Posted on January 25, 2019
The Tax Cuts and Jobs Act has resulted in significant changes to tax law not seen since the Reform Act of 1986. With modifications made to multiple tax codes, trucking companies need to be ready to address the changes. The following are some of the most significant alterations trucking businesses need to prepare for:
- Depreciation and equipment deals. Prior to the new tax law, businesses could only take advantage of bonus depreciation for new equipment. Now, lawmakers expanded this coverage to used equipment as well. In addition, trucking companies will be able to write off 100% of the cost of depreciation under the new rules. This write-off will decrease by 20% starting in 2023 before closing out entirely by the close of 2026.
- Updates to per diem rates. The IRS issued increases to special per diem rates effective through September 30, 2019. They increased per diem rates for travel within the continental United States from $63 to $66 and travel outside of the continent from $68 to $71. Another significant change is employee drivers can no longer take the per diem deduction. Considering the driver shortage and retention challenges, this is a benefit trucking companies should consider carefully.
- Changes to tax rates. One of the primary objects of the tax reform was to encourage competition by reducing the corporate tax rate. C corporations now enjoy a tax rate of 21%, a significant decrease from the previous 35%. S corporations saw a 20% deduction for domestic business income that meets certain qualifications.
These tax changes will affect planning and budgeting for trucking companies in 2019 and beyond. Fleets need to develop long-term strategies to address these changes or they run the risk of missing out on potential tax savings. As always, we recommend you speak to your accountant and tax advisor to make sure these changes are applicable to you and your trucking operation. To learn more about risk management strategies and innovative truck insurance solutions, contact Interstate Motor Carriers today.
Posted on December 18, 2018
Truck drivers spend so much time on the road that it can be difficult to find an opportunity to go to the gym. While some gyms are open 24 hours, there is a limited number available and they may not be convenient on any given route. Many truck drivers don’t want to pay for a gym membership when they can’t use it regularly. This results in truck drivers neglecting their health and fitness.
However, truck drivers can perform many exercises without equipment or a gym. Research shows that regular exercise improves truck drivers’ physical health and mental health. To keep their minds and bodies in top condition, truck drivers can perform the following eight exercises almost anywhere and at any time:
- Dips. Dips are great to tone triceps, delts, and pecs. Trucker drivers can use a chair, tire, bumper, step or even perform this exercise directly on the ground.
- Lunges. This foundational bodyweight strength exercise is great for developing leg muscles. The lunge is suitable for beginners and can be used with additional weight to increase intensity. If truckers keep a set of dumbbells in their rig, they can get even more out of their lunge routine.
- Planks. This core exercise also works drivers’ arms, backs, and legs as well. It’s a great exercise to target a lot of muscles on the body. Much like push-ups, so long as drivers have room to extend their legs and brace their hands shoulder width apart, they can perform this exercise.
- Push-ups. Individuals can scale this exercise to meet their fitness level. So long as there is room for drivers to extend their legs back and space their hands shoulder width apart, they can perform the standard form of this exercise. Drivers just getting started on their physical fitness journey can perform push-ups from their knees or by leaning against a wall. Drivers can pass the time waiting on a load by doing a few sets of push-ups.
- Sit-ups/crunches. Drivers can perform these exercises straight from their sleeper. This makes it an ideal exercise to start the day. Waking up ten minutes earlier than usual to knock out a few sets of sit-ups can improve drivers’ abdominal strength and overall health. Drivers can even incorporate abdominal squeezes while they’re stopped at red lights or for the duration of certain songs on the radio.
- Squats. The squat is a lower body strengthening exercise that truckers can perform almost anywhere. It’s a highly functional exercise movement working major muscles of the hips and legs. To execute a superman, simultaneously raise your arms, legs, and chest off of the floor, then hold this contraction for 2 seconds. Drivers should remember to exhale during this movement.
- Superman. It may take truckers a while before they feel like superman, but they will definitely get in better shape if they add the superman exercise to their workout. The superman is a bodyweight movement that targets the posterior core and lower back muscles.
- Walking. Don’t underestimate the benefit of walking. Many truck stops include walking trails for this exact reason. However, in lieu of walking trails, truck drivers should try to increase the number of steps they take in any given day by parking in the farthest spot from their destination, and using stairs instead of elevators whenever possible.
Keeping truck drivers healthy has long-reaching effects. Healthy truck drivers are less prone to illness, which allows fleets to operate at optimum levels. Contact the experts at Interstate Motor Carriers to learn how we can help your trucking company.
