Per Diem

Term from Truck Driving industry explained for recruiters

Per Diem is a daily allowance paid to truck drivers to cover meals, lodging, and other expenses while they're on the road. It's Latin for "per day" and is a common payment method in the trucking industry. This payment is usually tax-free and is separate from the driver's regular wages. Companies offer Per Diem as a benefit to help drivers manage their daily living expenses during long-haul trips without requiring detailed expense reports. This term often appears in job postings as a key benefit, showing that the company helps cover a driver's travel expenses.

Examples in Resumes

Earned competitive base pay plus Per Diem benefits while completing cross-country routes

Managed expenses efficiently using company Per Diem allowance system

Operated as an OTR driver with generous Per Diem compensation package

Typical job title: "Truck Drivers"

Also try searching for:

OTR Truck Driver CDL Driver Long Haul Driver Regional Driver Company Driver Professional Driver Interstate Driver

Example Interview Questions

Experienced Driver Questions

Q: How do you manage your Per Diem allowance to ensure it covers all your expenses on long trips?

Expected Answer: An experienced driver should explain their budgeting system, mention how they plan meals and lodging costs, and discuss strategies for making their Per Diem last through their entire route.

Q: What's the difference between Per Diem pay and regular wages?

Expected Answer: Should demonstrate understanding that Per Diem is tax-free, specifically for travel expenses, and how it differs from taxable base pay. Should also mention record-keeping practices.

Mid-Level Driver Questions

Q: How do you track your Per Diem eligible days?

Expected Answer: Should explain their system for logging overnight stays, understanding which trips qualify for Per Diem, and basic documentation methods.

Q: What expenses are typically covered by Per Diem?

Expected Answer: Should list common expenses like meals, lodging, and incidental expenses, and explain basic Per Diem rates and guidelines.

Entry-Level Driver Questions

Q: What is Per Diem and why is it important for truck drivers?

Expected Answer: Should explain that it's a daily allowance for food and living expenses while on the road, and understand it's a tax-free benefit.

Q: How often is Per Diem typically paid out?

Expected Answer: Should know that Per Diem is usually included with regular paycheck and can explain the basic payment schedule used by trucking companies.

Experience Level Indicators

Junior (0-1 years)

  • Basic understanding of Per Diem rules
  • Ability to track basic expenses
  • Knowledge of qualifying stays
  • Basic trip planning

Mid (1-3 years)

  • Efficient expense management
  • Understanding of tax implications
  • Route optimization for Per Diem qualification
  • Proper documentation practices

Senior (3+ years)

  • Advanced budgeting strategies
  • Maximizing Per Diem benefits
  • Training other drivers on Per Diem rules
  • Long-term financial planning

Red Flags to Watch For

  • No understanding of basic Per Diem rules
  • Poor record-keeping habits
  • Inability to manage personal expenses
  • Lack of knowledge about tax implications