a warranty at a shop, but it means that tax season will be a breeze since your paperwork is automatically merged with your tax return. This is the ATBS Bookkeeping team -- the most technologically advanced, personal organization system for owner-operators in the industry. Tool 3: Tax Preparation. The ATBS tax team is defending your bank account at every turn. If you can submit your tax return and be 100% confident that you are writing off every one of the hundreds of possible owner-operator tax deductions, then we commend you. If you are not confident that you can get every possible deduction on your own, then ATBS is here to help. Tax preparation is a constantly evolving process and with the Tax Cuts and Jobs Act, your 2018 tax return is more complicated than ever. The ATBS tax team has organized a simple, three-step tax-filing process. ATBS clients can relax on April 15th knowing their taxes are complete, and that more of their money is staying where it belongs -- in their pocket. Your team of business, bookkeeping, and tax coaches at ATBS are ready to serve you. Image Source 1: https://www.flickr.com/photos/axlape/ Image Source 2: https://www.flickr.com/photos/euthman/

Form 2290 is the Heavy Highway Vehicle Use Tax Return. Any person operating a vehicle weighing more than 55,000 pounds is required to file this return. In this article, we will be going over how to fill out the 2290 tax form. For more information about the background of the Heavy Highway Vehicle Use Tax, check out our article here. What will I need to know before I start filing my 2290 tax form? Name (personal name or business name that is associated with your EIN) Business Address Business City, State, and Zip EIN (Employer Identification Number) VIN (Vehicle Identification Number) Taxable Gross Weight (total of your truck, trailer, and its maximum payload) Purpose for filing This section only applies if you have an address change, VIN correction, final return, or need to amend a return. For more information regarding the “Purpose for Filing” section, see the end of the article. Part 1 Part 1 of the form is used to determine the amount of tax owed. First, you will identify whether the truck was operated during the applicable period. The form will ask if the vehicle was used during July of the current year. If the answer is “Yes”, you will enter the date in the format listed on the form. If the answer is “No”, you will just need to figure out the month and year the vehicle was first used. Enter the date in the following format: YYYYMM. For example, July 2017 would be written as 201707. Next, you will enter the amount of tax you owe based on the taxable gross weight. A table will be provided for you to determine the amount of tax you owe based on the taxable gross weight and the month the vehicle was put in service. The following line is used to identify whether the vehicle was overweight and if any credits are available. If you originally filed your vehicle within a specific weight category and you have an increase in weight from a load you are consistently hauling, you are subject to identify the weight increase and pay taxes on the increase. Last, you can subtract any credits from the total amount you owe. You should only complete this line if you are claiming a credit for tax paid on a vehicle that was sold, destroyed, or stolen before June 1 and was not used for the remainder of the period or used during the period for 5,000 miles or less. If you are submitting a credit you will need to provide additional documentation to prove you are eligible for the credit. To determine your amount of tax credit, you can use the credit amount formula, which you can find at the link here. Part 2 Part 2 of the form only applies to taxpayers who are requesting a suspension of tax obligations. You will only request a suspension of tax obligations if the vehicle is not subject to tax in the previous year, if the vehicle is no longer owned, or if the vehicle is not operated on public highways. On line 7 of the form, you will check the appropriate box that states your vehicle will be used for less than 5,000 miles. Line 8 is used if a vehicle that was previously suspended from tax obligations was driven more than 5,000 miles. Finally, line 9 is used to let the IRS know that you have sold or transferred a vehicle that you had reported as suspended on a prior year return. Signature Finally, the form must be signed and submitted to the IRS. You may also indicate a third party that has permissions to contact the IRS on your behalf. You can also identify a third party that is owed a report of you filing the form. Schedule of Heavy Highway Vehicles The IRS also allows you to include multiple vehicles on the same form. This can be completed on the Schedule that is attached to Form 2290. This schedule has three sections: one for listing vehicles where tax is owed, one for listing vehicles under suspension, and one summary section of the total number of vehicles included on the form. You will need the VIN of every vehicle you will be including in any section. Purpose for filing - additional information Immediately following the identification section, you must point out whether your purpose for filing the form falls into one of the four categories: address change, amended return, VIN correction, or final return. If your address has changed since your last filing, you must check the appropriate box to let the IRS know. You will also need to make sure you put the new address in the identification section. There would be two reasons you will need to file an amended return. The first would be if your taxable gross weight increased from what you had filed originally. If that is the case, then you can refile the form and will have to pay the additional tax owed. The other reason would be if you originally filed one of your vehicles as suspended but you ended up surpassing the 5,000 mile limit on that vehicle. If this happens you will have to re-file and pay the amount of tax owed. The only reason you would need to file a VIN correction would be if you originally filed with an incorrect VIN. There aren’t any checks in place by the IRS to let you know whether or not you put your VIN correctly, so make sure you check the VIN a few times before you file just to make sure. Lastly, if you no longer have any vehicles to report, you will let the IRS know that this will be your final return. If this is your final return, you don’t need to list any VINs and this will inform the IRS to not expect Heavy Highway Vehicle Use Tax payments from you any longer. If you have any questions or need help filing your 2290, visit our friends over at ExpressTruckTax, the leading 2290 e-filing solution in the trucking industry!

