So you’ve been driving for a few years now, and that question keeps popping up in your head: Should I become an owner operator?

Maybe you’re tired of dispatchers telling you where to go. Maybe you’ve heard other drivers talking about those big paychecks. Or maybe you’re just curious if all that extra work and risk is actually worth it.

I get it. This is one of the biggest decisions you’ll make in your trucking career, and nobody wants to mess it up. The good news? We’re going to break down the real numbers—not the glossy sales pitch you hear at truck stops, but the actual financial reality of both paths.

The Money Talk: What Everyone Actually Makes

Let’s start with what you really want to know: the paychecks.

Company drivers typically bring home between $55,000 and $85,000 per year, depending on your experience, the routes you run, and how many miles you’re willing to log. The Bureau of Labor Statistics puts the median at around $57,440. Not bad for steady work where someone else handles all the headaches.

Regional guys might see slightly less, while long-haul drivers who stay out for weeks at a time often hit the higher end of that range. Some companies throw in safety bonuses, referral pay, and other perks that can bump things up a bit.

Owner operators operate in a completely different ballpark. On paper, the gross revenue looks impressive—somewhere between $200,000 and $350,000 annually. Yeah, you read that right.

But here’s the catch everyone forgets to mention: that’s gross revenue, not what you take home. After you pay for fuel, insurance, maintenance, permits, taxes, and all the other stuff that comes with running a business, most owner operators net between $70,000 and $150,000. Some industry reports suggest the average ends up around $63,000 after everything’s said and done.

So while the potential is definitely there to earn more as an owner operator, it’s not as simple as comparing those big gross numbers to a company driver’s salary.

The Real Startup Costs Nobody Warns You About

Here’s where things get real. Becoming an owner operator isn’t just about buying a truck and hitting the road. There’s a whole list of expenses you need to tackle before you even haul your first load.

The truck itself is obviously the biggest chunk. A new semi runs anywhere from $80,000 to $150,000. Used trucks might seem like a bargain at $40,000 to $80,000, but they often come with higher maintenance costs down the line. You’re looking at a down payment of 10-20% of the purchase price—so anywhere from $8,000 to $30,000 just to get started.

Don’t forget the trailer. If you’re operating under your own authority (not leasing onto a carrier), you’ll need your own trailer too. New ones run $25,000 to $50,000.

Insurance is no joke either. If you’re leasing onto a carrier, expect to pay $3,000 to $5,000 per year for your portion of coverage. Operating under your own authority? That jumps to $8,000 to $14,000 annually because you’re covering everything yourself—liability, physical damage, cargo insurance, the works.

Then there are the permits and paperwork. You’ll need:

• USDOT and MC numbers: $300
• BOC-3 form: $20-$40
• UCR registration: $69+
• IRP plates: $500-$3,000 per truck
• Heavy vehicle use tax: $100-$600
• State-specific taxes and permits: around $500

Total startup costs? If you’re leasing onto a carrier with just the down payment on a truck, you might get away with $10,000 to $20,000. Operating under your own authority with a truck and trailer? You’re looking at $30,000 to $60,000 or more to get everything squared away.

The Hidden Monthly Expenses That Eat Into Your Profit

Getting started is one thing. Staying profitable month after month? That’s where owner operators earn their stripes.

Fuel is the killer. An 18-wheeler burns through about 20,500 gallons per year—compare that to your car’s 500 gallons. At current diesel prices, you’re easily spending $50,000 to $70,000 annually just keeping the tank full. That’s one of those expenses that sounds abstract until you’re actually writing the checks.

Maintenance and repairs typically account for about 10% of your operating expenses. Plan on $1,000 to $4,000 per year just for tires. Then there’s oil changes, brake work, engine repairs—the list goes on. Even if you’re diligent about preventive maintenance, something will break. That’s just trucking.

Insurance (as we mentioned) is a major fixed cost that hits every year whether you’re hauling freight or sitting at home.

Per diem and lodging add up fast when you’re on the road. Sure, you can deduct $64 per day for meals when you’re away from home overnight (80% of the $80 IRS per diem rate), but you still have to spend that money first.

When you factor in all your expenses, the industry estimates that it costs about $1.82 per mile to operate a truck. So if you drive 100,000 miles in a year, you’re spending $182,000 just to keep that truck rolling.

What Company Drivers Get That Owner Operators Don’t

Money isn’t everything. Let’s talk about what you give up when you leave that steady company job.

Predictable paychecks are huge. Whether freight slows down, your truck breaks down, or the weather shuts you down for three days, company drivers get paid. Owner operators? If the wheels aren’t turning, the money isn’t flowing.

Benefits packages are another big one. Most trucking companies offer health insurance, and many throw in dental and vision too. Some even offer 401(k) matching and paid time off. As an owner operator, all of that comes out of your pocket—and health insurance for a family can easily run $1,000+ per month.

Maintenance is someone else’s problem. When something breaks on a company truck, you pull into the terminal, drop the keys, and someone else deals with it. Your paycheck doesn’t take a $5,000 hit for a new transmission.

Set schedules are more common as a company driver. Many carriers offer regional routes where you’re home on weekends, or even dedicated routes with predictable patterns. As an owner operator, you’re more at the mercy of load availability—especially when you’re starting out.

The Owner Operator Advantages Worth Considering

Okay, so we’ve covered all the downsides of being an owner operator. But there are genuine upsides too, or nobody would do it.

