One of the most common questions drivers ask before leasing with Landstar is: “How much does Landstar pay?” This page gives you the complete answer, every percentage rate by trailer type, what deductions to expect, what the fuel surcharge looks like, and real weekly earnings examples so you can decide if Landstar is the right fit for your business.
The short answer: Landstar pays BCOs 65% to 75% of freight revenue, depending on trailer type, plus 100% of all fuel surcharges billed on every load. Settlements are paid weekly. For full details, read on, or call 877-441-9128 to talk numbers with a recruiter at Secrest Direct.
PAY AT A GLANCE
Linehaul Percentage: 65% (Landstar trailer) to 75% (own heavy haul/reefer trailer)
Fuel Surcharge: 100% returned to the driver on every load
Settlement: Paid Weekly
Tarp Fees: $75-$350
LCAPP Savings: $6,000-$7,000/year
Landstar Pay Percentage by Trailer Type
Landstar’s pay percentage depends on whether you are pulling a Landstar-owned trailer or your own. Drivers who own their own trailers always earn a higher percentage because they provide the equipment. Here is the full breakdown:
| Trailer Type | % of Linehaul | Note |
|---|---|---|
| Landstar-Owned Trailers | ||
| Company Van Trailer | 65% | No weekly trailer rental fee |
| Company Flatbed / Stepdeck | 73% | Weekly rental fee: $170 (flatbed), $185 (stepdeck) |
| Company Stretch / Double Drop | 74% | Weekly rental fee: $385 (extendible), $285 (double drop). Note: waiting list often applies. |
| Driver-Owned Trailers (higher percentage) | ||
| Own Van Trailer | 72% | No rental fee - your trailer, your profit |
| Own Flatbed or Stepdeck | 73% | No rental fee |
| Own Refrigerated (reefer) Trailer | 75% | Highest van percentage available |
| Own Specialized Trailer | 74% | Includes double drop, tri-axle, insulated van with heater |
| Own Heavy Haul Trailer (4+ axles) | 75% | Highest percentage available - tied with reefer |
| Expedited Straight Truck (no trailer) | 62% | For expedited cargo van or straight truck drivers only |
Note: all percentages are calculated on linehaul revenue only. Fuel surcharges are paid at 100% on top of your linehaul percentage; they are never deducted from your percentage.
Fuel Surcharge – 100% Returned to the Driver
Landstar returns 100% of all fuel surcharges billed on your loads directly to you. This is one of the most significant financial advantages Landstar has over most carriers, which typically keep a portion of the fuel surcharge.
Here is what the fuel surcharge looks like in practice:
- Fuel surcharge rates typically range between $0.42 and $0.50 per mile, but this varies based on current diesel prices and load type.
- Landstar gives BCOs the option to have 100% of surcharges billed before pickup, meaning the surcharge is locked in before you ever roll a wheel.
- Fuel surcharges are separate from your linehaul percentage. On a 1,000-mile load at $0.45/mile surcharge, that is an extra $450 at 100% going directly into your settlement.
Tarp Fees
Flatbed and step deck drivers who tarp their loads receive 100% of the tarp fee charged to the load. Tarp fees typically range from $75 to $350, depending on the size and type of cargo being covered. This is additional income on top of your linehaul percentage and fuel surcharge, and it adds up quickly for flatbed drivers running tarped loads regularly.
Weekly Earnings Examples
These examples show what a typical week’s gross settlement could look like at different activity levels, using real Landstar pay percentages. These are gross figures before your operating expenses (fuel, maintenance, insurance, etc.)
| Scenario | Linehaul Revenue | Fuel Surcharge (100%) | Pay % | Est. Gross Settlement |
|---|---|---|---|---|
| Own van - moderate week (2,000) | $2,400 | $900 | 72% | $2,628 |
| Own flatbed - moderate week (1,800 miles) | $2,700 | $810 | 73% | $2,781V |
| Own heavy haul - moderate week (1,500 miles) | $3,500 | $675 | 75% | $3,300 |
| Company van trailer - moderate week (2,000 miles) | $2,400 | $900 | 65% | $2,460 |
| Own flatbed + tarp fees (1,800 miles) | $2,700 | $810 + $200 tarps | 73% | $3,181 est. |
These are illustrative estimates only. Your actual settlement depends on the loads you choose, the rate per mile, the miles driven, and your deductions. For a personalized earnings estimate based on your specific situation, call 877-441-9128 and speak with a recruiter at Secrest Direct.
