Congratulations – You’re growing! Hiring contractors means paying trucking contractors.
If you’re not a payroll expert, it may be tough to know just where to start. That’s okay!
Here’s everything you need to know about finding the perfect self-service payroll solution for paying your trucking contractors.
Paying Contractors
EES Payroll
EES stands for “employee self-service”, with EE being a two-letter abbreviation for “employee”.
EES refers to technology that allows employees with an EES payroll login to handle many administrative needs on their own.
For instance, EES payroll services allow employees to have full access over payroll, letting small businesses manage payroll from afar, without a single sheet of paper!
Make life easier for both you and your employees by outsourcing certain time-consuming aspects of business, like payroll tax service, to your employees. Plus, you’ll save tons of money!
With an EES payroll login, your employees will have 24/7 access to pay stubs and other payroll information that they might need for taxes, loans, and more.
In addition, EES payroll systems are secure, so sensitive information will stay safe on the payroll tax service platform.
EES Portal
An EES portal is the interactive portion of an EES system.
An EES portal allows your employees to access payroll features from their own devices.
Each employee will have their own payroll login information to an individual account. The self-service portal for employees is a huge time saver for you, allowing employees to do more payroll and HR tasks on their own.
For instance, they can view and print payroll information, access payroll history, and more.
Small business payroll is often overlooked by other, more pressing business needs. Make sure that your employees are paid on time and correctly with the help of an online payroll tax service.
Plus, stay tax compliant by keeping an accurate record of employee information.
Payroll Services
Now, all that’s left is to find a self-service payroll system that does it all!
PayWow is your small business payroll solution, created to help you grow.
With PayWow, it’s easy to pay contractors and manage 1099 filings. In fact, you can pay your contractors with just a few clicks, and generate and file 1099’s automatically.
The best part is that it’s completely paperless! Keep track of everything you need without shuffling through the file cabinets.
You can even track your contractors through the PayWow dashboard, letting them record their work hours. Utilize this feature to integrate time & attendance data when paying contractors!
Get started with PayWow’s features today and streamline your payroll services.
Kentucky truckers! It’s now more important than ever to make sure you have filed Form 2290 for 2020-21!
According to a recent press release, the Governor of Kentucky has put almost $400,000 towards Heavy Vehicle Use Tax (HVUT) compliance.
What’s the plan for enforcement?
This move is aimed to make sure every commercial motor vehicle owner is paying their fair share of road maintenance taxes. Some of the $400,000 in funds will go towards making it easier for authorities to verify truckers HVUT statuses, while the rest will go towards new equipment and training to make enforcement possible.
Apparently, authorities plan to employ enforcement blitzes at weigh stations and along bypass routes to check for HVUT compliance.
What do I need to do?
If you have already filed your Form 2290 for 2020-21, make sure you have a paper copy of your stamped Schedule 1 in the cab of your truck. That way you can prove that you have paid your taxes. And it’s probably not a bad idea to have Schedule 1s from the past several years as well.
If you have filed with ExpressTruckTax before, you can always access your old Form 2290s and print or download a copy of your stamped Schedule 1s.
If you have not filed your Form 2290, do that right now! Do not wait. The quickest and easiest way to file your Form 2290 and get your stamped Schedule 1 back , is to e-file with ExpressTruckTax!
E-filing is the method recommended by the IRS because it allows them to process and approve your Form 2290 in the shortest amount of time. Most of our clients get their stamped Schedule 1 back in minutes. Then you can just print your Schedule 1 and stash in the cab of your truck.
Plus, with our ExpressGuarantee, we guarantee that your 2290 will be accepted by the IRS and you will get your stamped Schedule 1 back. And if your 2290 is rejected, you can retransmit as many times as you need for it to be accepted for free.
If you started using a vehicle in October 2020, you need to file your Form 2290 before November 30, 2020!
If you do not file before November 30, you will face penalties and interest from the IRS. You will immediately be hit with a penalty with equal to 4.5% of your owed tax amount.
How to Determine your First Use Month (FUM)
Your Form 2290 First Used Month is the first month that you start using your truck during a particular tax year. Your HVUT is always due at the end of the month following your FUM.
So if you started using a truck in October 2020, your Form 2290 return will be due at the end of November. The Form 2290 tax year runs from July 1 – June 30 of each year.
All you have to do is enter your business information and answer some questions about your truck. You’ll need your FUM, your weight category, and a way to make your IRS payment.
The whole process takes less than 5 minutes and you’ll get your stamped Schedule 1 back in a matter of minutes.
It’s no secret that truckers are the backbone of the American economy. Without them — and the freight they haul — our entire way of life would disappear.