Although April 15th has passed, now is a great time to check in on your tax status and take steps toward lowering your tax liability and maximizing your deductions . Let’s take a look at the top 5 things an owner-operator can do mid-year to ensure their tax bill is manageable in the upcoming year. Tip 1: Tax Estimates The number one way to manage tax liability as an independent contractor is to submit quarterly tax estimates in a timely manner. Owner-operators are responsible for calculating and paying their own tax, as they do not have an employer withholding tax for them. Financial services companies such as ATBS will calculate tax estimates based on actual earnings and email their clients when the tax estimate form is ready. With a couple of clicks, you can download the tax estimate form, sign it, and submit payment to the IRS. Not submitting tax estimates each quarter will translate to a large tax bill on April 15th. Part of being a business owner is taking responsibility for your taxes. Be sure to review your tax estimates and confirm that your financial provider makes this process easy and manageable. Want to better understand tax estimates as an owner-operator? Contact ATBS and bring your tax-related questions to the table. Tip 2: Storage Put your tax returns and supporting documents in a secure location so you can retrieve them at any time. If you apply for a loan or financial aid, you will need tax forms and filings. It’s helpful to have these right at your fingertips. Find a central location in your home and consider investing in a secure, fireproof, and waterproof safe. Whatever storage system you employ, make this a routine for all the members of your household. Tip 3: Monthly Sort Designate an hour each month to collect and sort all receipts that are related to your business. Being an independent contractor means your tax liability will be directly related to how many expenses you deduct. Often times the more you can deduct, the lower your tax liability. Owner-operators can receive more than 100 tax deductions to lower their tax liability, and every year ATBS scans 1,000's of tax filings to ensure our clients capture every tax deduction possible. Tip 4: Consult a Professional The best time to review your prior year tax return is outside of peak tax season. During this time you can identify new strategies to help lower your tax bill. Give your ATBS business consultant a call and let him/her know your tax goals so you can gain a road map towards success. Tax season is when tax professionals are managing hundreds, even thousands, of tax filings and may not be able to give every client their full attention. Consider summer and fall as the best seasons to learn about and employ new tax strategies. Tip 5: Itemize Your Deductions Bundling a number of larger deductions may help minimize your tax burden. Consider an early mortgage payoff, a charitable donation, a large medical expense, and/or a business asset purchase. Together these write-offs could translate to a lower tax burden. Owner-operators enjoy the freedom of owning their work schedule. However, this freedom means additional responsibilities to the IRS. Like every aspect of your business, a little bit of time and consultation with a professional could yield significant changes to your bottom line. ATBS is prepared to discuss taxes year-round but mid-year is the best time to review your tax situation and come up with a plan for year-round tax success!

An important tax form called the W-2, Wage and Tax Statement, should be received by company drivers no later than the beginning of February. This form lists the income from wages you receive as an employee. While a company driver may seem to have a straight-forward tax filing, he/she will need to pay attention to some key tips to be sure they maximize your tax refund. Tip 1: Take Advantage of Tax Credits Some common tax credits a Company Driver can take advantage of include: The Adoption Credit If you adopted a child at some time during the tax year for which you are filing, you may claim a credit of up to $13,570 for 2017 and 13,840 for 2018. The American Opportunity and Lifetime Learning Credits This allows the taxpayer, their spouse, and their dependent[s] who attend college or trade school up to $2,500 with the American Opportunity credit, and up to $2,000 with the Lifetime Learning Credit. The credit amount will depend on your tuition and fees paid. Child and Dependent Care Expenses If you are working and had dependent care expenses for children under the age of 13 or have a dependent or spouse who is disabled, this credit helps you claim the expenses associated. Child Tax Credit For taxpayers who have children under the age of 17, you may receive a credit of up to $2,000 per child. Earned Income Tax Credit Developed for low-income workers, this credit may be claimed by those with or without children and will credit up to $6,431 for 2018. Energy Credits This one is often overlooked. If you made energy improvements to your home that help your energy efficiency, you could qualify for a tax credit. Job Hunting Costs Job Hunting costs are no longer deductible for 2018. Tip 2: Invest in Yourself and Your Family If you invest in a retirement plan or IRA, you may receive up to $1,000 credit per taxpayer. Tip 3: Keep Your Receipts All professional drivers need to keep receipts related to their job. Whether it’s an envelope in the truck, or a container at home, drivers may be able increase their refund or reduce their tax liability, but the IRS wants drivers to keep a record. ATBS recommends drivers save tax-related paperwork for at least 5 years. Tip 4: Hire a Professional There is no science to preparing taxes -- rather, it is an art. With an IRS tax Code that exceeds 79,000 pages, professional drivers should consider consulting with an expert team who knows about company driver tax returns and owner-operator tax returns. Experts can identify not only an optimal tax preparation, but can also advise on things you can do this year to positively impact your taxes for the following year. This type of proactive advice can help taxpayers. You can reach ATBS at 866-920-2827.

As always, if you haven't watched the previous episodes, we'd recommend starting there and working your way forward. Also as always, Episode 2 is the single most valuable & important video in this series, if you do nothing over than watch that video, you'll be on the right path. The key to Managing IRS Compliance is twofold: 1. Be consistent - file taxes timely, pay as much as you can toward your quarterly tax estimates when they're due, and pay as much as you can toward any negotiated IRS settlements when they're due. 2. If you see financial trouble on the horizon, be proactive and call the IRS to let them know you may have trouble paying the full amount toward your settlement! Remember that the IRS must accommodate changes in your income as it related to your negotiated settlement amount/plan. If your income changes, or is going to change, be proactive and call the IRS to see if they can adjust your payment plans to reflect your new income. To check out the complete series, click here. You can also learn about ATBS’ Proven Path for owner-operator truck drivers to get caught up on taxes and out of debt with the IRS by downloading our Tax Resolution Guide for Owner-Operators! Remember, if you're in trouble with the IRS, or if you’re just trying to get ahead of any future problems with the IRS, our Tax Relief Pit Crew will be able to help you out! To learn more about our Tax Relief Pit Crew Service Packages, click here.