Understanding Your Weekly Deductions
Landstar deducts certain costs from your weekly settlement. These are standard startup and operational expenses that most carriers also charge, but Landstar breaks them out transparently, so you know exactly what you’re paying. Here is the full list:
| Deduction | Amount | Details |
|---|---|---|
| Escrow | $62.50/week for 16 weeks | Total: $1000.00. Held as a security deposit, typically refundable when you leave Landstar in good standing. |
| Plates (Illinois base) | $94.44/week for 18 weeks | Total: $1,700. Annual base plate cost. Does not start until week 5. |
| Permits | $11.11/week for 18 weeks | Total: $200 yearly. Does not start until week 5. |
| Seal & Locks - Vans | $25/week for 5 weeks | Total: $125. War-Lock or Enforcer lock kit (trailer, kingpin, air cuffs). Required for van drivers. |
| Platform Air Cuff Lock | $35-$45 one-time | Enforcer: $35. War-Lock: $45. Required for flatbed/platform drivers. |
| Communications (LCN) | $3.69/week | Landstar Communication Network. A cell phone is the minimum requirement. |
| ELD (Electronic Logging) | Varies - weekly deduction | Omnitracs ELD required for all new hires. Cost varies by truck year. Deducted weekly from settlements. |
| PrePass | ~$7.00/month | Driver responsibility. Optional but widely used. |
| Fuel & Tolls | Driver responsibility | Not deducted by Landstar, paid directly by driver. LCAPP fuel discounts available. |
The biggest deduction to be aware of is the $1,000 escrow, deducted at $62.50/week over 16 weeks. This is standard practice in the trucking industry and is typically returned when you leave Landstar. Plates and permits are also substantial but are one-time annual costs spread over 18 weeks, and they don’t start until week 5, giving you time to get established first.
LCAPP Program – Reduce Your Operating Costs
Your take-home pay is not just about what Landstar pays you; it’s also about what you keep after expenses. The Landstar LCAPP program (Contractors’ Advantage Purchasing Program) gives BCOs discounts that cut operating costs, including:
- Average savings: $6,000-$7,000 per year per owner-operator
- Discounts on fuel – one of your biggest weekly expenses
- Discounts on tires, parts, and maintenance
- New and used truck pricing through factory-direct programs
- Trailer pricing discounts
- In 2019 alone, Landstar BCOs saved more than $15.7 million in fuel purchases through LCAPP
When you factor in LCAPP savings, the effective value of your settlement goes up compared to what you’d earn at a carrier without a similar purchasing program. Learn more about LCAPP.
When and How You Get Paid
Landstar pays weekly settlements. Here is exactly how this works:
- Settlements are paid weekly. If your bills are submitted at least 2 days before the end of the pay week, you will be paid for those loads that week.
- Direct deposit is available. For questions about direct deposits, payments, or deductions, contact Landstar’s settlement department.
- Load board webinar training is available to help you understand how to read your settlement. If you missed a webinar, call 1-800-435-4010 to schedule another.
