Is it better to be an owner-operator or company driver?

Question

Zippia Team · Accepted Answer

It is better to be an owner-operator than a company driver because the earning potential is much greater for an owner-operator driver than a company driver.

Owner-operated usually means that an independent business person leases or purchases a truck and then contracts to haul loads for a trucking company. Owner-operators generally earn higher percent-of-load or per-mile rates than company drivers. However, they also must pay all the expenses of operating a truck and business.

Owner-operators are free to operate as they choose and aren't subject to forced dispatch. However, they must contract for enough loads, at high enough rates, to both cover expenses and make a living. They assume all the risks and responsibilities of business ownership. With hard work and discipline, you may earn more money as an owner-operator vs. company driver - but at some risk.

Overall, typical company drivers can expect to make between $35,000 to $70,000 per year. While an owner-operator typically earns 70% of the cost of the load or around $78,000 to $156,000 a year.