Truck drivers live a very unique life on the road. Inconsistent sleep schedules, cooking in the truck, and finding places to park for the night are just a few of the things a trucker deals with every day that the average person does not. Many people would not be able to handle 250 days on the road like the average truck driver is able to. However, it’s not all bad. When you spend enough time on the road, you are able to get used to this type of life. Also, over the years, many things have gotten better for truck drivers which has made living in the truck easier. Let’s take a look at a truckers life on the road and learn a little more about the truck driver lifestyle. What is it like to live in a truck? Having to live your life in a truck can definitely feel crammed. This is because your whole house is basically an 8-foot by 10-foot box. These small dimensions make staying neat and organized a challenge. As you continue to accumulate stuff, it continuously gets more difficult to find a place for it all. This is especially true if you collect things that you think you need but never end up using again. However, one of the nice parts about living in your truck is that it’s all your space. You can keep it as clean or as dirty as you want and it’s easy to have privacy. Whenever you want, you can get in the back of your truck, close the curtain, and nobody will really bother you. Also, the creature comforts have gotten better, which means it isn’t that bad to just hang out in the truck. The ability to use the A/C in the truck has become a lot easier and there are now microwaves, shelves, tv mounts, refrigerators, and nicer mattresses available. Lastly, living in your truck means there is no real commute from home to the office. When you wake up, you are already where you need to be in order to get the workday started. What does a trucker's weekly and daily schedule look like? Weekly schedules on the road vary from truck driver to truck driver. Some truckers drive the same set route every week. This means they are either home every night of the week or they are home the same day of the week, every week. Other truckers drive irregular routes and don’t know what their schedule is going to look like week to week. Irregular routes can be caused by a variety of things from carriers telling their drivers to go wherever they are needed, to owner-operators using load boards to find one-time freight to haul. There are pros and cons to each type of weekly schedule and it really just depends on personal preference. A truck driver only has so much control over what their daily schedule looks like. Things like hours of service, the time it takes to get loaded or unloaded, planning for parking, and many other factors will determine how their day will look. Wake up times usually vary depending on the time they were able to get finished the day before. In the morning, a trucker may leave themselves some time before they go on duty in order to get ready for the day. After they are ready, they go on duty and do their pre-trip inspection before they hit the road for the day. After that, every day is different depending on the load. A driver can either drive the entire day or spend time at a receiver or shipper getting loaded or unloaded in order to go to the next shipper or receiver. When driving is completed for the day and the post-trip has been finished, truckers have time to do whatever it is they need to do before they get back on the road. What do truckers like to do when they are done driving for the day? What a truck driver will do when they are done driving for the day depends on if they are a company driver or an owner-operator. Company drivers don’t have much to worry about in terms of trucking when they are done for the day. They are able to unwind, go on their phone, watch TV, talk to family or friends, etc. Owner-operators are able to do this as well, they may just have more responsibilities to tend to beforehand. Owner-operators have to be business owners as well as truck drivers, which means they may have paperwork to organize, maintenance on their truck they have to get fixed, customers they need to call, or other drivers that drive under their authority that they have to contact. Once all of an owner-operators business duties are done, they can go on to do whatever they want to do for the rest of the day. What are the relationships like with other truck drivers? The relationships truck drivers have with one another looks different today than it did in the past. Today, it’s not as common for drivers to get out of the truck and converse amongst one another. Instead, it’s more common to see drivers scrolling through their phones rather than speaking with others. This isn’t a knock on truck drivers as this is how most of society operates in general. Because of this, drivers don’t really sit at a counter anymore and have group conversations like they used to. However, this doesn’t mean that truckers don’t have any type of relationship with other truckers. Many of the conversations that used to happen in person may now happen online on social media or trucking specific forums. Also, many still have truck driver friends that they are able to call while they are driving and others may have friends that they see at the truck stops each week on their dedicated route. How do truckers stay healthy on the road? Staying healthy as a truck driver on the road has been a big initiative for the trucking industry overall. There are now countless programs devoted to helping truck drivers live a healthy lifestyle through eating right and exercise. However, this doesn’t mean it doesn’t take hard work to stay healthy on the road. When a trucker is done for the day, they are able to get out of the truck and walk around to stretch their legs out and try to burn a few calories. However, some drivers aren’t done until late at night and either don’t want to walk around in the dark or they are too tired and need to relax. With some of the amenities in the truck like refrigerators and crockpots, truck drivers now have an easier time cooking healthier meals on the road. Similar to exercising however, if a driver doesn’t get done until late at night, they may just want to grab a quick meal and go to bed. With the proper mindset, truck drivers have the ability to stay healthy on the road. But the combination of the time, money, and effort it takes to live a healthy lifestyle makes it hard for everybody to do so. How do truckers stay entertained on the road? While driving, there are so many safe options for truckers to stay entertained. With satellite radio, music streaming apps on the phone, podcasts, and audiobooks it’s become easier to keep from getting bored on the road. Also, with hands-free headsets, it’s simple for truckers to talk to others on the phone. Technology has also made it easier to stay entertained while being shut down. Some trucks have monitors that can be connected to laptops or Blu-ray players in order to watch T.V. or movies in the truck. Phones and tablets can also connect to the internet which makes it easy to watch videos or play games. Depending on where you are at, you can also walk or take Uber or Lyft to places like the mall, a movie theatre, restaurants, and many other places to stay entertained. Drivers can also spend their time cleaning and organizing the truck. However, most places are pretty good about keeping truckers moving, so they don’t really have to keep themselves entertained while being shut down for too long. What do truck drivers typically wear? The wardrobe of truck drivers is as varied as what you would see anywhere. Some truck drivers don’t really care how they look when they are on the road and may not take pride in their appearance. However, many are clean, neat, and presentable. For truckers, the image should matter a lot. This includes both the way you present yourself and how you look. Companies can get complimented about their professionalism just by the way their drivers take care of themselves. On the other end of the spectrum, drivers who do not take pride in their appearance can have a negative effect and carriers could actually lose business for unprofessionalism. The Truck Driver Lifestyle Is Different For Everybody Not every truck driver lives the same lifestyle. And, there are many other parts of this lifestyle that weren’t even touched on. This is just a glimpse of what a truckers life is like. As time goes on, it will be interesting to see how the truck driver lifestyle changes over the years to come.

