Is It a Better Time to Be an Owner-Operator or a Company Truck Driver?

By: ClassADrivers.com

pile of twenty dollar bills

When drivers first start out in trucking, we have always recommended they drive for a company. There are too many unknowns when beginning a new career. Then after a few years of experience, the person should decide if they want to own their own truck and go into business for themselves.

But what about this moment in time? What about now?  Is the current climate better for owner-operators or for company drivers?

A new report from the American Transportation Research Institute sheds interesting light on the question. The study shows that the cost of running a truck had gone up by 6% in 2017, with the average cost being $1.69 per mile.

At Class A Drivers, we’ve extensively covered the rising wages and increased benefits for drivers. And yes, those are a factor when accounting for the increased costs of running a truck.

But what about all the other expenses? Everything from fuel to permits to repairs to insurance went up. Tolls went up as well, and if the Republican infrastructure plan ever passes, then tolls will go up even more.

With all these increased costs, the report from ATRI suggests that it is getting more and more expensive to operate your own vehicle. It is true that owner-operators make a higher average truck driver salary than company drivers. On the other hand, owner-operators also take on all the responsibilities and costs of their trucks.  And of course, they have to find their own loads too.

Meanwhile, company drivers get to reap the benefits of these so-called “rising costs” because one of those costs is their own salary… and it’s coming from the trucking company.

Being a company driver is hard work though. And a truck driver that works for a company depends on the miles, routes, and loads that a company can provide.

One benefit for owner-operators is the march of technology. New websites and even phone apps are simplifying the process of finding loads and organizing the business of owning a truck.

So what do you think? How is the business climate for owner-operators and company truck drivers? What do you think of the future for both of these careers?

Let us know in our forums.