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Wednesday, October 9, 2019

Hotshot Trucking: Everything You Need to Know

Hotshot trucking driver hauling a load with one his pickup truck.
Though it’s been around for a while, it seems like hotshot trucking is now more popular than ever.

Truck drivers who want to start their own trucking company often look to hotshot trucking as a cheaper option.

Hotshot hauling supports a specific niche in the trucking community, and there are various things you can and cannot do when you start a hotshot business.

What is hot shot trucking and what are the hotshot trucking requirements?

Find the answers to these questions and more in this hotshot trucking guide.

Hotshot Business

What is Hot Shot Trucking?

Hotshot hauling involves using medium-duty or one-ton trucks to pull trailers containing time-sensitive loads.

The “term hotshot” originated from the Texas oil fields, where pickups used to deliver quickly-needed parts to off-road drilling and pumping stations.

Hotshot trucking has survived from them to now, and is actually regaining momentum with the increase in truckers’ desire to be their own boss without the high startup costs.

Plus, certain hotshot driver requirements make it a bit easier to get started quickly.

Pros and Cons of Hotshot Trucking

Besides avoiding the trucking business startup costs of buying or leasing expensive equipment, many hotshot loads are local and close-by, which means plenty of time at home.

Smaller loads that most freight trucks don’t want to haul are perfect for hotshot hauling.

Circling back to equipment expenses, purchasing a dually or 1-ton new truck is, on average a $40,000 investment, much cheaper than a rig.

Also, that vehicle won’t burn through fuel the same way that a larger semi-truck or rig will.

Hot Shot Trucking Requirements

Another major perk of hotshot trucking is that hotshot drivers are not necessarily required to have a CDL license.

A CDL is meant for vehicles weighing 10,000 pounds or more, depending on the state.

However, depending on what loads you’ll be transporting, you may want to get a CDL if you’re crossing state lines.

You’ll also need a USDOT number and possibly an MC number.

Speak to the Department of Transportation to find out specifically which documents you’ll need.

So, are you ready to start your own hotshot business? Hopefully, this information helped!

If hotshot hauling isn’t for you, but you’re interested in owner operator trucking or fleet management, check out some of our other blogs for resources, or print the one-page guide below to help you get started!




Simply click on the image above to 
view the printable PDF guide!


If you’re already in business and you’re looking for a trucking business management solution, check out TruckLogics, trucking management software with features for dispatch management, maintenance planning, business report generation, expense management, and more.

Use the free 15-day trial to check it out today!








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Wednesday, October 2, 2019

Do You Need to File Form 941 Online for Your Trucking Business?

Trucking businesses with employees may have to file Form 941 for 2019.
If you own a small trucking business, it can be tough to know which taxes you’re required to file.

IRS tax Form 941 is a quarterly tax, and the 3rd quarter 941 deadline is October 31, 2019.

Check out this article for information on the 941 federal tax form to determine whether or not you need to file before the October 31st 941 deadline.

IRS Tax Form 941

What is the Form 941 Tax Return?

IRS Tax Form 941 is the employer’s quarterly tax return.

It is used to report employment taxes. All employers are responsible for withholding federal income tax, Social Security tax, and Medicare tax from each employee’s salary.

The IRS Tax Form 941 is also used to calculate the employer’s portion of Social Security and Medicare tax. 

Do You Need to File 941 Form 2019 for Your Trucking Business?

The first question to ask yourself is, “Do I have employees?”

If you own and operate a business with employees, you’ll need to file Form 941 online.

Note: Independent contractors are not considered employees.

If you have independent contractors, you are not responsible for withholding taxes, you are simply responsible for paying the gross wage agreed upon in the contract.

Therefore, if you only have independent contractors working for you, you do not need to file 941 Form 2019.

The 941 deadline for 941 Form 2019 is approaching. Trucking business owners may need to file Form 941 for 2019 to remain compliant.The second question is, “Is my trucking business an S-corporation?”

S-corporations, or S-corps, are taxed on a pass-through basis, like sole proprietorships or partnerships.

Due to this, the S-corp does not pay tax on its profits. Instead, those profits pass on to shareholders who are taxed on it as part of their personal income.

Even though an S-corp may have no employees in the traditional sense (people working for the business without ownership stake), for tax purposes, any shareholder who performs duties on behalf of the business may be treated as a shareholder-employee.

Therefore, the money each shareholder receives in dividends may be treated as income, meaning you’ll need to file Form 941 online.

How to File Form 941 Online

If, after these two questions, you’ve determined that you need to file Form 941 for 2019, check out TaxBandits.

In just a few minutes, you could be done filing your Form 941 tax return. Don’t wait until the 941 deadline - knock it out now!

Here’s how it works:

1.  Create a free TaxBandits account
2.  Choose Form 941 for 2019
3.  Enter your employer details
4.  Follow the interview-style process
5.  Pay & transmit your Form 941 tax return

Still unsure if you need to file a 941 federal tax form?

Give the TaxBandits support team a call at 704-684-4751 and speak with a live, US-based agent who can help you determine whether you need to file a Form 941 for 2019. 









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