No Tax on Overtime for Truck Drivers (2026)
Many truck drivers are exempt from FLSA overtime, so check before you count on this. You can deduct the overtime premium (the “half” of time-and-a-half) up to $12,500, or $25,000 if married filing jointly. For 2026, use the code TT amount on your W-2.
- Cap $12,500 · joint $25,000
- W-2 box 12 code TT
Special rule: The IRS lists “certain employees of motor carriers” as FLSA overtime-ineligible. Their overtime doesn’t qualify (FS-2026-13, Q4).
Overtime calculator for truck drivers
Private: runs in your browserEstimate of federal income tax only. Not tax advice.
Example: truck driver
- Local delivery driver who is FLSA overtime-eligible, $26/hour, 200 overtime hours, single, $64,000 incomePremium: 0.5 × $26 × 200 hours = $2,600.Deduct $2,600 · save about $312 in federal tax
Planning estimate from pay and hours. Your 2026 deduction uses the code TT amount on your W-2.
What truck drivers should know
- Many interstate truck drivers fall under the motor carrier exemption and aren’t owed FLSA overtime. Their overtime pay doesn’t qualify.
- Some local drivers are overtime-eligible. If your employer reports code TT, you can use it.
- Owner-operators on a 1099 don’t get FLSA overtime at all.
- Only overtime the federal FLSA requires counts. Extra pay from state law or a contract alone doesn’t.
Truck Drivers: FAQ
Do truck drivers get no tax on overtime?
Only those who are FLSA overtime-eligible. The IRS lists certain motor carrier employees as exempt, and their overtime doesn’t qualify.
How do I know if I’m eligible?
Look for code TT in box 12 of your 2026 W-2. If it’s there, your employer treated you as eligible.
I’m an owner-operator. Do I qualify?
No. The deduction is for FLSA overtime paid to employees.
How much overtime can truck drivers deduct?
Up to $12,500 of qualified overtime, or $25,000 on a joint return, for 2025 through 2028. It shrinks above $150,000 of income ($300,000 joint).
Does this lower Social Security or Medicare?
No. It only lowers federal income tax. State tax depends on your state.
Related tools and guides
- Warehouse WorkersHourly overtime premium, code TT.
- Construction WorkersHourly overtime premium, code TT.
- Factory and Manufacturing WorkersHourly overtime premium, code TT.
- No tax on overtime calculatorW-2 code TT or an hours estimate, cap, phase-out and tax saved.
- W-2 box 12 code TTWhat code TT means, and what to do if it is missing or wrong.
- Double time and state overtimeDouble time, daily overtime, contracts: what counts.
- No tax on overtime by jobNurses, police, firefighters, drivers and more.