Posted on June 28, 2018
School is out for the summer! The long winter has finally ended and kids & teens across the country are free from school days. For the trucking industry summer means the opposite of freedom, for this is the busy season. There are many variables to be concerned with whilst driving in the summer, especially as a trucker. Below we have listed some of the most important tips and precautions to prepare for this season:
- Be Properly Equipped – Summer driving means heat, sun glare, and longer days. Be sure to pack a hat, sun glasses, extra water, and plenty of snacks. Did we mention you should pack water? Hydration is key to staying focused and healthy during the summer months!
- Be Aware of the Extra Drivers – With summer in full swing, teenagers and college drivers will be on the roads more than any other season. In addition to students, families will be hitting the road for vacation making road congestion a big concern. Make sure you are aware of your surroundings by always checking your mirrors and properly signaling before changing lanes.
- Construction is Being Done – Be wary of road work! The summer is when most construction is typically going to be done, especially on roads. Be conscious of all signs as you drive, and respond accordingly. Slow down and be prepared to stop when driving through construction zones.
Of course, these are only a few conditions that drivers must be aware of while driving in the summer. We urge you to stay safe, healthy and cautious this summer (and every season)!
Posted on July 10, 2017
Summer heat can be more than uncomfortable—it can be a threat to your health, especially for older adults and children. Whatever your age, don’t let the summer heat get the best of you.
Heat exhaustion occurs when a person cannot sweat enough to cool the body, usually the result of not drinking enough fluids during hot weather. It generally develops when a person is playing, working, or exercising outside in extreme heat. Symptoms include:
- Dizziness, weakness, nausea, headache and vomiting
- Blurry vision
- Body temperature rising to 101°F
- Sweaty skin
- Feeling hot and thirsty
- Difficulty speaking
A person suffering from heat exhaustion must move to a cool place and drink plenty of water.
Heat stroke is the result of untreated heat exhaustion. Symptoms include:
- Unawareness of heat and thirst
- Body temperature rising rapidly to above 101°F
- Confusion or delirium
- Loss of consciousness or seizure
Heat stroke is a serious medical emergency that must be treated quickly by a trained professional. Until help arrives, cool the person down by placing ice on the neck, armpits and groin. If the person is awake and able to swallow, give him or her fluids.
Tips for Staying Cool
Below are some tips for staying safe in the heat:
- Drink plenty of water—In hot weather, drink enough to quench your thirst. The average adult needs eight 8-ounce glasses of water a day—more during heat spells.
- Dress for the weather—When outside, wear lightweight clothing made of natural fabrics and a well-ventilated hat.
- Stay inside if possible—Do errands and outside chores early or late in the day.
- Eat light—Replace heavy or hot meals with lighter, refreshing foods.
- Think cool! Take a cool shower or apply a cold compress to your pulse points. Or, try spending time indoors at an air-conditioned mall or movie theater.
Posted on June 13, 2017
Fleet fraud is costly. A staged accident or injury claim by an employee can mean expensive payouts and increased insurance premiums, so it is essential that your business take steps to prevent and detect employee fraud. Anti-fraud measures and internal controls can and should be designed and customized for each individual organization based on its unique characteristics. In addition, stay alert for these red flags:
- Driver with a history of prior accidents of similar circumstances
- Driver with multiple past claims with the same attorney
- Driver that demonstrates familiarity with claims process and claim evaluation
- An overly enthusiastic witness present at the accident scene
Fleet management programs that include a fleet safety policy are most successful at preventing fraud when they cover the following areas:
- Management commitment: Clearly define management’s role and commitment to preventing and detecting fraudulent claims. Most perpetrators of fraud engage in illegal conduct only when they perceive that they will not be caught.
- Written policies and procedures: All permitted and prohibited driver behavior, along with proper procedures to follow in the event of an accident, should be clearly listed in a written policy.
- Driver agreements: Documenting a driver’s commitment to conform to all policies and procedures can help deter aberrant behavior. If an organization increases in its employees’ minds the perception that the illegal acts will be detected, it deters occupational fraud.
- Motor vehicle record checks: Conducting a motor vehicle record check in addition to a standard background check can expose any suspicious driving or claims patterns before hire or before permitting an employee to use a company vehicle.
- Crash reporting and investigation: Conduct thorough investigations of each claim. Provide forms for employees to complete in the event of an accident.
- Vehicle selection, maintenance and inspection: Conduct regular inspections to demonstrate ’s commitment to preventing accidents and fleet fraud.