It has been a difficult year in many ways, but we are so thankful for the hard work and dedication of truckers.
Despite all they do, truckers are rarely given the respect and gratitude they deserve. Plus, many truckers find themselves on the road and separated from their families on Thanksgiving.
This Thanksgiving, consider thanking a trucker for what they do in one of the following ways.
Showing your appreciation
Consider signing up for the “Meals for 18 Wheels” program on Facebook. Through this volunteer program, you will be connected to drivers who are away from home and in need of a meal.
Just having a warm, homemade meal can make all the difference during the holidays.
“Meals for 18 Wheels” serves truckers during the rest of the year too. So if you are too busy during the holiday season, consider volunteering some other time.
Thank a trucker
Maybe you could take an extra step and deliver care packages at your local truck stop. Even small gifts can make a world of difference for someone spending Thanksgiving away from home.
Happy Thanksgiving from Express Truck Tax
Lastly, just thank a trucker. Shake their hand and give them a smile. Let them know that we appreciate all that they do.
From everyone here at Express Truck Tax, Happy Thanksgiving, Truckers.
AMX (Alabama Motor Express) has kindly shared facts about how to share the road with semis in order to make the roads a safer place with ExpressTruckTax. Be sure to pass this important safety information along to all your four-wheeling friends!
We’ve all been on a highway waiting on a semi to pass in the left lane thinking, “Why is this taking so long??”
But, there are ways to make things better and safer for all parties involved.
We can start by understanding a few things about semi trucks.
According to a blog by Nationwide, due to their size:
– Trucks have a bigger blind spot
– Trucks need more space to maneuver
– Trucks require more time and distance to stop
– It takes more time to pass trucks
NEVER ride alongside semi trucks. First, they have a large blind spot on their sides. Second, semis are notorious for blowing tires. At worst, a blown tire can knock you off the road. At the very least, the sound (as loud as a gunshot) can scare you, maybe even enough to make you lose control of your vehicle. Third, semis have a lot of surface area. Getting blown around by the wind is a real risk that can result in drifting into your lane.
Always pass them on the left side. If they’re in the left lane, it’s for a reason. Either they’re passing a slower car, an emergency vehicle is on the right side or there is road work requiring left lane travel.
When passing them, try and give them a decent amount of space before you get back in the right lane. A good rule of thumb is to wait until you can see the pavement in front of the bumper. They need to leave a wide berth in order to have enough time to brake if something were to happen. And, you do NOT want to be in front of an eighteen wheeler when he/she doesn’t have enough space to brake.
If you see a truck’s turn signal, do your best to get out of the way by either speeding up or slowing down to let him/her pass. Of course, we are all trying to get off the road as fast as possible, but being on the road is their livelihood. And, usually, if you are polite to them, they’ll be polite to you.
Truck drivers spend a ton of time on the road with four-wheelers. And, accidents between a car and a tractor trailer can be fatal. According to statistics from Women In Trucking, 79% of all accidents involving semi-trucks are caused by car drivers.
Avoiding an accident with an eighteen wheeler is always a good idea. Let’s share the road in a way that gets us all there safely.
If you need any assistance contact the dedicated ExpressTruckTax team Monday – Friday from 8 AM to 7 PM EST at 704.234.6005. We also offer live chat and 24/7 email support at support@expresstrucktax.com.
Beginning in the 1990s, the government mandated that some fuel be dyed red or blue in order to be easily identified as non-taxable.
This dyed fuel is something that commercial motor vehicle operators should never use. If you are caught using dyed fuel, you could be fined thousands of dollars.
Here’s what you need to know about dyed diesel fuel.
What is fuel dyed?
Clear fuel already has excise taxes applied to it at the pump. The IRS does not want anyone to dodge these taxes by using non-taxed fuel.
Red fuel is intended solely for fueling off-road vehicles like tractors, construction equipment, and generators. Red fuel can be purchased by the public, but it is not taxable. It should not be used in commercial motor vehicles.
Blue fuel is used only by government vehicles and cannot be purchased by the general public.
What happens if you are caught using dyed fuel?
In most states, if you are caught with any evidence of using dyed fuel, you will be fined $10 per gallon or $1,000 per tank. Then, for each repeat violation, that fine goes up by another $1,000.
And if you refuse to allow an inspection, you will be fined $1,000. So, in short, be extra sure you aren’t using dyed diesel. Pay attention to labels at the pump, and make sure you are purchasing from a trustworthy source.
What if you find dyed fuel in your tank?
