The overtime deduction for truck drivers.

Trucking is the deduction's trickiest occupation: the motor-carrier exemption strips FLSA overtime from most long-haul work, while local and intrastate drivers often qualify. Knowing which side you're on is worth real money.

By the Master Plan Bookkeeping tax representation practice

IRS-authorized representation practice

Here's the uncomfortable truth most tax software never surfaced: the FLSA's motor carrier exemption means many interstate CDL drivers aren't legally owed federal overtime — and the 2025 overtime deduction only covers FLSA-required overtime. A long-haul driver paid by the mile with no overtime on the pay stub has nothing to deduct, no matter how many 70-hour weeks they ran.

But the exemption has real boundaries, and drivers on the right side of them qualify. Drivers of vehicles 10,000 lbs or lighter (the "small vehicle" carve-out) are overtime-eligible even in interstate commerce. Purely intrastate drivers fall under state law, and where employers paid time-and-a-half past 40 hours as FLSA-covered, that premium qualifies. Local P&D drivers, dock-to-door routes, and driver/warehouse hybrid roles frequently earn genuine FLSA overtime.

If your W-2 trucking job paid you time-and-a-half past 40 hours, the premium third of those wages is likely deductible — up to $12,500 ($25,000 joint). Owner-operators and 1099 drivers are outside the deduction entirely. The occupational nuance here is exactly why a free professional review beats guessing.

Long-Haul Interstate

Usually exempt (motor carrier act) — no deduction

Small Vehicles ≤10k lbs

Overtime-eligible — premium qualifies

Local / Intrastate Routes

Often eligible — check your pay stubs for OT

Owner-Operators / 1099

Not eligible (no FLSA employer)

The Simple Test

Did your W-2 job pay time-and-a-half past 40 hrs?

Deduction Cap

$12,500 single · $25,000 joint

— Worked Example —

A local delivery driver at $26/hour averaging 8 overtime hours a week for 50 weeks earned $15,600 in time-and-a-half wages. The premium third — $5,200 — deducts, worth about $1,144 at the 22% bracket.

Figures above are screening estimates under the 2025 federal rules (P.L. 119-21), not tax advice. A licensed professional confirms actual amounts from your W-2 and filed return before anything is submitted to the IRS. Learn more at the 2025 Refund Checkup.

— Truck Drivers Questions —

What truck drivers actually ask.

If your carrier lawfully pays no FLSA overtime under the motor carrier exemption, there's no overtime premium to deduct. But check the other three 2025 deductions — the new car loan interest deduction and, for tipped moving/delivery work, the tip deduction both apply to drivers.

Likely yes. Vehicles rated 10,000 lbs or less fall outside the motor carrier exemption, so the FLSA requires time-and-a-half past 40 hours — and that premium is deductible. Your pay stubs will show whether overtime was actually paid.

Mixed-duty weeks are where the exemption analysis gets fact-specific — in many cases even minimal safety-affecting interstate driving in a week can exempt that week. If your employer paid you overtime, the paid premium is the practical starting point for the deduction. Bring pay stubs to the review.

The overtime deduction, no — it requires FLSA employee overtime. But your business vehicle interest was already deductible as a business expense, and the senior deduction applies if you're 65+. It's worth running the full checkup rather than assuming nothing applies.

— Keep Reading —

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Overtime · Logistics

The overtime deduction for truck drivers.

What truck drivers actually ask.

I drive OTR and never see overtime on my stub. Can I claim anything?

I drive a sprinter van for a courier company. Do I qualify?

I split time between the dock and the truck. How does that work?

I'm an owner-operator. Any of the new deductions for me?

Worth checking next.

Overtime Tax Deduction for Warehouse Workers (2025 Rules)

Tip Tax Deduction for Delivery & Gig Drivers

No Tax on Overtime