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bernieh48

Veteran Expediter
Offline
Has anyone ever heard of a fleet owner charging all his drivers a weekly fee for having a generator on the truck?
 

paullud

Veteran Expediter
Offline
Is he charging you for a generator he provided or charging because you put one on. I'm guessing the first option but it does make sense to charge a small fee so that he can recoup the cost and buy another when needed.

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bernieh48

Veteran Expediter
Offline
A generator that was already on the truck. We have been in straight trucks for 18 years in expediting and never had an owner charge for one.
 

davekc

Senior Moderator
Staff member
Fleet Owner
Offline
Some do and some don't. Some charge for the qual-comm. Just depends on the contract you have. Some pay 60 percent and some only pay 50 percent.
 

zorry

Veteran Expediter
Offline
I would provide the APU,at my cost, to help attract and keep better drivers.
I've never heard of a guy charging for an APU.
The last owner I drove for paid the TV,xm radio,all tolls and weekly truck washes. And the Occ Healrh plan.
We in turn worked hard to insure he stayed profitable enough to continue his generosity
When we left we sent him another good team. .
 

Bruno

Veteran Expediter
Fleet Owner
US Marines
Offline
Has anyone ever heard of a fleet owner charging all his drivers a weekly fee for having a generator on the truck?

Yes, and he has ever right to charge a fee for a $9500.00 APU that is saving you money not him. Are you going to share some of your FSC money with him Bernieh48? Are you paying the services on the APU or the repairs on it when it needs fixed? I bet you will call your owner up if it breaks down and want it repaired ASAP because you pay the fuel. The IRS says the driver has to have something vested into the business relationship. It may be a equipment use fee or something, but they have to have something vested. You say you make more money paying the fuel and you like where you're getting 60% and 100% of the FSC and the owner gets 40%. That is all good and well but if your paying the fuel then you should pay the fuel tax's too, since you get 100% of the FSC.

I'm not picking on you, but you have to leave the owner some room to make a profit too. If you don't like their lease find another owner that will pay you what you think your worth. If not buy your own truck. I have seen it to many times where owners who do the 60/40 split can't even afford to pay for repairs on their trucks and end up selling them to other fleet owners. We don't pay our drivers that way at this time. I know Davekc does, but he runs a different set up than we do. Most of Davekc teams are husband and wife teams that like the big sleepers. You can't have everything, it has to be a partnership.
 
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Slacktide

Seasoned Expediter
Offline
Yes, and he has ever right to charge a fee for a $9500.00 APU that is saving you money not him.

Bruno, correct me if I'm wrong, but, doesn't having a functional apu on a truck automatically save a fleet owner money?

Reduced idle time on the "big engine". Resulting in reduced wear and tear, fewer oil changes and less run time on engine components. When you compare the cost of repairing/maintaining the truck engine vs the fuel savings for a driver I would say the greater potential savings falls to the fleet owner.

IMHO I see the apu mutually beneficial from the beginning. Yes the fleet owner takes the initial hit on the cost but he/she does on the truck also. If the owner insists on the diver having a vested intrest in the apu have them pay for the oil changes on the unit and nothing more.


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JohnWC

Veteran Expediter
Offline
hey Fleet owners can charge you what they want LOL Just look for a differnt fleet owner// or tell them you'll drive for the 40% and they can recive calls from dispach and except load or decline it your just going to be a company driver
 

Bruno

Veteran Expediter
Fleet Owner
US Marines
Offline
Bruno, correct me if I'm wrong, but, doesn't having a functional apu on a truck automatically save a fleet owner money?

Reduced idle time on the "big engine". Resulting in reduced wear and tear, fewer oil changes and less run time on engine components. When you compare the cost of repairing/maintaining the truck engine vs the fuel savings for a driver I would say the greater potential savings falls to the fleet owner.

IMHO I see the apu mutually beneficial from the beginning. Yes the fleet owner takes the initial hit on the cost but he/she does on the truck also. If the owner insists on the diver having a vested intrest in the apu have them pay for the oil changes on the unit and nothing more.


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Yes, your right it does. Making sure you're following the rules with the IRS is very important. I see nothing wrong with an owner charging a fee for a APU. Go read what the IRS says about providing tools or equipment to a contractor to do the job and you will change you mind. The IRS say's if you do they are considered employees not contractors. You can rent the contractor equipment for a set amount each week to make them a contractor. When it comes to the rules the IRS is the KING.
 

zorry

Veteran Expediter
Offline
When the IRS tightens up on this issue many fleet owners will disappear.

Putting a guy in a $100,000 to $250,000 tool and saying he's an independent contractor because he pay $20 a week towards an APU is absurd.

Of course,it doesn't matter what I think. It's what the lawyers can get by the IRS.

Barry will fix this.
Or screw it up, depending what side of the fence you are on in this issue.
 

bernieh48

Veteran Expediter
Offline
I have shown that so called IRS info to my audit lady who I might add did the Wesley Snipes tax fraud case and she says you owners are reading that wrong. There is nothing that says anything in that paperwork that the owners have to pass that onto the drivers. Also Bruno we have always paid for the fuel taxes when doing the 60%. I really don't apprec your attitude on that part. And I wouldn't mind paying the fee on the generator if the truck was running and making money. But when the truck is in the shop all the time the generator is all that works it doesn't get you down the road. 21 days in the shop any normal team would have left then! But we have NEVER in 18 years of being in expediting had to pay a fee for a generator. Just sayin
 

paullud

Veteran Expediter
Offline
It seems you have a business issue not just an APU charge issue. I would say your tax lady is dead wrong, the IRS very clearly states that you cannot just be given everything for the job. You might be able to just barely get by because you chose your loads and pay for fuel but the fleet owner really should lease you the truck to solidify your independent status.

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davekc

Senior Moderator
Staff member
Fleet Owner
Offline
There is a list of components that determine ones status. Some are state specific and some are IRS guidelines. Direct from the IRS as one determining factor, but not inclusive just by itself.
This is likely what Bruno is refering.

" Significant investment: Investment in facilities used by the worker indicates
independent contractor status".

Condensed IRS version http://www.irs.gov/pub/irs-utl/x-26-07.pdf


As Paullad mentioned, leasing the vehicle would also fall in this catagory.

With regards to a truck being down 21 days, happens all the time for a variety of reasons.
Great story from just this week from usafk9
http://www.expeditersonline.com/for...-so-you-want-owner-operator-you-prepared.html
 
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Bruno

Veteran Expediter
Fleet Owner
US Marines
Offline
I have shown that so called IRS info to my audit lady who I might add did the Wesley Snipes tax fraud case and she says you owners are reading that wrong. There is nothing that says anything in that paperwork that the owners have to pass that onto the drivers. Also Bruno we have always paid for the fuel taxes when doing the 60%. I really don't apprec your attitude on that part. And I wouldn't mind paying the fee on the generator if the truck was running and making money. But when the truck is in the shop all the time the generator is all that works it doesn't get you down the road. 21 days in the shop any normal team would have left then! But we have NEVER in 18 years of being in expediting had to pay a fee for a generator. Just sayin

Bernieh48

What attitude? Please go don't go there with me.
 

bernieh48

Veteran Expediter
Offline
You started with the attitude with me Bruno on the fuel taxes! We have always paid them when doing the 60%!
 

Turtle

Administrator
Staff member
Owner/Operator
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I would think 40% would qualify as a significant investment. Charging separate weekly fees for a generator is just as absurd as charging weekly fees for the use of a steering wheel.
 
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