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Why Small Fleets Trust the Trucking Payroll People for Owner-Operator Pay

Running a small to mid-sized trucking company comes with enough challenges—payroll shouldn’t be one of them. Yet, for many fleet owners, paying owner-operators correctly is a constant source of stress. Late payments lead to frustrated drivers. Misclassifications can mean hefty IRS fines. And escrow fund disputes can quickly turn into legal headaches.

At Superior Trucking Payroll Service, we help fleets manage payroll accurately and efficiently. With years of experience handling owner-operator settlements, we ensure drivers get paid correctly and on time—while keeping your business compliant.

In this article, we’ll cover:

  • How owner-operators are typically paid
  • The biggest challenges trucking companies face
  • How to simplify payroll and escrow management
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How Do Owner-Operators Get Paid?

Unlike company drivers, owner-operators are independent contractors, meaning they own and maintain their own equipment.

They are typically paid:

  • Per load – Payment is based on each job completed.
  • As a percentage of the load revenue – Usually between 70% and 90%, depending on the contract.

Since owner-operators run their own business, they are responsible for fuel, insurance, maintenance, and other costs. Some trucking companies offer to deduct certain expenses from pay as a courtesy, but it is not required.

This setup makes clear, detailed paystubs essential—so drivers understand exactly what they’re being paid for.

One of the biggest payroll challenges is understanding how to fairly and legally compensate owner-operators, let’s break it down.

The 3 Biggest Owner-Operator Payroll Mistakes Trucking Companies Make

Mistakes in owner-operator payroll aren’t just minor errors—they can cost trucking companies thousands in fines, lost drivers, and legal trouble. Here are the three most common payroll pitfalls you must avoid:

Independent Contractor Classification

Trucking companies must be careful not to misclassify employees (W2) as independent contractors (1099).

  • Classifying company drivers as 1099 contractors, when they should be W2, can lead to IRS fines, back taxes, and lawsuits.
  • A payroll service that understands trucking regulations can ensure proper classification and prevent costly mistakes.

Complex Settlements & Deductions

Owner-operator pay must account for:

  • Trucking company fees (if the truck is leased through the carrier)
  • Escrow deposits or payments
  • Fuel advances (if the company offers this as a service)
  • Insurance deductions (if applicable)

Each pay period needs clear records so that drivers can see exactly what they earned and what was deducted.

Payment Delays Frustrate Owner-Operators

Owner-operators depend on fast, predictable pay to manage their businesses. If a trucking company makes late or incorrect payments, drivers might:

  • Leave for another carrier
  • Refuse to haul loads until they are paid
  • File a dispute or legal claim

A smooth payroll process keeps good and reliable drivers satisfied, which reduces turnover.

Escrow Accounts in Trucking: Why They Matter & How to Manage Them

In the trucking industry, an escrow account is a secure fund held by the carrier to cover specific expenses or obligations related to an owner-operator’s contract. A portion of the owner-operator’s earnings may be set aside each pay period and held in escrow until needed or eligible for release.

What Are Escrow Accounts Used for in Trucking?

  • Equipment Security Deposits:

    If an owner-operator leases a truck or trailer from the carrier, an escrow deposit may be required as a damage security fund.

  • Insurance Deductibles:

    Some trucking companies use escrow accounts to ensure that insurance claims and deductibles can be covered without delay.

  • Maintenance Reserves:

    In some cases, escrow funds may be used to set aside money for future truck repairs, though many owner-operators handle maintenance on their own.

  • Contractual Obligations:

    Funds may be held in escrow to cover fees, penalties, or other financial responsibilities outlined in the owner-operator’s lease agreement.

  • Final Settlement Payouts:

    If an owner-operator leaves the company, escrow funds may be used to settle outstanding balances, with any remaining funds refunded to the driver.

Many trucking companies use escrow accounts—but few manage them correctly. Without a clear system, drivers get frustrated, funds get misused, and compliance issues arise. So, what exactly are these accounts used for?

How We Make Owner-Operator Payroll Simple & Error-Free

Fast & Reliable Payments

We ensure owner-operators are paid on time, every time.

  • Direct deposit options eliminate delays.
  • Regular, accurate pay keeps drivers satisfied.

Easy-to-Read Pay Stubs with Load Details

We provide clear, user-friendly paystubs that help owner-operators understand their earnings.

  • Simple format makes it easy to see pay details at a glance.
  • Optional load breakdown – We can add load details at the bottom of the paystub so drivers know exactly which loads they’re being paid for.

This added transparency helps reduce confusion and prevent disputes.

Owner-Operator Escrow: How to Keep It Clear & Compliant

Managing escrow funds properly is essential for keeping finances organized and avoiding disputes with owner-operators.

Proper Record-Keeping & Compliance

We track escrow deposits, withdrawals, and balances so trucking companies always know:

  • How much escrow money is being held
  • Why the funds are there
  • When and how refunds should be processed

Keeping Escrow Funds Separate from Daily Operating Funds

We help trucking companies deposit escrow funds into a separate bank account instead of mixing them with daily operating cash.

Why this matters: Keeping escrow funds separate prevents financial confusion and ensures money is available when needed.

Fast & Transparent Escrow Refunds

If an owner-operator leaves, we make sure escrow refunds are processed quickly and fairly.

  • No more delayed payouts or legal disputes.
  • Clear records make everything simple and stress-free.

While escrow accounts serve an important purpose, keeping them organized and compliant can be a challenge—this is where we step in to help.

Fix Payroll & Escrow for Good: The Owner-Operator Solution

Managing owner-operator payroll and escrow is complicated, but it doesn’t have to be.

If you’re struggling with payroll mistakes, late payments, or escrow disputes, you’re not alone—many small fleets face these same issues.

With Superior Trucking Payroll Service, you get accurate, on-time payments and fully compliant escrow management—so you can focus on growing your business.

👉 Your next step: Learn more about how we help our clients

Article: Payroll Management: What We Do for Our Clients
This image features Melisa with long, light-colored hair smiling at the camera. She is wearing a bright blue top and is set against a solid dark blue background, giving the portrait a professional yet warm appearance.

Written by Melisa Bush

With over 15 years of experience in the trucking industry, Melisa is well-versed in the complexities of trucking payroll and adept at navigating special circumstances. Before joining Superior Trucking Payroll Service, Melisa worked at a trucking company, where she managed driver miles and expenses for a fleet of 50 trucks. This hands-on experience gives her unique insight into the challenges our clients face when preparing their payroll data.

Melisa’s top priority is customer service. She strives to treat each client as an individual with genuine needs, rather than just another number in the system. Her goal is to alleviate the burdens of our clients and make their daily operations smoother.