Trucking’s #1 Money-Saving Strategy in 2026: Per Diem

Updated: April 22, 2026

Trusted by 300+ trucking companies across the U.S.

Per diem is the single fastest way to reduce your payroll tax bill — without changing what you pay drivers. If you’re not using it, you’re leaving money on the table every single week.

Truck drivers take home more pay with per diem.
Trucking companies save $2,500 per truck per year by lowering payroll taxes and reducing workers’ comp costs.
  • Taxable wages dropped by $500,000, saving $38,250 in payroll taxes
  • Workers’ comp costs fell by 15%, saving another $25,000
  • Total yearly savings: $63,250

Example based on a typical client scenario.

Fixed Daily Rate – A set amount paid per day away from home.
Rate Per Mile – Per diem based on miles driven.
Percentage of Pay – A percentage of total earnings.

Frequently Asked Questions:

What if we’re used to doing things a certain way and don’t want to change?

Sticking with the old way may feel easier, but it’s costing you. Without per diem, you’re likely paying more in payroll taxes than you need to. Choosing not to use per diem is essentially letting the IRS win—and giving up savings you could be keeping in your business.

What is per diem pay in trucking?

Per diem is a non-taxable reimbursement for meals and incidental expenses drivers incur while away from home, reducing their taxable income.

How does per diem save money for my trucking company?

It lowers payroll taxes for both the company and the driver by reducing the taxable portion of driver wages.

Are all drivers eligible for per diem?

No. Only drivers who meet the IRS “away from home overnight” requirement and are classified correctly (usually W-2) are eligible.

How do I convince my drivers that per diem is good for them?

Most drivers will understand that having more money in their pocket is good. But here are 4 simple tips that work.

Hear It From the Expert: Per Diem Episodes from the Driven for Success Podcast

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