With this interconnectivity, accounting software for trucking companies can gather essential data, improving the accuracy of financial records. PCS supports multiple third-party integration partners irs still working on last year’s tax returns may extend 2021 tax deadline for comprehensive data access. Accounting software for trucking companies aids in adhering to industry-specific regulations, such as tracking miles for the International Fuel Tax Agreement (IFTA).
The Top Trucking Accounting Software
A separate trucking module is available at an additional cost, including tools for owner-operators and carriers. However, without this extra module, QuickBooks lacks the industry-specific functionality of standalone trucking accounting solutions. The right trucking accounting software doesn’t just help trucking businesses manage the books and send invoices to clients. It includes features to help businesses track mileage, manage their fleet and handle other specialized bookkeeping and accounting needs. Trucking accounting software combines back-office bookkeeping functionality with industry-specific features necessary for fleet management.
What is a chart of accounts?
We weren’t getting the guidance and recommendations we needed and the ability to translate that into the services that we needed, particular to our situation. Generally speaking, bookkeeping for trucking companies involves maintaining the general ledger with day-to-day transactions within the business. The process is routine and administrative, which does not require critical thinking. Since little training is required for small businesses to perform this function successfully, many truck drivers complete this alone. Quickbooks Online is easy to set up, simple to learn, and helps immediately streamline all manners of accounting and bookkeeping for the trucking industry. As an accounting system for truckers and trucking companies, TruckingOffice starts with solid invoicing tools.
Step-by-step how to start accounting for trucking companies
Truck driver pay errors happen all the time, especially when you’re trying to balance different pay scales based on mileage and loads. Many drivers forget to include important reimbursement details on their trip reports. Optimize your payroll with trucking accounting software that accounts for mile-by-mile the difference between direct costs and indirect costs expenses, loads, and other driver settlements. Q7 provides a full suite of accounting tools for trucking businesses, including payroll, general ledger, accounts receivable, and accounts payable. Its payroll features are notably comprehensive, handling tax-exempt deductions and employer contributions.
To develop this guide, we carefully examined the features required for the efficient operation of trucking businesses. If necessary and available, we sign up for these platforms and closely study how the features work in real-world scenarios. This best trucking accounting software review gets the full under-the-hood analysis so you know what each piece of software is suitable for. Some of these apps are dedicated to the trucking industry, while others are just good small business accounting software which can be used by truck drivers or companies.
RigBook’s more sophisticated, “Small Fleet” software allows companies to perform invoicing, track loads, prepare IFTA taxes and coordinate multiple trucks. RigBooks is online software, meaning it can be used on a computer, tablet or smartphone. One of the advantages FreshBooks presents is that it can show exactly when a client has viewed your digital invoice. With the mobile app, you can record billable hours on your device or smart phone.
- A fuel card works much the same as any other credit card, however, it is tied to a unique driver number and can provide fuel discounts.
- Overall, there’s no single accounting or trucking management software that can cover all the various needs of truck drivers and fleet managers.
- Regular financial checks are necessary to maintain a company’s financial health.
- Also, it has a low score for ease of use since it’s a very complicated software with many features to learn and master.
To learn more, fill out our contact form to speak with an ATBS Enrollment Specialist, or view our services and pricing. Whether you’re just starting out, an experienced owner-operator, or anywhere in between, we have a service package that’s just right for you. Schedule a consultation with a member of the Trucker CFO Team and ask us any questions you want.We’re here to help to you with the business of trucking. At the end of the month, send in your Magic Envelope, and get all your receipts scanned, verified, and sorted into 15 common tax categories. It’s important to note, that though it is possible to change the accounting method later, it’s troublesome and requires permission from the IRS by filing Form 3115—so choose wisely.
An owner operator, like any other small business owner, will need to document all income and business expenses. Trucking companies need to be very vigilant when it comes to correct record keeping. Running a trucking business comes with potential hazards and it is often better to form a different type of entity.
A limited liability company (LLC) or a corporation are better suited for a transportation business. Shoeboxed is an expense & receipt tracking app that helps you get reimbursed quickly, maximize tax deductions, and reduce the hassle of doing accounting. Get a step-by-step guide on how to set up an accounting system for your trucking business.
While Quickbooks can be used for trucking companies, some trucking-specific features are missing such as cost-per-mile calculations and IFTA reporting. However, some companies use other solutions for those tasks and find Quickbooks meets their accounting needs. Some trucking businesses also opt to hire a professional bookkeeper that makes sure make sure they properly track mileage, income, and expenses. Hiring a professional bookkeeper can be expensive and most accounting systems seek to make a bookkeeper unnecessary for small businesses. For as low as $19 per month, you can track business expenses, fuel mileage, trips, and orders for a single truck. It’s an affordable option for small trucking companies needing to track costs per mile and understand which of their loads are the most profitable.
Along with QuickBooks, transportation management systems (TMS) are a popular alternative for standalone software. TMS helps transportation companies handle all their accounting needs, including invoice reconciliation and other general accounting tasks, in addition to freight billing and auditing. Trucking accounting software is a specialized financial management tool designed to handle the unique accounting and business needs of owner-operators and freight carriers. Here’s a rundown of our top picks based on our internal review process and user reviews.
At its most basic, bookkeeping can be tracked manually with ledger books or spreadsheets. Instead, most owner operators opt for scaled-down software to streamline their bookkeeping. Trucking management software is most often used by companies managing medium to large fleets. Owner operators and small fleet owners may have a hard time justifying the higher cost of a full TMS if they are unlikely to use the extra features.
Keep in mind that the IRS has specific policies surrounding the length of time documents needs to be retained. Many times, the rule will state 3 years, however, there are exceptions which go as high as 7 years or even 10. It’s best to read up on specific types of documentation or reach out to a tax professional trading account english meaning with any further questions. Consider investing in a document scanner for truckers to digitalize all paperwork as it comes in. IRS classifies semi-trucks as qualified nonpersonal use vehicles which means companies need to use actual costs rather than employing the standard mileage method.
Detailed trucking reporting helps avoid compliance issues and simplifies legal and tax responsibilities. It accurately handles complex billing elements, including fuel surcharges, shipping costs, and additional fees. Automated, error-free invoicing ensures timely payments, maintaining steady cash flow and building client trust. It involves taking the data compiled through bookkeeping and transforming it into detailed financial reports.
Quickbooks is a big name in accounting software, and it provides all of the basic tools but because it is a general accounting software, it misses some accounting features specific to trucking. For example, TruckingOffice can be used trucking management and basic accounting functionality but needs Quickbooks for payroll. Trucking management software that targets large trucking companies often creates pricing plans around the company’s needs but these typically range from $99 up to $500+ per month. Enterprise pricing can be based on a set amount per truck or per software user. General accounting software is typically the cheapest, followed by trucking-specific accounting software. Depending on the provider, most companies can find software that costs $5 to $25 per month.
This allows you to customize your billing workflows based on your specific requirements. Moreover, Axon provides several integrated tools, such as accounting and driver settlements. This can be a huge advantage for growing trucking companies as it allows them to scale operations without having to purchase additional software or integrations. Transportation corporations need specialized accounting services for trucking companies to help them navigate the challenges and opportunities of the logistics industry. The mobile app is well designed, intuitive and covers all the basic tools of management software for owner-operator truckers.