Per Diem
Daily allowance for meals and incidental expenses while away from home.
Definition
Per diem in trucking is a daily allowance for meal expenses while a driver is away from their tax home. The IRS per diem rate for transportation workers is $69/day (2026). Some carriers pay per diem as a separate non-taxable payment (reducing your gross pay but lowering taxes), while others include it in your CPM rate. Per diem reduces taxable income but also reduces Social Security contributions.
Why it matters to you
Per diem changes what shows up on your W-2, not just what lands in your bank account. Taking it raises weekly take-home but lowers reported earnings, which can affect a mortgage application, workers' comp and Social Security credit. Some carriers charge an administrative fee for running it. It suits some drivers and costs others; get the numbers on your own situation before you opt in.
FAQ
What does Per Diem mean?
Daily allowance for meals and incidental expenses while away from home.
Why does Per Diem matter to a driver?
Per diem changes what shows up on your W-2, not just what lands in your bank account. Taking it raises weekly take-home but lowers reported earnings, which can affect a mortgage application, workers' comp and Social Security credit. Some carriers charge an administrative fee for running it. It suits some drivers and costs others; get the numbers on your own situation before you opt in.
Ready to Start Your Trucking Career?
Browse open CDL positions and apply today.