Payroll processing support for trucking & logistics companies

Payroll processing for trucking & logistics companies is really two systems running side by side. Company drivers are W-2 employees paid per mile, per load, per stop or hourly, with per diem, detention pay and safety bonuses, often across several states. Owner-operators under lease are settled from delivered loads with deductions for fuel advances, insurance, escrow and plates, and receive a 1099.

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How it runs for trucking and logistics companies

LedgerBPO supports both: collecting miles and loads from the TMS and ELD, preparing the driver payroll in Gusto, ADP or Paychex for your approval, preparing settlement statements from the lease terms, posting both by truck and reconciling every liability to the bank. You approve every run and every settlement.

What is payroll processing outsourcing?

Payroll processing outsourcing means a remote team prepares each pay run inside your payroll software: reconciling hours, entering changes, checking deductions and producing the run for the employer to approve. The employer keeps the payroll account, the bank authority and the legal responsibility. The provider posts the payroll journal and reconciles it, so payroll and the books agree.

What we handle for trucking and logistics companies

  • Driver pay calculated from TMS miles, loads and stops, with detention and bonus rules applied
  • Per diem tracked under transportation-industry rules and posted separately from wages
  • Owner-operator settlements prepared from delivered loads with lease-listed deductions
  • Escrow, fuel advances and driver receivables tracked as balances, not expenses
  • Payroll journals posted by truck and reconciled to the provider and the bank

The KPI that matters here

Driver payroll posted and reconciled within two business days of each pay date, and settlements issued within the lease deadline.

Trucking compliance notes

FMCSA and federal filings

Operating authority, USDOT registration, the Unified Carrier Registration fee, IRP apportioned plates and the annual Form 2290 heavy vehicle use tax (due August 31 for most fleets) each carry a cost and a date. We keep those dates on the close calendar, record the fees against the right units and keep insurance certificates and down payments tracked. Filing stays with you or your compliance service.

IFTA fuel tax

Each quarter, miles by jurisdiction from the ELD and gallons by jurisdiction from fuel-card statements are compiled into IFTA workpapers, with the net tax due or refund calculated per state. The ledger fuel account is reconciled to the same gallons so the return and the books agree. You or your permit service submits the return.

Factoring agreements

Recourse and non-recourse factoring agreements set the advance rate, the fee schedule and when chargebacks apply. We record advances as a liability or as AR sold depending on the agreement, show fees as finance cost and reconcile the reserve account monthly so you can see what the factor is holding. We do not negotiate the agreement.

Driver settlements and worker classification

Owner-operators under lease are paid on settlement statements with deductions the lease must list, and receive a 1099 at year end; company drivers are W-2 employees with per diem treated under IRS transportation-industry rules. We prepare settlements and payroll journals from the agreements you provide and flag classification questions for your counsel. We do not decide who is a contractor.

Trucking software we work in

More for trucking and logistics companies

Frequently asked questions

Do you prepare owner-operator settlements?

Yes. Each settlement is prepared from delivered loads at the lease percentage or rate, less the deductions the lease lists: fuel advances, insurance, plates, escrow and any others. The statement is issued to the owner-operator and posted so purchased transportation, deductions and escrow land in the right accounts. You approve and release the payment. At year end the 1099 figures come from the ledger.

How is driver per diem handled?

Per diem paid to company drivers is tracked as a separate line from wages, using the transportation-industry rules your CPA has confirmed for your plan, and only 80 percent of the meal portion is deductible to the company. We post it separately so your preparer can apply the limit and the drivers' pay stubs show it clearly. We do not design the per diem plan.

Can you support multi-state driver payroll?

Yes. Drivers who cross state lines are generally taxed in their state of residence under federal rules for interstate transportation employees, but domicile changes and non-driving staff still need the right state registrations. We track each employee's work state, confirm the provider is configured correctly and reconcile each state's liabilities. Registrations are completed by you or your provider.

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