You should drain the fuel as soon as possible. If you purchased the fuel and paid taxes on it, you should contact the establishment where you purchased it (and probably let the IRS know).
Need to generate an IFTA report or File Form 2290?
If you need to complete either of these trucking taxes, look no further than ExpressIFTA and ExpressTruckTax!
Their simplified solutions make it easy to generate IFTA reports and file Form 2290 in minutes!
At ExpressTruckTax, we’re dedicated to making every aspect of truckers’ lives easier, including taxes, safety, and even employee payroll for trucking businesses.
If you’re not a payroll expert, employee payroll might seem like a daunting task.
In reality, online payroll processing is simple with the help of payroll solutions for small businesses.
In this article, we’ll cover everything you need to enact a payroll processing system in your trucking business.
Employee Payroll Solutions for Small Business
Employee Payroll Services
Unfortunately, there aren’t enough hours in a day for you to run every aspect of your trucking business by yourself.
However, hiring someone to manage payroll, time-off, and other common HR functions can be costly.
Luckily, employee payroll services offer an online solution to cut costs and time.
Here’s how it works.
Online Payroll Processing System
Essentially, managing employee payroll online outsources the timely tasks of payroll.
In fact, it outsources those tasks directly to your employees!
By allowing employees to view pay stubs, request time off, and access tax information, an online payroll processing system ditches file cabinets for an immediate online database.
This employee payroll system is hugely efficient and helps with time management, recordkeeping, and employee satisfaction.
Plus, if you find an online payroll processing system designed for small businesses, you may be able to cut costs even further and get some more great features catered to your success.
Staying on Top of Employee Payroll
Speaking of payroll solutions for small business, have you heard of PayWow?
PayWow is an online payroll processing system, designed specifically for small businesses. Plus, it’s our sister product, so you know it’s perfect for the trucking industry.
Essentially, PayWow allows you to manage payroll for employees and contractors from afar. Pay your workers on time, stay tax compliant, and track employees’ time clocks easily.
Your employees will have 24/7 access to employee payroll information from the myPayWow mobile app.
Time and time again truckers filing their 2290 online tend to ask the same questions and make the same mistakes when it comes to their heavy vehicle use taxes. So let’s go over the most common questions, so they are fresh in your mind when you e-file your 2290.
1. Is my vehicle subject to the HVUT/Form 2290?
You are subject to HVUT/Form 2290 if you are registering a vehicle in your name as an owner-operator or self-employed driver, it weighs more than 55,000 pounds, and you are using it on public roads. The Heavy Vehicle Use Tax applies to both interstate and intrastate drivers.
2. If I am based in Canada or Mexico, does the HVUT apply?
Yes, if you drive your vehicle in the United States. You will need to file a 2290 Form and pay any owed taxes. You will also need to carry proof of tax compliance when entering the U.S. as well.
3. When is the Form 2290 deadline?
IRS Form 2290 returns are due on the last day of the month following your vehicle’s first month of use during the reporting period. That means if your vehicle was on the road last July the deadline for filing is August 31.
If a new vehicle goes into service during the reporting period, you will need to file an additional Form 2290 and pay the tax amount. For example, if you purchased a vehicle in November, you are required to put the vehicle in your name making its first month of use December. In this case, you will need to file an additional Form 2290, and pay owed taxes on or before December 31. This is a partial year filing and will be a reduced tax amount.
4. Can I suspend my Heavy Vehicle Use Tax?
You can apply for a suspension of the Heavy Vehicle Use Tax if you expect to drive your vehicle less than 5,000 miles during the year (7,500 miles for agricultural vehicles).
However, you are still required to file IRS Form 2290 even though you do not have a tax payment. If you do end up driving more than expected, you must file an amendment to your original 2290 and pay taxes.
5. Am I required to file my 2290 Form online?
Only if you have 25 or more qualified vehicles. If you do, the IRS does not require you to file 2290 online. However, the IRS highly encourages all taxpayers to file and pay online with an IRS-authorized e-file provider, like ExpressTruckTax.
6. How can I claim a credit?
Now is the time for you to claim any credits you earned last year. Credits can be claimed using a couple of different methods.
If you ended up driving your vehicle less than 5,000 miles (or 7,500 for agricultural vehicles) you can claim a credit. Or if your vehicle was stolen or destroyed last year, you can also claim a credit. For more information, check out this page.
7. Can I claim a refund on my IRS Form 2290?
Yes, if your credit exceeds your taxes owed on your filing, you will need to file a refund. This can be done by filing IRS Form 8849, Claim for Refund Excise Taxes.
8. What do I need to register my vehicle?
Proof of your HVUT payment is required before you register your vehicles. You will not be registered unless you can provide your stamped Schedule 1.