Many drivers make the transition from company driver to owner-operator because they want the opportunity to make more money and have more freedom. However, before you can achieve these goals, there are many things you should consider before starting your own trucking company. One of the biggest things on the mind of a driver who is looking to branch out on their own is, “how much does it cost to start a trucking company?” Let’s take a look at the different costs you should expect to face before you can call your trucking company your own. *A quick note before we start... Many of the costs associated with starting a trucking company vary quite drastically. The goal of the article is to let you know about the different expenses you may incur and a range of how much you should expect it to cost. Have questions about getting your trucking company started? Click here! How much does it cost to start a trucking company? CDL License If you are looking to start a trucking company, chances are you have already acquired your CDL (Commercial Drivers License) license as a company driver. In case you haven’t, you will have to go to a CDL training school-course, pass a written exam, acquire a CDL permit, train with a supervising driver, complete all required training, and pass your CDL skills test. After all of this, you will earn your CDL. The exact cost varies from state to state. In Colorado, for example, a CDL training course costs between $3,000-$7,000, your permit will cost $14, your skills test will cost $225, your DOT physical will cost $65, and your official CDL licensing will cost $28. These costs should be similar no matter what state you are getting your CDL, but individual research will be required. USDOT and MC Number Before you start your own trucking company, you will need a USDOT number and an MC Number. A USDOT number identifies you as a carrier that is operating in interstate commerce and an MC number identifies you as a carrier who transports regulated commodities in interstate commerce. You can file for both through the Federal Motor Carrier Safety Administration (FMCSA) website for $300. You will need to know your company operation, operation classification, cargo classification, types of vehicles, ownership of vehicles, and driver status. Once the application is complete, it will take about three to six weeks to get approved. Truck When you decide to start your own trucking company, you will need to get your own truck. You have the choice of purchasing your truck or leasing it. When you purchase a truck, it is considered your property and may be sold at any time. You make monthly payments on the vehicle until it has been paid off, and at that point, you are the titleholder. If you go this route, you can purchase the truck new or used. A new truck typically runs between $125,000 and $150,000 on average. A used truck can start at $45,000 and go up to $100,000, depending on how old it is. The monthly payments of purchasing a truck will vary based on how much you can afford for a down payment and the interest and terms of the loan. When you lease a truck, you still make monthly payments, but those payments go toward the use of the truck, not ownership. Leases are typically set on a schedule of one to three years. If at any time you want to stop paying for the lease, an early termination fee will be applied. If you choose to lease a truck, you can usually expect to pay around $1,600 to $2,500 per month. Trailer In addition to getting your own truck, you will also need to decide if you need to purchase your own trailer. As a leased owner-operator, you may have a carrier that provides a trailer for you. However, owning your own unique type of trailer while being leased on to a carrier may allow you to be more desirable to the carrier and to shippers. If you are under your own authority, getting your own trailer can lead to increased revenue and more control over the equipment you are using, but it will also come with increased costs. New trailers today cost anywhere from $25,000 to $50,000. Insurance The insurance you’re required to purchase for your trucking company will depend on if you are leasing onto a motor carrier or operating under your own authority. If you are leased onto a motor carrier, the carrier will likely provide primary liability insurance coverage. This insurance will cover injuries or damage to other people or property if you are found responsible. You will still need to purchase non-trucking liability insurance, physical damage coverage insurance, and occ/acc insurance. As a lease owner-operator, your insurance will likely cost somewhere between $3,000-$5,000 per year. If you are operating under your own authority, the cost of insurance goes up to around $8,000-$12,500 per year. This is because you have no motor carrier covering any of the cost for you. You will need liability insurance, physical damage insurance, motor truck cargo insurance, and work comp insurance. These are just the basic insurances you will need as you operate on your own authority. The price of insurance will vary depending on the type of coverage you are looking for. Business Entity Setting up your trucking company as a Limited Liability Company (LLC) will allow you to separate your personal assets from your business liabilities. An LLC can lead to several legal, tax, and business advantages, but it may or may not be necessary depending on a variety of different factors. It’s recommended you consult with a business service provider, like ATBS, before setting up an LLC. The state-filing fees for an LLC vary from $50-$300 depending on the state that you are filing in. The average state-filing fee is $127. ATBS can help you set up your LLC for $299 plus the specific-state filing fee. Click here for more information about setting up a business entity. Additional Costs BOC - 3 Form The BOC - 3 Form will be necessary if you plan on doing interstate business. This form establishes that you are legally able to operate in each state that you drive. The cost of filing your BOC - 3 form will range between $20-$40. IRP Credential and IFTA Decal The International Registration Plan Credential