Drivers can take home more and pay less in taxes with Ascend’s new Per Diem Pay!
Posted: October 28, 2021
At Ascend, we listen to our drivers. So, when they asked for a bigger paycheck, we found a way to make it happen! Effective October 31, 2021, our regional solo company drivers will now be able to choose how they manage their Per Diem reimbursement.
By opting in, drivers can shift a portion of their CPM pay into a pre-tax IRS per diem WITHOUT ANY FEES –so you can take home more and pay less in taxes. This could mean up to $4,000 average annual additional income!
“We are obsessed with our drivers and providing a great place to work,” Chief People Officer Nick Wakefield said. “This is another way we can thank and reward our CDL drivers for their hard work and dedication.”
We’ve answered a few frequently asked questions about the new program:
What is Per Diem?
Per Diem is a pre-tax reimbursement of up to $69 per day provided to CDL drivers by the IRS for over the road expenses. Ascend is managing the reimbursement under our full accountable plan, with the drivers’ logbooks serving as justification for the reimbursement.
Is there a fee for participating in the new program?
We are providing you this with no fees. The industry average is 2 CPM in fees, but we chose not to add any fees to benefit our drivers.
Why are we making a change to Per Diem?
After asking our drivers for feedback, many requested better pay or larger paychecks. We found that through shifting a portion of the CPM pay into an IRS per diem, our drivers can not only take home a bigger paycheck, but also lower their taxes.
How does this impact driver pay at Ascend?
It increases drivers’ take home pay by setting the maximum pretax monies aside, without having to itemize. However, it lowers W2 wages for loans and Social Security. There are pros and cons to Per Diem based upon an individual’s tax situation. Each driver should consult a tax professional regarding their unique personal situation.
This new per diem options is for our regional solo company drivers that are away from home for more than 100 miles and out 4+ nights a week consistently. These drivers can opt out of the per diem program before Oct. 28, 2021 and can change how they manage their per diem pay during open enrollment each year.
On top of top pay and a culture that makes drivers feel valued, Ascend offers CDL-A truck drivers scheduled home time, flexible routes and the best equipment. We’re obsessed with your success, are you? Apply today!