9. How do I pay 2990 online?
When you file 2290 online with ExpressTruckTax, you can pay via the Electronic Federal Tax Payment System (EFTPS), or by check/money order.
10. Where can I find more information about IRS Form 2290?
You can check out our blog page for more information concerning pre-filing and the upcoming 2290 season. Check out our FAQ page which answers more questions you might have about Form 2290. Or you can find more information via the IRS publication “Instructions for Form 2290.”
We Got Your Back
We understand that we are coming up on a very stressful time for the trucking industry, but we will be there every step of the way. We will continue to supply you with up-to-date information about the IRS Form 2290 deadline.
ExpressTruckTax is a trusted IRS-authorized e-file provider with a simplified step-by-step filing process. We also offer 24/7 support in both English and Spanish to answer any of your questions.
It is reported that less than 20 percent of stolen cargo is ever recovered, making cargo theft one of the most expensive incidents that drivers face on the road. On average, it costs anywhere from $15 to $30 billion.
Crime and theft specialist, Scott Cornell notes that in recent years cargo thieves are becoming more likely to target mixed retail loads or less-than-truckload shipments because they are perceived as being less secure than larger truckloads.
Improving load security is easy if you understand how thieves choose their targets and the methods behind their madness. There are several cargo theft tactics including straight cargo theft and cyber-attack methods.
Types of Cargo Theft
Thieves are constantly updating their methods and, in the computer age, they have been forced to become smarter. Drivers need to be aware of every method that could be used against them.
Straight Cargo Theft
Straight cargo theft can happen anywhere cargo is left unattended. Truck stops, parking lots, and roadside parking areas are the most targeted. A great way to combat this tactic is investing in high-security rear door locks.
Strategic Cargo Theft
Strategic cargo theft is constantly evolving. This is typically defined as theft involving unconventional methods. Identity theft, fictitious pickups, forged documents, fraudulent carriers and brokering scams all fall in line with strategic cargo theft. Always do your research on your contacts and make sure everything matches up. Always confirm positive identification at pickups and drop-offs.
Other Effective Ways To Combat Cargo Theft
When it comes to protecting your fleet, it is best to develop a layered approach. With a layered approach, there are step-by-step methods and ‘in case’ tactics put into place if security technology happens to fail. Regular procedure training should be done to ensure that everyone understands the latest tactics theives are employing.
Aware Drivers
Become aware of theft ‘hot spots’ on your route. By studying your route beforehand you can pick safe areas to stop along the way.
Not sure how to properly report taxes for your independent trucking contractors?
Don’t worry, you don’t need an expensive accountant and this solution won’t waste hours of your time. Visit our sister product TaxBandits to e-file and pay any owed taxes on time with their quick, easy, and secure step-by-step filing process. They provide filers with built-in error checks, bulk upload data, experienced US-based customer support, and so much more.
Form 1099-NEC is used to report payments for services performed for a trucking business by people not treated as its employees, like subcontractors or independent contractors. The purpose of this form is to report miscellaneous income.
Employers must file Form 1099-NEC for non-employee compensation equaling $600 or more during the tax period. Your independent contractors will use this information to complete their income tax returns. Also, you are required to issue copies of Form 1099-NEC to your independent contractors by January 31.
Information Required To Complete Form 1099-NEC
Luckily it’s easy to complete IRS Form 1099-NEC as long as you have your business records on hand. As a business, you’re considered the payer, and you will need to provide your business name, EIN (Employer Identification Code), and address.
Your independent contractor is your recipient, and you will need their name, EIN or social security number, and address. If you don’t have this information already, you can request their information through a W-9. The W-9 process takes roughly 60 seconds using TaxBandits and only requires the driver’s valid email address.
Then you will need federal details such as the number of miscellaneous incomes you provided to the recipient with the amount of federal tax withheld. You will also provide state details such as the state income, payer state number, and state tax withheld.
Filing Form 1099-NEC With TaxBandits
You can complete Form 1099-NEC in a matter of minutes with TaxBandits. All you have to do is create your free account and follow the interview style e-filing process. Helpful tips along the way to explain what information is required to complete your form and where it needs to be entered.
Plus, they offer exclusive e-filing features to make the entire process super convenient. For example, you can save time by using the bulk-upload feature to import all of your independent contractor information at once.
Also, forget about heading to the post office! Simply use the postal mailing feature to have TaxBandits print and mail hard copies of Form 1099-NEC to each of your recipients.
If you need any assistance while e-filing 1099-NEC, the US-based TaxBandits support team is standing by to help.