and International Fuel Tax Agreement Decal are two more costs you will incur in order to operate across state lines. The IRP credential cost is based on the percentage of miles you operate in each state, and the average cost is about $1,700 per year. The IFTA decal cost is a lot cheaper at about $10 per year. HVUT (FHUT) The heavy highway vehicle use tax is a fee assessed annually on heavy vehicles operating on public highways at weights equal to or exceeding 55,000 pounds. The cost is determined by adding the unloaded weight of the vehicle, and any trailers, with the maximum load customarily carried. The maximum HVUT is $550 per year. Load Board A load board is an online matching system between truck drivers and shippers that allows freight to be claimed and shipped. Working under your own authority will mean you will need your own load board. An owner-operator who is leased onto a carrier will still have freight assigned to them. There are many options when it comes to using a load board. Some are even free. If you want to pay for a load board it is going to cost between $35-$150 per month. ATBS recommends using Truckstop or DAT for your load board. Ready to get started? There are many costs associated with starting your own trucking company. However, if you believe in yourself, and want the opportunity to make more money and have more freedom, then it’s worth the investment. This article covers the main expenses that you will face during the process of starting your trucking company, but keep in mind that these costs will vary and you may have to pay more or less depending on your unique situation. Hopefully, this article will help you prepare for what you will have to pay for before starting your trucking company. Quick List of Costs CDL: $3,000 - $8,000 USDOT and MC Number: $300 Truck Lease: $1,600 - $2,500 per month Purchase: $45,000 - $150,000 Trailer: $25,000 - $50,000 Insurance: $3,000 - $5,000 per year Business Entity: $127 - $426 BOC-3 Form: $20 - $40 IRP Credential: $1,700 per year IFTA Decal: $10 per year HVUT: Maximum of $550 per year Load Board: $35 - $150 per month

Whether you're working with first-time lease-purchase independent contractors, or small fleets with their own operating authority, having the right tools in place will make sure your program starts and stays successful. Oftentimes, you hear horror stories about predatory lease-purchase programs or carriers taking advantage of independent contractors (ICs). Throughout our 23 years in business, we’ve found that the most successful carriers with the lowest IC turnover, are the ones that truly set their contractors up for success. Make money from them hauling freight, not from nickel and diming them to death with fees! 1. Communication Communication is the key to success in any business setting. This starts before the prospective contractor is even in the picture with recruiting. Giving false information to get folks in the door is a recipe for disaster. Expectations of miles, take-home pay, and benefits, need to be clearly defined. Any embellishment will quickly be turned into a negative thought, which means everything they’ve been told is now met with skepticism. The next step is having the exact same message in orientation. Orientation is the first live look at the carrier and how things operate. Orientation must be well organized, clean, and to the point. A communication network for support must be very clearly defined and driven into the IC’s mind so that they understand it is there! We also often hear about monthly or quarterly IC calls where folks can express concerns or frustrations to office staff. Sometimes a cure to woes is just having someone listen to the IC’s issues. 2. Successful Partnerships One of the hardest things about IC success is making sure you don’t cross the IC vs employee line. That is where 3rd party vendors and partners can make all the difference! At ATBS, we save contractors time, stress, and money while letting them do what they do best… deliver freight safely! Most ICs aren’t the best business people, that's why we give them: A dedicated Business Consultant for unlimited advice and help A budget that helps them understand daily fixed costs, tax-saving advice, and a break-even point for business and personal expenses Bookkeeping Monthly interactive P&Ls to help make informed decisions Industry Benchmarking Quarterly Tax Estimates Tax Preparation and Filing An app to submit receipts Secure Online Portal You can also look into insurance and retirement partnerships. Benefits are more important than ever right now. With rising healthcare costs and increased cost of living, ICs need to know they have the options to make an investment in retirement and their health. 3. Safety Incentives Safety is a huge cause for turnover, that is often overlooked. Don’t lose the good capacity to unwarranted safety incidents. We often hear of programs that incentivize with safety bonuses. The common ones you hear are paid based on certain intervals without any incidents (Eg. 50k miles, 100k miles, etc). You also hear about safety bonuses based on low percentages of time speeding. Another safety incentive that is being elevated recently is one based on onboard cameras. There have been countless nuclear verdicts in recent years, and onboard cameras can be a huge tool to help in a lot of cases! 4. Pay Full Fuel Surcharge This one is a HUGE topic for ICs. This goes back to the idea that you need to make money off of freight, not from the ICs themselves! We all know our IC’s talk, and one of the most common things they discuss is a carrier, and how they pass on costs and revenue. Not paying 100% of the fuel surcharge has become extremely toxic and ICs will avoid fleets not paying the full amount based on that idea alone. 