The Fleet
Every pay model below is priced against the same driver doing the same work. The only thing that changes is how you write the check.
Pay Models to Compare
A. Cents per mile
B. Percentage of linehaul
C. Hourly
Interstate drivers are generally exempt from federal overtime under the Motor Carrier Act exemption, but several states require it and many carriers pay it anyway to compete. Set the multiplier to 1.0 if you pay straight time.
D. Salary with weekly guarantee
Everything Else in the Check
Turnover
Cost Per Driver, Fully Burdened
| Pay model | Driver gross | Burdened cost | Per mile |
|---|
The Raise That Pays For Itself
Full Pay & Retention Analysis Pro
Full Cost Stack by Model
| Component | CPM | Percentage | Hourly | Salary |
|---|
Burden is where pay model comparisons usually go wrong. Payroll tax, workers comp, and the retirement match all scale with gross pay, so a model that looks two thousand dollars cheaper on the check is often closer to twenty-six hundred cheaper in reality.
Turnover Economics
Retention Investment Ladder
| Raise | Added pay cost | Turnover needed | Net at 15pt drop | Verdict |
|---|
The middle column is the breakeven: how far turnover has to fall for the raise to cost nothing. Published carrier data has consistently shown pay increases moving turnover by ten to twenty-five points at the fleet level, which is why raises in the two to five cent range usually pencil and raises above eight cents usually do not.