- For load board access and settlement setup, call 1-800-872-9400 and ask for the load board department.
| Factor | Landstar BCO | Typical Company Driver |
|---|---|---|
| Pay Structure | 65-75% of freight revenue + 100% fuel surcharge. | Fixed cents-per-mile rate (typically $0.55-$0.75/mile) |
| Fuel Surcharge | 100% to the driver on every load | Carrier keeps all or most of it |
| Load Selection | You choose every load - 100% non-forced dispatch | The dispatcher assigns loads; you have no choice. |
| Operating Expenses | Driver's responsibility (fuel, maintenance, insurance) | Carrier covers fuel and maintenance |
| Earning Potential | Higher ceiling - you keep a large percentage of each load | Fixed rate - limited upside regardless of load value. |
The trade-off is straightforward: as a Landstar BCO, you earn more gross revenue per load, but you are also responsible for your own fuel, maintenance, and insurance. Successful Landstar BCOs typically find that the higher revenue percentage, especially with 100% fuel surcharge, offsets their operating costs compared to company driver wages. See how the numbers compare to company driver pay.
Frequently Asked Questions About Landstar Owner-Operator Pay
What percentage does Landstar pay owner-operators?
Landstar pays between 65% and 75% of freight linehaul revenue, depending on trailer type. Drivers pulling Landstar-owned van trailers receive 65%. Drivers using their own heavy haul or refrigerated trailers receive 75%.
Does Landstar pay 100% of the fuel surcharge?
Yes. Landstar returns 100% of all fuel surcharges to the driver on every load. This is paid on top of your linehaul percentage and is one of Landstar’s most driver-friendly policies.
How often does Landstar pay owner-operators?
Landstar pays weekly settlements. As long as your load bills are submitted at least 2 days before the end of the pay week, you will be paid for that week.
How much can I realistically make as a Landstar BCO?
Your earnings depend on how many miles you run, the loads you choose, and your trailer type. The load board gives you access to thousands of loads daily, and the higher your rate-per-mile and the more miles you run, the higher your weekly gross. A driver running 2,000 miles per week, pulling their own flatbed at 73%, could gross $2,500-$3,000+ per week before expenses, depending on the available rates.
Is the Landstar pay percentage negotiable?
No. The pay percentages are set by Landstar and are the same for all BCOs within each trailer type. What varies is the rate per mile on each load, and since Landstar is 100% non-forced dispatch, you choose the loads with the best rates for your situation.
What is the $1,000 escrow deduction?
When you first lease on with Landstar, a $1,000 escrow is collected and deducted at $62.50 per week for 16 weeks. This is a security deposit held by Landstar and is typically refunded when you leave Landstar in good standing.
When do the plate and permit deductions start?
Plate and permit deductions do not start until your 5th week with Landstar, giving you time to get established before those costs kick in.
What is the LCAPP program, and how does it affect my pay?
LCAPP (Landstar Contractors’ Advantage Purchasing Program) offers BCOs discounts on fuel, tires, and parts, saving the average driver $6,000- $7,000 per year. It doesn’t affect your percentage directly, but it improves your net earnings by reducing operating costs.
Does Landstar pay for tarp fees?
Yes, 100% of the tarp fee goes to the driver. Tarp fees range from $75 to $350 per load, depending on cargo size. These are paid in addition to your linehaul percentage and fuel surcharge.
What is the difference in pay between pulling a Landstar trailer vs. my own trailer?
Pulling a Landstar company van trailer pays 65% of the linehaul revenue. Pulling your own van trailer pays 72%, that is a 7-point difference. On a load with $1,000 linehaul revenue, that’s $70 more per load in your pocket. The trade-off is that you need to own or finance your own trailer.
How do I calculate my pay on a specific load?
Multiply the load’s linehaul revenue by your trailer’s percentage, then add 100% of the fuel surcharge. For example: $1,500 linehaul x 73% (own flatbed) = $1,095 linehaul take-home + $450 fuel surcharge (1,000 miles x $0.45) = $1,545 gross for that load. The existing pay calculator on this page can also help you run the numbers.
What to Know What You Could Earn as a Landstar BCO?
Call James McNiff at Secrest Direct: 877-441-9128
Or apply here
Mon-Fri 8:00 AM – 4:30 PM EST | Bolivar, Ohio | Secrest Direct – 2x Landstar Agent of the Year
The most asked question a Landstar recruiter receives is, “how much money can I make when leasing with Landstar?”
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