5. Flexibility The number 1 reason a truck driver takes the next step to become self-employed is FREEDOM. They make this step so that they can control their own destiny, and have the opportunity to make more money. It’s that simple. It seems obvious, but that means you need to give them the chance to have a profit or loss. This means no forced dispatch. No IC wants to be told this is what they have to do. They need load choices, a load board if you can support it, or just the ability to say no. Fleets that do have the ability, should consider a load board for freight choice. This has become significantly more popular over the last few years and continues to expand in this booming freight market. As a fleet, you need the company driver capacity to cover lanes that the ICs tend to not run, so this isn’t for everyone. Lastly, the ability to have riders and pets seems to be a make-or-break for a good portion of the ICs. If you say no to riders and pets, you’re eliminating a big part of your recruitment pool! 6. Discount Networks It feels like we are beating a dead horse, but passing on your fleet discounts to your ICs is a no-brainer! Make money off of freight, not your ICs! Fuel - Your ICs biggest cost. Make sure you pay the full fuel surcharge and you pass on the same discounts your company drivers get! A profitable IC lowers your turnover and runs your freight. Both of those are very important! Maintenance - Your IC's 3rd biggest cost. Make sure they are aware of your network and how to utilize it. Like the driver shortage, there is a maintenance tech shortage and labor rates continue to go through the roof. Use your purchasing power and leverage to help maintain your fleet! This goes for tires as well! 7. Create a Driver Career Path You don’t hear of this as often as you’d think. Some folks come into the industry looking for a clear career path to help better their lives, lower their stress, and keep making more money. Trainee - Not every fleet has this ability, but utilizing the communication idea with a career path from day 1 can help you develop ICs that know your company, your system, and how to be successful. Company Driver - If you couldn’t start as a trainee, start here for developing your IC program. Make it an option as a clear career path opportunity. This should be part of your recruiting pitch and known throughout the organization. Some fleets even require new hires to pull company freight for 3-6 months before they become an IC. This allows both the carrier and the driver to have an extended job interview to make sure all parties are the correct fit. Lease-Purchase - This isn’t for every carrier, but this is often the stepping stone from being a company driver to being an IC. This can be operated in-house, but there are numerous companies that supply trucks for an LP program. The best LP programs make sure the IC has some sort of down payment to have some skin in the game. They also utilize companies, like ATBS, to make sure these first-time business owners get the help they need from day one. Hired Gun - This is a true IC with their own asset who is driving under your authority. Sometimes it’s from paying off their LP truck, sometimes it’s from saving up for a down payment at an outside vendor. Have a network in place where you can refer them to in order to make that purchase! *Please note that any of these changes should be evaluated by a legal team. These are just a few of the things we see from carriers with successful IC programs. If you have any questions or would like to discuss any of these topics in more detail, please feel free to reach out to us.

We often get asked about the most overlooked tax deductions. Because owner-operators are responsible for calculating and paying their own taxes, they are also responsible for deducting expenses, which can significantly lower their tax burden. While the IRS does not conveniently list every deduction possible for an owner-operator, we are here to review and advise clients on their tax returns. In this article, ATBS looks at commonly overlooked tax deductions. One area of commonly overlooked tax deductions is the internet, smartphones and other devices. These gadgets are quickly becoming an integral part of the owner-operator’s world. You now have a license to play around on the Internet and find the tools and apps that are most helpful to owner-operators -- especially now, since you can write-off the costs associated with these tools! Write-Off 1: Smartphone Apps There is a growing list of apps that owner-operators rely on to make their life and business run smoothly. From Cat Scales App to Load Boards and from the Pegasus Smart Phone Scanning to TA Petro’s TruckSmart App, the list is growing! Any and all costs associated with apps can be claimed as a business expense on your tax filing. Just be sure to keep a record of your purchase and the costs associated with them so you can easily write them off at tax time. Write-Off 2: Business Portals Businesses that offer owner-operators a secure, online portal where you can access scanned receipts, review your profit and loss statement, obtain tax estimates, and review your profit plan [aka, your budget!]. The cost to have business at your fingertips is deductible so be sure and consider this when approaching a business partner who can manage your taxes, accounting, and your online portal. Write-Off 3: Internet Costs If you are able to bring Wifi into the cab, this cost is a tax deduction. Consider investing in the ability to have Wifi in your sleeper giving you the chance to be productive at the end of your day or the end of your route. Many owner-operators opt to create an office in their truck’s cab and can offer advice as to the set-up and organization. Write-Off 4: Devices Today’s mobile technology is more affordable than ever and owner-operators are investing in tablets, Smartphones and laptops for their business that takes them on the road. The cost of these business tools are a deduction so you’ll want to save the receipt and send them to your tax preparer who can use this to lower your tax liability. Technology today can be fun and importantly, smart for your business success. Owner-operators are on the road a lot and they are in an excellent position to invest in and write-off technology tools. At ATBS, we analyze our clients' expenses and help drivers take every legal tax deduction they are entitled to. Give us a call at 866-920-2827 to speak with an enrollment specialist who can set you up with tax services from ATBS.

