If you’re thinking of starting your own tow truck business, it’s important to understand how much income you can realistically expect to make. In this article, we’ll take a look at how tow truck drivers are paid and factors that affect income potential. We’ll also discuss average earnings and how you can maximize your profits.
How Tow Truck Drivers Get Paid
When planning your earnings, you need to decide how you want to be paid – by the job or hourly. Most tow truck drivers are paid by the job, meaning they receive a set fee for each call they complete. This fee is typically determined by the distance of the tow and the type of vehicle being towed. For example, a standard car may cost $75 to tow, while a larger vehicle like a tractor-trailer could cost $125.
Hourly pay is less common, but that doesn’t mean that you can’t charge an hourly rate. If you choose this method, you’ll need to keep track of the hours you worked for each call and make sure your customer is aware of the rate before they agree to use your services.
For tow truck drivers that charge a flat fee, the average rate is $109 per call. For drivers that work hourly, the average rate is $59 per hour.
Factors That Affect Income
The average earnings that a tow driver typically makes are $42,789 per year. Starting salary is $29,000 per year. However, there are many factors that can affect how much you actually take home each year. Here are some of the most common factors:
Location: Drivers in larger cities or areas with heavy traffic tend to make more money than those in smaller towns or rural areas. This is because there are simply more opportunities for work.
Experience and Education: More experienced or certified tow truck drivers usually earn more than those just starting out. If you have a CDL or other specialized training, you may be able to charge a higher rate.
Reviews: Your online reviews can affect how much business you get and, as a result, how much money you make. Make sure to take the time to build up positive reviews on sites like Google and Yelp.
Type of Tow Truck: Some tow trucks are better suited for certain tasks than others. If you have a flatbed truck, for example, you’ll be able to tow vehicles of all sizes. But if you only have a standard tow truck, you may be limited to smaller vehicles.
How To Maximize Your Profits
Now that you know the factors that affect how much money you can make as a tow truck driver, let’s take a look at how you can maximize your profits.
Start by understanding the average rates in your area and pricing your services accordingly. If you’re new to the business, you may need to charge a lower rate to compete with more established companies. But as you build up your reputation, you can start to increase your rates.
Next, focus on building up positive reviews. As we mentioned before, potential customers will often check online reviews before choosing a tow truck company. If you have good reviews, you’re more likely to get repeat business and referrals.
Finally, make sure you’re using the right tow truck for the job. If you have a flatbed truck, you’ll be able to tow just about anything. But if you only have a standard tow truck, you may want to focus on smaller vehicles.
So how much can you really make as a tow truck driver? It depends on a number of factors, including location, experience, the type of tow truck you’re using, and more. However, the average tow truck driver earns $109 per call or $59 per hour. With some effort, you can easily exceed these averages and make a good living as a tow truck driver.