If you’ve been wondering about the actual cost to start a trucking company, this guide breaks it all down so you know exactly what to expect and how to prepare. Turn your receipts into data and deductibles with our expense reports that include IRS-accepted receipt images. If you prefer to manage your financial records on your own, there are several ways to go about it.
- Whether you have questions about tax planning, financial strategy, or any other financial aspect of your trucking business, we’re here to provide guidance.
- These costs aren’t the biggest part of your trucking startup costs, but they’re essential.
- These questions provide invaluable insights into managing your fleet more efficiently saving not only money but also improving operational efficiency.
- If you’re looking for trucking accounting software that simplifies your close, boosts accuracy, and keeps your finance team moving, this list will point you in the right direction.
- With automated spreadsheets, you can develop a money management plan that keeps your business on track and profitable.
What Are the Best Practices When It Comes to Bookkeeping for Truckers?
The IFTA office in your trucking company’s home state will notify you of your refund or debt. Running a successful freight business isn’t just about making money—it’s also about keeping your expenses in check. Once you’ve covered those early trucking startup costs, the next step is learning how to manage your day-to-day spending so your business stays strong over time. Here are a few smart ways to help you cut down on expenses without trucking company bookkeeping cutting corners. Things like phones, internet, accounting software, and fleet management tools are part of your regular trucking costs. Even if you’re running everything from home, staying organized behind the scenes is just as important as what happens on the road.
If you want to build a strong first impression, a simple website or logo design can go a long way. Branding may not feel urgent when you’re focused on hauling freight, but it can help you stand out and land those early contracts. Depending on where you’ll be running, you may also need state permits or to register under the International Registration Plan (IRP). Drew currently works as the Financial Controller for Black & White Zebra, leading the finance department for the company. He received his undergraduate degree at the Ivey Business School in Canada and MBA from Oxford University. Or finding a softtware package that can do most of those tasks for you quickly and easily.
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One of the primary sources of income for a trucking company is freight revenue. Accurately recording and categorizing these earnings is crucial for understanding your financial performance. Remote Books Online can help you track income from different clients and routes, providing insights into which areas of your business are most profitable, through accurate financial statements.
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That’s why we’ve put together a few truckers’ bookkeeping tips to simplify your bookkeeping process. Shoeboxed is an expense & receipt tracking app that helps you get reimbursed quickly, maximize tax deductions, and reduce the hassle of doing accounting. Owner-operators and small trucking company owners have a few options to help with these not so desirable tasks, and some are better than others.
I also gave it high marks in trucking features, and its ease of use is impressive, thanks to its simple and intuitive user interface. Its ease of use also took a hit in my rubric, as it’s complex software with a steep learning curve because of the extensive features. Additionally, Axon’s customer support could improve by adding a live chat option. Danielle Bauter has 25 years of experience as a Full-Charge Bookkeeper and has owned her own bookkeeping and payroll service for over two decades, working with various accounting software. Keeping your fleet well-maintained is also essential, and this includes getting regular oil changes and other standard maintenance on time. The best way to save on gas prices is to download an app like GasBuddy, which will help you identify the best-priced gas in your vicinity.
- A lower DSO means quicker cash inflows, which helps in better management of daily operations including fuel purchases and maintenance costs.
- Things like phones, internet, accounting software, and fleet management tools are part of your regular trucking costs.
- Remote Books Online can help you manage your insurance documentation and ensure you have adequate coverage to protect your assets.
- Branding may not feel urgent when you’re focused on hauling freight, but it can help you stand out and land those early contracts.
It helps you price your services to make you profitable and can also identify high-cost areas that you may be able to reduce or eliminate. When you set up your owner-operator or carrier business, you have several options for structuring the business that will impact bookkeeping and tax filing. Setting up your business as a sole proprietorship is extremely simple and will help you avoid having to process payroll yourself but it’ll subject all of your net income to self-employment tax.
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Additionally, I couldn’t award a higher score for pricing because of the combined cost of the two software programs. Trucking involves a variety of expenses, including fuel, maintenance, insurance, permits, and more. Proper bookkeeping allows you to track these expenses and identify areas where you can cut costs. Automating your accounts receivable by using invoicing software will help you to create customized invoices quickly and get paid faster.
With an S-corp, you’ll have to run payroll to pay yourself just as you pay any employee. However, any income remaining after payroll and expenses can be withdrawn with no payroll tax. Once you’ve got your budget in place, the next step is figuring out how much money you expect to bring in—and how that stacks up against your expenses. Think about how many loads you can realistically book, what those loads pay, and how often you’ll get paid. Trucks take a beating on the road, so regular maintenance isn’t optional—it’s essential. Oil changes, tire checks, brake inspections, and general upkeep help prevent breakdowns that could leave you sidelined for days.
What I appreciate most is its advanced functionality, like real-time tracking, which makes it easy to monitor vehicle locations and driver activities in real-time. The RLS integration fills the gaps in trucking-specific features, which is how QuickBooks Online earned another perfect mark in this specialized category. I docked a few points for ease of use, as the integrated features may require a steep learning curve for some users.
You have two options for deducting the cost of meals and lodging—either by how many days and nights you were on the road or with your receipts. You can deduct the greater of 80% of the per diem rate for each day or deduct 80% of the total expenses for the receipts you have collected throughout your trip. It’s also essential to keep proper documentation on hand in case you’re ever audited by the IRS. Per diems are tax deductions that cover meals at a standard amount vs having to track and deduct actual costs for meals. It’s important to claim your per diems correctly to reduce your gross income, resulting in less money owed to the IRS.
Proper bookkeeping ensures you can track payments from clients, monitor overdue invoices, and ensure you have the funds necessary to keep your trucks on the road. Ideally, this would address unique payroll scenarios and fulfill trucking-specific requirements while also simplifying salary calculations from the back end. Depending on the size and needs of your business, you may be suited better with software that provides the basics or one with trucking management features.
It offers the flexibility to pay employees and contractors via checks or direct deposit using methods like hourly rates, fixed salaries, mileage, or revenue percentages. While we’ve explored other QuickBooks Online trucking integrations, RLS stands out as the top choice. Its direct integration with QuickBooks means you don’t have to deal with the headaches of complicated setups or third-party connectors. Plus, since you can purchase and launch it directly from the QuickBooks App Store, the whole process feels intuitive and hassle-free. Sign up to receive more well-researched small business articles and topics in your inbox, personalized for you. It’s a good idea to check in on your policies each year, compare quotes, and ask about discounts—especially if you’ve got a clean driving record or are running a safe, well-maintained rig.
Breakdowns don’t just cost money—they cost time and trust with your customers. Creating a regular maintenance schedule keeps your truck in good shape and helps you catch little issues before they turn into major problems. As of early 2025, diesel prices are averaging around $3.63 per gallon, but that number can climb depending on market changes and where you’re running. JD Edwards EnterpriseOne is an enterprise resource planning (ERP) software designed for large businesses, focusing on scalability and advanced management solutions.
Before you get rolling, you’ll want to become familiar with what it’s going to take, from day-one expenses like buying a truck to monthly trucking costs like fuel and maintenance. Features include supply chain optimization that enhances operational efficiency. The platform also offers project management tools that support complex operations, and financial management solutions to keep your business finances in check. That’s why I tested and reviewed these platforms, placing my focus on financial control, fleet operations, and cost tracking. If you’re looking for trucking accounting software that simplifies your close, boosts accuracy, and keeps your finance team moving, this list will point you in the right direction.
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