Creating a fleet is no small task. With careful pre-planning and inside knowledge, drivers can grow a fleet and build a successful business. In order to do so they need to prepare their personal and business finances, arrange loads, prepare for maintenance costs, find the right talent, plan a business structure, and get the right truck(s). By taking the proper steps, you too can start to build your own small fleet trucking company. Here are some of the first steps to take: Know your credit score It is important that every business owner understands what their credit score is, especially if they are looking to get a loan to grow their business. Some things that can impact credit scores are the amount of debt you owe, and if your payments have been made in a timely (or not timely) manner. Many businesses have an entity with an Employer Identification Number (EIN) that they have taken time to build credit for the business. One can get a business line of credit or opt to get a business credit card, but keep in mind that the owner’s personal credit will impact the business credit as well. Owners can check credit once a year for free using https://www.annualcreditreport.com, which checks Transunion, Experian, and Equifax. If there is an entity set up, check with Dunn & Bradstreet to see the business credit score. If you need some great tips on how to boost your credit rating, check out this article. Know where to get loads Another thing to be prepared for is where to get your loads. Owners either operate under another carrier's authority, or set up their own authority. Loads can be self-brokered from boards online, but be careful of the pay, as it is often times lower on the online boards compared to brokered loads from carriers, etc. Know how to collect the check When creating their own authority owners will want to make sure that they have the ability to operate for up to ninety days without payment. Many self-brokered loads can have the potential of lengthy time between receiving pay. There are several payment services that will allow you to be paid for loads after completion, but be careful as many of these services will take a percentage of the payment. Know what to do when a truck goes down When operating several trucks, it is a good idea to make sure that fixed costs are covered for the fleet in the event that one or more of the trucks are sidelined due to maintenance or staffing issues. If there are loan or insurance payments, they will have to cover all fixed costs until that truck is back on the road. This is part of the reason that many small fleet owners often decide to have between one and five trucks; because if there are five trucks there is a good chance that any expenses for a downed truck is covered. In order to protect themselves, owners should be sure to plan ahead for covering fixed costs in the case of a sidelined truck. Know how to find drivers Owners can't drive more than one truck at a time, so how do they find another driver that they can trust to take the wheel? How do owners make sure that they are taking care of their investment? Often times it’s best to find a driver before finding a truck, and maybe even bring them on as a co-driver first. This gives them a good idea on how they drive, and what working together will be like. It also gives owners the opportunity to teach and correct any issues, before putting someone behind the wheel of one of their trucks. Know how to pay drivers It is recommended to decide ahead of time if drivers will be independent contractors or employees for tax purposes. Referring to guidelines set by the IRS can help. Publication 1779 outlines what the IRS looks at to determine whether or not a driver is an employee. You can find some great guidelines for how to set up payroll for employees by reading this article. Employee Drivers If your drivers are employees, owners are required to withhold taxes from their paycheck and pay part of their Social Security, Medicare, and FUTA (unemployment taxes). ATBS can assist with handling payroll needs. Independent Sub-Contractor Drivers If the driver is an independent contractor, you will need to issue a Form 1099 and 1096 at the end of the year. Independent contractors will be responsible for their own taxes at the end of the year, and need to pay quarterly tax estimates to avoid penalties. You will want to use voided checks or a handwritten receipt to document payments to these drivers to have accurate records at the end of the year. Consider if you will pay drivers by mile, or percentage of the load – as well as if payment will be calculated before or after truck expenses are taken out. Know how to create an entity Many truck stops have signs about forming an entity, but what does that actually mean, and is it really necessary? Every state has different rules as to how an entity is required to run, but owners are typically better off by forming entities where their permanent home and tax address is located. There are several options as to what type of entity can be formed such as a Partnership, S Corporation, C Corporation, or an LLC. ATBS can assist in forming an entity that is right for your business. This article breaks down the different business structures, and goes into more detail about the benefits each type of entity can provide. Know where to look when buying trucks There are many places to find trucks such as http://www.truckpaper.com, which lists trucks for sale across the nation. This website provides a good idea of what is currently available in the market, and what current prices are. When considering purchasing additional trucks, check that your credit is in order to ensure you have enough money for a down payment. Know what to look for when leasing trucks Often time-leased trucks will come at a premium, but if an owner has poor credit this may be a viable option for expanding their fleet. Be sure to check the terms of the lease, and ask questions. Can you add upgrades to the truck, such as an APU? What type of lease is it? In the event that operations stop, can you walk away from the lease? If so, are there penalties? Overall, there are many questions that will need to be answered when growing a one-truck business into a fleet. Take the time to learn best practices, and ensure you will be able to run the most efficient and profitable fleet possible. A successful business is built on good planning and education.

