Running payroll in the trucking industry isn’t as simple as plugging in a few numbers and hitting the print button. When you are dealing with driver pay methods, cash advances, deductions, and tax reporting, it can feel like you are taking a master class in tight rope walking. Here’s what it looks like to run payroll in Q7 trucking software (from start to finish).

1. Set Up Your Employees and Drivers

When you first crack open a new copy of Q7, you will need to add your people into the system. If you are able to provide an Excel spreadsheet containing the data you need, we can import it for you. Q7 users get a huge variety of driver pay methods and routines. This is key to enjoying automation throughout the order entry, dispatch, and payroll processes. Setting all of this up may seem like an enormous task, but Q7 makes this crucial set up step streamlined.

DRIVER PAY PROFILE CONFIGURATION EXAMPLES:

• % Freight –Typically used for line haul pay, this pay method auto-calculates driver pay based on a percentage of the line haul amount that was billed to the customer.
• % Total Revenue – Use this to pay drivers a percentage of the total amount billed to the customer.
• Rate per loaded mile, empty mile, or total miles – Used for line haul pay. Each pay profile can have multiple per mile pay method routines.
• Flat – Pay your driver a flat rate per load.
• Tariff or rate chart based – Auto-calculate driver pay based on a set of lanes. Multi-tier lane support is also possible. For example, you can pay your drivers a rate per ton where the rate depends on the tonnage and on the specific lane.
• Accessorial pay – Auto apply accessory pay like detention, extra stop, or TONU when it occurs organically on the load.
• Hourly – Provide your driver with a pay settlement where pay is computed by the hour.
• Specialized or custom – Since Frontline Q7 specializes in truly tailored software, we look for a solution if none of the dozens of possibilities meet your needs.

Most office staff and salespeople have simple pay profiles, usually with just one or two pay methods.

The best part? All of this can be done within a few minutes with Q7’s import and copy tools. Going forward, a profile only needs to be addressed if someone has a change in pay.

2. Set Up Payroll Related Deductions, Reimbursements, and Taxes

In order to compute payroll successfully and provide a complete pay settlement, this is a necessary step in a new system. Also, keep in mind that Q7 comes set up out of the box with commonly used wages, reimbursements, and deductions. That means that all you need to do is refine it. Make sure to establish recurring deductions like health insurance and 401(k) as part of the payroll setup. When you are running payroll in trucking software, you want all the tools at your disposal. Q7 supports it all.

PAY ADJUSTMENT EXAMPLES:

• Annual and spring tax updates – Stay up to date with the latest payroll tax tables.
• Pre-tax deductions – Common examples of this are health insurance and 401(k).
• Non-taxable reimbursements – Pay your people reimbursements for phone, per diem, etc.
• Automated cash advance deductions – If drivers take advances on the fuel card, automate the deduction.
• Irregular payroll items – Queue up items that are not used every pay period and grab them when they are needed.
• Scheduled payroll items – Use this feature if you need to issue something on a regular frequency that stops after a period of time or a certain dollar amount has been reached.

Your Frontline trainer will help guide you through what you need and what you don’t need. We don’t want you to have to conform to Q7 – let Q7 conform to your payroll model. In addition, a general ledger account is assigned to all of the payroll related codes that you set up. As a result, you can have great variety for pay settlements and reporting, but keep your Income Statement and Balance Sheet narrowed down to the important stuff.

Now that you have everything in place, you’re ready to go.

3. Authorize Driver Pay

Q7 has a variety of dispatch workflow options to support trucking businesses of all shapes and sizes. In order to automate driver pay and provide thorough profitability reports, you will see driver pay automatically calculated on a per load basis using the instructions from the pay profile. The “authorized” flag lets the load pay be fed into the Settlement processing center.

Create payroll and settlements using one or more of the flexible routines in Q7.

DRIVER PAY AUTHORIZATION EXAMPLES:

• Authorize pay live – This routine is popular with Q7 users who are taking advantage of live dispatch capabilities. The dispatcher(s) can authorize pay at any time during the lifetime of the load. As an alternative, a billing or payroll user authorizes the pay while preparing the billing.
• Authorize pay after-the-fact – High volume contract carriers sometimes prefer to use Q7’s after-the-fact dispatch routines. If you create multiple copies of a load, calculate and authorize the pay for the driver at the same time!
• Authorize pay in batch – Whether you are live dispatching or using after-the-fact features, the Batch Pay tool is a great way to calculate and/or authorize pay for a batch of loads.

Not sure which features are right for you? Frontline’s support team will have you teach them your internal processes, and they will find the right fit for you.

Q7 streamlines pay periods and pay settlements by implementing a focus on date controls. For example, you can get ahead of schedule by authorizing driver pay for a load that occurred today. However, if you apply a specific cut-off date, it will not be prematurely included on a settlement. As a result, even a delayed pay structure or waiting for paperwork to be returned until you pay a driver works in Q7.

BONUS:

Q7 handles all types of dispatch scenarios and ensures that driver pay is allocated accordingly. For example, a load is dropped & hooked and you need to split the pay 70/30. Q7 handles this automatically using your preferred allocation property.

4. How to Run Payroll in Q7 Trucking Software

Use the Settlement center to prepare pay settlements and office staff payroll. You only need to run the process once — Q7 builds driver settlements right into the paycheck or direct deposit. It pulls in the pay profile and any other details from the system, as long as they’re dated within the pay period.

• Authorized load pay.
• Fuel card related deductions (i.e., cash advances).
• Regular reimbursements and deductions.
• One time reimbursements, deductions, or pay.
• Payroll taxes.

Utilize the audit report to view everything even more closely. After Q7 builds the pay settlements, you can quickly audit the details, all in one view. You have full control before final approval, which makes overriding or adjusting a simple task.

Once you give final approval, the system creates the pay settlements and paychecks. You can customize the settlements, email them to drivers, and move on to the final step.

5. Post Payroll and Create the Direct Deposit File

Post the paychecks and generate the ACH file to upload directly to your bank. You will pay drivers and staff faster without mailing checks or switching systems.

Paycheck stubs can be emailed to all employees.

6. Run Payroll Reports

Finding true payroll reports in trucking software can be like finding a needle in a haystack. Q7 comes fully stacked with every payroll report that is necessary for running a business and staying compliant. Monthly summaries, quarterly filing reports, tax liabilities, employer costs, W-2s, and more. In addition, payroll details are included on key trucking specific reports (i.e., profitability). Everything is in one place and tied back to your actual payroll runs.

From set up to deposits to reports, Q7 lets you run your payroll from inside your trucking software. No exporting, importing, or flipping between tools. It’s fast, accurate, and tailored for the way trucking companies really operate. If you’re just starting out in payroll or would like to see how Q7’s payroll tools can work for you, reach out to us today.