You’re the boss. No dispatcher breathing down your neck. You pick the loads you want (within reason), set your own schedule, and decide when you need a week off. That kind of freedom is hard to put a price tag on.

Higher earning potential is real if you run a tight operation. The key is “if.” Smart owner operators who track their expenses, choose profitable routes, and stay on top of maintenance can absolutely out-earn company drivers. But you’ve got to treat it like the business it is.

Tax deductions can save you serious money. Company drivers can’t write off anything. Owner operators can deduct fuel, maintenance, insurance, depreciation on the truck, per diem, office expenses, phone bills—basically every legitimate business expense. Work with a good accountant and you can keep a lot more of what you earn.

You own the asset. When you buy that truck, it’s yours. Build up equity, sell it when you’re ready to upgrade, or use it as collateral for future growth. Company drivers are building someone else’s empire.

Your truck, your way. Want a bigger sleeper? Better seats? The newest safety features? As an owner operator, you decide how to spec your truck. Company drivers drive what they’re given.

The Tax Situation: What You Need to Track

If you decide to go the owner operator route, get ready to become best friends with receipts and spreadsheets.

Owner operators pay self-employment tax on top of regular income tax. That’s an extra 15.3% covering Social Security and Medicare—both the employer and employee portions. But here’s the good news: you can deduct half of that self-employment tax when you file.

Common deductions include:

• All truck-related expenses (fuel, maintenance, repairs, insurance, depreciation)
• Per diem for meals when you’re away overnight
• Lodging expenses
• Phone and internet if you use them for business
• Office supplies and equipment
• Licensing fees and CDL renewals
• Professional development and training
• Load board subscriptions and trucking software
• Interest on business loans
• Health insurance premiums
• Association dues and memberships

The IRS sets a standard per diem rate (currently $80 per day, but you can only deduct 80% of that), which makes meal deductions easier since you don’t have to save every receipt. But for everything else? Keep those receipts organized.

Many owner operators use apps like QuickBooks, Expensify, or TruckLogics to track expenses digitally. Trust me—scrambling to find receipts in April is nobody’s idea of a good time.

The Lifestyle Differences Nobody Talks About

The financial stuff is important, but let’s talk about how these two paths actually affect your daily life.

Company drivers clock out. When you park that truck at the terminal, your job is done. No paperwork, no invoicing, no wondering if your insurance premium is due next week. You go home and leave the business headaches to someone else.

Owner operators never really clock out. Even when you’re home, you’re thinking about the next load, checking load boards, handling billing issues, scheduling maintenance. Running a business is a 24/7 mindset, and it’s not for everyone.

Family considerations matter too. Company drivers often have more predictable schedules, especially on regional or dedicated routes. Owner operators have more flexibility to be home for important events—but that flexibility comes with the pressure of knowing that time at home means lost revenue.

Time off works differently. Company drivers might get actual vacation days. Owner operators can take off whenever they want—but they’re not getting paid for it, and those truck payments don’t stop just because you took your kid to Disney World.

So Which Path is Right for You?

Here’s the truth: there’s no universal right answer.

You might be better off as a company driver if:

• You value stability and predictable income
• You want benefits like health insurance and paid time off
• You prefer to focus on driving, not running a business
• You don’t have the capital (or credit) for a big startup investment
• You’re newer to trucking and still learning the ropes
• The stress of financial uncertainty keeps you up at night

You might thrive as an owner operator if:

• You have an entrepreneurial mindset and love the challenge
• You’re disciplined about tracking expenses and managing money
• You have solid credit and some capital saved up
• You’re comfortable with financial risk and uncertainty
• You hate being told what to do and want full control
• You’re willing to work harder for the potential of earning more

Making the Decision With Your Eyes Wide Open

Look, I’m not here to sell you on either option. Both paths can lead to a successful trucking career. The key is being honest with yourself about what you really want and what you’re capable of handling.

If you’re seriously considering becoming an owner operator, here’s my advice:

Get your finances in order first. You need good credit, some savings for that down payment, and a financial cushion for the inevitable slow periods and unexpected repairs.

Talk to actual owner operators—not just the ones crushing it, but the ones who are struggling too. Ask them what surprised them, what they wish they’d known, and whether they’d do it again.

Start with leasing onto a carrier. If you’re going to make the jump, leasing onto an established carrier lets you test the waters without drowning in the deep end. You’ll get loads handed to you while you figure out the business side of things.

Track everything from day one. Even as a company driver, start practicing good recordkeeping habits. When tax time rolls around as an owner operator, you’ll be grateful.

Don’t rush it. If you’re not ready yet, that’s okay. Stay with your company job, save money, learn the industry, and make the move when the timing is right for you and your family.

The Bottom Line

Company drivers trade higher earning potential and independence for stability, benefits, and peace of mind. Owner operators trade that stability for freedom, control, and the chance to earn more—if they can manage the business successfully.

At the end of the day, trucking is what you make of it. Some people are perfectly happy spending their entire career as a company driver, collecting a good paycheck and going home to their families without the stress. Others can’t imagine not being their own boss, even with all the extra work and risk.

The good news? You don’t have to figure it all out right now. Drive for a few years as a company driver. Learn the industry, save money, talk to other drivers, and see what feels right. The trucks will still be there when you’re ready to make your decision.

And remember—whatever path you choose, keeping good financial records is going to make your life easier. Whether you’re tracking expenses for taxes as an owner operator or just budgeting your paychecks as a company driver, knowing where your money goes is the first step to making more of it stick around.

Good luck out there, and keep the shiny side up.