The new company I started with in Feb wants me to use my truck for work. Hauling tools and crew. I go in next week to work out pay for use of truck. I was thinking fuel and so much a mile. What are you guys getting? Pete
I'm not getting anything that I don't build into the job but I do try to add a supervision line item to cover truck costs. Not really what you are asking but my point is, being an owner/operator, I try to bill for my pickup and if you are using yours for the company's benefit you should get paid as well. What I have done in the past with employee vehicles was pay a straight truck allowance per month and then pay for fuel - or a certain amount of fuel per month. What I would do is figure out how much your truck costs you per month - payment, insurance, tags, replacement/wear and tear. Then figure out how much time or miles the truck will be used for work per month vs personal use and use the work % of the monthly cost - be it mileage or allowance (as long as it's about the same number per month for the miles you drive.) You should get your fuel paid for what you use for the company. If you travel farther from home, the fuel allowance should go up.
The minimum should be 55 cents per mile, and work out a mileage price and use that. EZPZ
I am with CM. A flat rate per month, or per week, would be a good bet, plus fuel paid for company business. I do not know Florida rates, but I would say to work out your costs other than fuel, and come up with what covers it. You should not get rich off of it, but neither should it cost you money. It would be nice to get $.55 per mile like the IRS rates, but it may not be a realistic expectation in the work market as it is currently. That rate includes you buying your own fuel, so from a cash flow perspective for you it may work out better for the company to furnish fuel, so you don't have to pay for it up front.
Thanks for the replies Pete
Be prepared to have a worn out truck, so you have got to justify that cost. You need more than enough to make the payment and ins ( if you have a payment) Its a hard thing to put a price on, but some guys have some good advise The way I do things, is I furnish a truck to go back and forth to work, etc. My thinking is, if I have to pay someone to drive their truck, I would be better off to go buy a truck and let this money make the payment, plus its a tax deduction (the payment) I did at one time pay one of my guys $50 a week plus fuel, but that $200+ a Month, I was paying him and getting nothing. I had to buy him tires (he paid me back, after a while, BUT) I went and bought a 2001 Ford F150, for $2500 and paid myself back each week and then I had a paid for truck, for the workers to drive This may not help, but dont use your truck for nothing, make him go buy one, for you to use Good Luck
I agree with Willis. Don't tear up your truck, for the sake of his business. Make sure you factor in repairs, maintenance, insurance...Nothing's free anymore!
Work provides my trucks, so what happens if your truck is in the shop for repairs/warranty? You on the hook to rent something to ferry a crew around in? Or is there standard boiler plate that the company rents an appropriate vehicle? As I would look at it; 55c/mile X number in crew, + fuel card, +any additional insurance costs since you no longer have a personal use vehicle if florida distinguishes between such things. Ideally + %amount of a lease payment if you had to buy something new. My work truck costs them around $500 a month, and that is supposedly saving them money vs when they used to own the vehicles and reitre them at 10-15 years old. And they are still buying tires, brakes and fuel. Alex.