- Disciplinary action system: Make the serious repercussions of fraud clear, including legal action and termination. Adopting concealed internal controls may assist in detecting fraud, but it generally does not prevent it because employees are unaware of their presence and potential detective ability.
- Reward and incentive program: Reward employees for good driving habits and lack of accidents and claims. For any business operating vehicles under a fleet motor insurance policy, it is important to demonstrate to an insurer that adequate fleet procedures are in place to minimize costly risks—including occupational fraud.
For more information about controlling insurance costs, contact the professionals at Interstate Motor Carriers today.
Posted on March 23, 2017
Driver retention is a constant struggle for many transportation companies throughout the country. The industry continues to learn more about why retaining drivers is a problem and how to fix it. For a business owner, it is important to try to understand how driver retention impacts your business and to move forward making a valiant effort to retain your drivers!
In-cab satellite TV provider EpicVue recently conducted one-on-one informal conversations with 138 drivers at truck stops across North America as to why pay is the most important compensation for truck drivers. Lance Platt, EpicVue’s CEO, noted that “perks” ranging from health care benefits to vacation time and larger sleeper cabs are becoming more important, especially to younger drivers.
Gemini Motor Transport is a fleet that began rewarding drivers for driving safely. Credits are awarded to Gemini’s drivers on an annual basis; to earn one credit the driver must have no accidents, tickets or fuel-related incidents over the period of one year. They must also pass all U.S. Department of Transportation and Gemini inspections. Once drivers accumulate five credits, they are eligible for a bonus which can range from $25,000 to $35,000. Since this program began, turnover rates significantly dropped and is extremely low for the industry.
Bonuses and rewards can be highly effective, but there are other ways to improve your driver retention!
- Establish a driver council made up of new and veteran drivers who give insights to fleet managers of the view from the driver’s seat
- Speak to all drivers regularly to set expectations and troubleshoot issues
- Perform management ride-alongs
- Create a consistent driver on-boarding experience
- Hold monthly driver meetings
- Implement driver recognition programs
These tips help communication within the fleet, show that you as an employer care about your employees, and generate respect and loyalty throughout the company. When employees feel proud of the company they work for, the company is doing something (a lot of something) right. The higher the opinion your driver has of your company, the more likely it is that they will continue driving for you! The key to retaining drivers is to set goals, have conversation, and obtain mutual respect.
Posted on March 10, 2017
Being a truck driver can pave the way for an unhealthy life style. It may seem like sleeping less or stopping at fast food restaurants is an efficient lifestyle for someone who essentially live on the road, but this is not the case.
Getting adequate sleep is the first step in becoming a healthier trucker, being a fatigued driver puts you and others on the road in danger. Getting 7-8 hours of sleep a night is imperative for a healthy lifestyle, but sleeping well is not enough to remain healthy. The next tip to becoming healthier on the road is to stretch and exercise daily. As a driver you are sitting and focusing on the road for more than half of your waking hours, try to stretch at every stop to prevent your muscles from becoming stiff and achy. It may seem impossible to exercise daily when you’re on the job, but exercising doesn’t have to mean lifting weights for two hours. Try walking 30-45 minutes once a day at rest stops, maybe try walking for 10 minutes at four different stops!
As you are beginning to create a healthier body on the outside it is important remember that cliché saying’ “you are what you eat”. Staying alert and focused is a huge part of a truck driver’s job and by fueling your body with healthy food you are help your body to do so! Try packing a cooler with fruits and vegetables, if this isn’t an option try shopping smart at gas stations by buying nuts or head to the fridge and look for some fruits and vegetables there! Fueling your body so that it works the best that it can means drinking more water and less caffeine, try to not drink caffeine an hour or two before bed time to ensure the first step of a good night’s sleep.
Although these are all essential ways to stay physically healthy on the road it is extremely important to stay mentally healthy as well. Listen to your favorite music while you drive, chat with family and friends as you’re walking at those rest stops, and put some time aside to do something for yourself (read, relax, play a game). Taking care of yourself is especially important on the road because the alternative could mean you are putting people’s lives in danger. Start one step at a time so you can be the healthiest person, driver, and self that you possibly can.