The following article is an exerpt from Build Your Businesss: An Owner-Operator's Guide to Success PURCHASE A COPY OF THE BOOK Successful owner-operators know that simply running hard is not enough. If it were that easy, anyone could do the job and expect the profits to roll in. Understand it pays to slow down and that there is a trade-off in higher costs, not to mention the increased risk, for driving fast. If driving slower takes time away from you, you can find ways of managing your time to get some of it back. For example, you can take vacation time or plan major work on your tractor during the first week or two of the quarter (early January, April, July and October). Never take time off during the last two weeks of the quarter (or the last week of the month), when freight typically is abundant. Sometimes it works to your advantage to look for loads that take you “through” home rather than “to” home. The latter can interrupt your revenue stream and require additional time to get back up to full speed again. As an owner-operator, you should look at time off differently from a company driver. If a company driver takes a week off, he loses only the opportunity to make a weekly paycheck. When an owner-operator takes a week off, he has fixed expenses to pay and won’t be earning a paycheck. When he returns to work, he not only has to replace the lost income, he also must quickly cover the fixed expenses that were spent during his time off. For example, for an owner-operator with fixed costs of $100 per day, seven days off would cost $700 in payments that still have to be made. Though truly long-haul work remains the bread and butter of many an owner-operator, opportunity in regional- and short-haul work continues to expand. Average length of haul has declined markedly in dry van and, increasingly, in refrigerated. Shorter hauls take more time, and they cost more money on a per-mile, per-load basis. While carrier pay packages adjust to shorter hauls with premium per-mile rates or other compensation tactics, they’re not always quick to follow the freight trends. As freight regionalization continues to hit other segments, close work on the part of owner-operators and their customers and dispatch assumes much greater importance in maximizing income. THE SUCCESSFUL OWNER-OPERATOR’S DAY PLANNER Smart owner-operators make every single week as profitable as possible. One trip is not enough time to be considered profitable or unprofitable, and an entire month may be too much time to manage. One week is the right amount of time to deal with efficiently. To do so, look at the advantages and disadvantages of every day of the week. Match trip length to the optimum day of the week. Plan to deliver on the day you have the best opportunity of getting a load. Plan to drive under a load on days when it typically is harder to get a load. Your plan will vary depending on the weekly delivery/flow cycle of your region, typical length of haul, personal requirements and other factors. The needs of customers and dispatch have to be considered and often will determine how your time is used. What’s important is to have a specific weekly plan that helps you be successful. SUNDAY: It’s like getting in an extra day if you can pick up or deliver on Sunday, since this typically isn’t a day for either task. Being able to make the most of Sunday gives you a good head start on the week. MONDAY: Profitable owner-operators deliver on Monday. Why? Delivering the first load of the week on Monday lets you start your week with miles already generated and leaves time to be profitable during the rest of the week. On Monday you’ll find more load opportunities than Tuesday, too. TUESDAY: Unless it’s a 2,000-mile trip, delivering the first load of the week on Tuesday means the week usually won’t be profitable. Tuesday is the day to take a hard look at how many miles you have driven and how many more you need to have a profitable week. WEDNESDAY: It’s hump day. By now, about half of your gross revenue for the week already should be in hand. THURSDAY: This can be the make-or-break day of the week. A load picked up on Thursday should either be short enough (less than 600 miles) to deliver on Friday, or provide enough miles (at least 1,600) to carry you through the weekend. Try to average 550-600 miles per day for the trip, although on Thursday it’s almost always better to take a 350-mile trip and deliver it on Friday. Turning down a short run just because it would mean laying over until Friday is an expensive mistake. FRIDAY: This usually is the best day of the week for freight. Being under a load with the longest possible miles over the weekend will make the best use of your time. SATURDAY: The week is over, and your work and planning should have resulted in a profitable operation. But like Sunday, Saturday is an extra day if you can pick up or deliver a load. Many an independent owner-operator has realized high freight rates by being the 911 service on the weekend for a trusted broker. If you’re using load boards on the spot market and can make yourself available on Saturday or Sunday by posting your truck, you might be surprised by the good results. A variation on the day planner specifically related to spot market rates is available via Overdrive’s interactive rates tool at OverdriveOnline.com/rates. Find highlights on the adjacent page. Data there is derived from the Truckstop.com load board’s collected rates in year 2014, analyzed by the service and Overdrive. Increasing Efficiency Make the most of your waiting time, such as while loading or unloading, getting your truck washed, stopping at the scale house, etc. Take care of your rig. Check your tires and lights, and clean windows. Review maintenance records. Take care of yourself. Take a walk if you can leave the rig. If you aren’t able to leave, do stretches or exercises in the cab. Answer mail, write letters and pay bills. Cook a healthy meal in your microwave, or read a book. Plan ahead. Wipe off reflective tape while waiting or while doing a pre-trip; you’ll be more visible and invite fewer inspections. Organize any clutter, especially on top of the dashboard; a cluttered dash is an open invitation to be inspected by law enforcement. Update your logs, especially the recap; not maintaining the recap is a major reason why operators unexpectedly run out of hours – a situation that is expensive and frustrating. Otherwise, follow these steps for maximum efficiency. Deliver on time. If you deliver late, the consignee may assign your dock door to another driver and put you last on the list. Delivering 15 minutes late can cost a whole day or even an entire weekend. Deliver as early in the day as possible so that you have a time cushion to get dispatched to your next load. On appointment loads, deliver 30 minutes early. An empty trailer gives you plenty of options, but a load sitting on your trailer gives you only one option – waiting to deliver. You have to manage the cost of fuel and fuel taxes, as well as the cost of time to fuel, which usually is about 45 minutes per stop. The typical owner-operator carries 200 gallons of fuel or more but buys only 100 gallons at a time. Often it saves time to put 175 gallons in the tanks instead of continually topping off with 100 gallons or less. Plan your trip and work out the timing in advance. Ask for directions to every stop, or use mapping software such as ProMiles software or the many truck-specific GPS units now on the market from Rand McNally, ALK Technologies, TomTom, Garmin and others. Use the fuel/route-optimization tools at fuelsurchargeindex.org as well. Try to depart early, especially when winter weather poses potential delays. Leaving late is the major reason for service failures – such as running out of hours on the morning of a delivery. Be prepared to deadhead instead of laying over. The time and money lost to a layover can almost never be made up. If the deadhead can get you to a good load within 24 hours, it might make sense. If you’re leased, don’t surprise your fleet manager. Keep him or her informed of every detail that affects service and your schedule. Set a personal and reasonable goal each week for the miles you want to run and tell your fleet manager or dispatcher. Work with him or her to improve your miles and revenue. WANT TO LEARN MORE? 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