Posted on February 22, 2016
Interstate Motor Carriers and Sentry Insurance invite you to a complimentary, educational web seminar to learn how the new ELD Final Rule will impact your transportation business. Subject matter expert speaker Daniel Grant, Director of Safety Services at Sentry Insurance, will provide an overview of the ELD mandate, including compliance requirements and implementation timelines. Mr. Grant will also detail how the final rule integrates driver harassment/coercion guidelines. Featured topics:
* Impact of ELD Mandate & Adoption Timelines
* Device Specifications & Hardware Requirements
* Roadside Inspections & Supporting Documentation
* Exceptions to New Final Rule
* Implementation Challenges
* Driver Harassment Rule
Date & Time: Thu, Mar 10, 2016 1:00 PM – 1:45 PM EST
Registration URL: https://attendee.gotowebinar.com/register/2927157611217343745
Click here to learn more about Interstate Motor Carriers & Sentry Insurance.
Posted on July 27, 2015
The Customs-Trade Partnership Against Terrorism (C-TPAT) is a certification in which commercial transportation companies can voluntarily participate. The program is managed by the U.S. Customs and Border Protection Agency. The purpose of the program is to ensure security measures are met in order to prevent terrorism in the U.S.
Criteria for C-TPAT Highway Carrier Security include business partner requirements, conveyance security, less-than truck load requirements, physical access controls, personnel security, procedural security, physical security, security training and threat awareness and information & technology security.
When the program launched in November 2001 seven private companies enrolled to improve the security of their supply chains. Today, over 10,854 members participate; 4,315 importers in the program account for 54% of the value of all merchandise brought into the U.S.
Motor carrier participants engage in a workshop designed to train drivers to recognize trucks and trailers that have been compromised for the purpose of smuggling terrorists, terrorist weapons and contraband.
The inspection workshop covers:
- 17-point truck and trailer inspection process
- Inspection documentation
- Affixing seals
The regulations specify policies and procedures that relate to the locations at which the security inspections should be conducted. These locations include:
- Container storage depot
- Service provider
- Third party warehouse
- Distribution centers
- Customer locations
Conveyance inspection procedures are clearly set out. Use of a checklist, systematic inspections and specific visual inspection criteria are all clearly detailed. The 17-point truck and trailer inspections are the focal point of the criteria. These include:
- Tires (truck & trailer)
- Floor (inside truck)
- Fuel tanks
- Cab/storage compartments
- Air tanks
- Drive shafts
- Fifth wheel
- Outside/inside doors
- Floor (inside trailer)
- Side Walls
- Front Walls
- Refrigeration unit
Companies who achieve C-TPAT certification must have a documented process for determining and eliminating risk throughout their international supply chain. Companies that meet this criteria are considered “low risk”, which means they have to go through fewer inspections which saves time.
For more information about the C-TPAT certification and criteria, please visit the Customs Border Protection Agency’s C-TPAT Highway Carrier Security Criteria.
Highway Carriers Who Are Importing or Exporting Cargo To or From Canada Subject to eManifest Requirements
Posted on July 12, 2015
The Canada Border Services Agency (CBSA) has developed an improved risk management system for facilitating the import and export of freight across the American-Canadian border. The system, called the Advance Commercial Information (ACI) program, is equipping border officers with pre-arrival information that will facilitate health, safety and security threats before they get to the border. The eManifest program is an integral element of ACI.
There are certain measures that are now required of freight carriers who plan to cross the border. Here are useful resources for understanding and complying with the new regulations.
- You must have a valid business number for your import-export account prior to importing goods into or exporting out of Canada. Follow this Step-By-Step Guide to Importing commercial goods into Canada or this Step-By-Step Guide to Exporting in conjunction with the checklist for exporting and be prepared ahead of time. You can apply online at cra-arc.gc.ca or you can call the Canada Revenue Agency at 1-800-959-5525.
- Exporters also need to be aware of Customs Tariff and export documentation regulations.
- eManifest is a new initiative that will modernize and improve cross-border commercial processes tremendously. All carriers, freight forwards and importers in all modes of transportation (air, marine, highway and rail) are required to electronically transmit advance commercial information to the Canada Border Services Agency (CBSA.)
- Freight carriers must choose a transmission method. There are 3 options: Electronic Data Interchange (EDI) method, A tested service provider, or the eManifest Portal.
- All freight carriers, regardless of how often they cross the Canadian border, are required to have a carrier code in order to transact business with the CBSA. Visit the CBSA’s commercial carrier section for more information.
- Consult the Electronic Commerce Client Requirements Document for technical assistance.
- Review the tools, resources and client support information provided on the eManifest pages of the CBSA website.
- Stay up-to-date on new information related to eManifest by visiting the eManifest section of the CBSA website.