How to Become a Freight Broker in Kentucky

Shipping companies may often reach out to freight brokers in order to find qualified carriers to transport their loads from point A to point B. This requires freight brokers to do their due diligence in finding carriers who are reliable and trustworthy. Different types of loads will require different types of carriers, so freight brokers will need to compile a database of information in order to do their jobs effectively.

As brokerage companies grow, freight agents may become employed as independent contractors who speak directly to customers and assist brokers in connecting shippers with available carriers.

Requirements for Becoming a Freight Broker in Kentucky

There are currently no state regulations in existence for freight brokers in Kentucky. Instead, freight brokers must follow national regulations in order to practice. These regulations include the requirement of earning a high school diploma or GED, as well as obtaining a government-issued Broker Authority license.

Options for further advancement within this career field include completing a post-secondary education program for freight brokers, finding an experienced professional who is willing to be your mentor or earning national certification.

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Kentucky Schools for Freight Brokers

Some aspiring freight brokers may choose to enroll in training programs, while others may decide to learn the tricks of the trade in a different way. Research is required to make the decision that is best for the future of your career. Training programs options include the following:

  • Load Training offers ourses both online and in-person. In-person training sessions will last for just five days and take place in the cities of Phoenix, Atlanta and Houston. The program teaches students to create a truck availability database, how to respond to inquiries from carriers and shippers, and much more.
  • Brooke Training also ffers courses both in-person and online. Students will learn basics and advanced industry techniques. Qualifying veterans are also allowed to attend courses free of charge. Each student receives assistance with job placement upon course completion.
  • Freight Movers School offers two separate programs that can be taken either in-person or online. Freight brokers who are new to the trade will want to take the basics course, while more seasoned brokers may be interested in the course on improving sales. Currently, all in-person courses are offered exclusively in Texas and Georgia.

Certifications for Becoming a Freight Broker in Kentucky

The U.S. Department of Transportation’s Federal Motor Carrier Safety Administration (FMCSA) oversees the licensing process for freight brokers.

Your Broker Authority license (also known as a Motor Carrier Operating Authority license) can be obtained by first registering your company as a business. Next, you’ll need to obtain a U.S. Department of Transportation number. After doing so, you must submit this number, as well as an application and application fee of $300, to the FMCSA. Once they have approved your application—which usually takes 4 to 6 weeks—you will receive your license. National law also requires that freight brokers carry a $75,000 surety bond at all times.

By taking the Certified Transportation Brokers exam, offered exclusively through the Transportation Intermediaries Association, you may be able to advance your career more quickly. While this certification is not required, it may be impressive to potential employers or clients when you start your career.

Career Outlook and Salary Expectations

The freight brokerage industry in Kentucky is experiencing growth, with salaries for cargo and freight agents reflecting this positive trend. The Bureau of Labor Statistics (BLS) data from 2022 shows that freight brokers in Kentucky earn an average annual income higher than previously reported.

As of the latest data, cargo and freight agents in the United States earn an average salary of $46,860 per year. In Kentucky, these professionals earn an average salary of $44,010 annually, slightly lower than the national average. The top 10 percent of earners in Kentucky make more than $63,110 per year.

National vs. Kentucky Salaries:

Percentile United States Salary Kentucky Salary
10% $32,720 $37,680
25% $38,400 $39,560
Median (50%) $46,860 $44,010
75% $58,710 $52,090
90% $70,280 $63,110

Salaries by Region in Kentucky:

Location 10% 25% Median (50%) 75% 90%
Louisville/Jefferson County, KY-IN $37,690 $38,810 $40,120 $50,430 $60,970

Freight Broker Trends in Kentucky

The employment trends for Cargo and Freight Agents in Kentucky (43-5011.00) show a positive growth trajectory for the decade from 2020 to 2030. In 2020, Kentucky had 2,440 employees working in this occupation. This number is projected to increase to 2,700 employees by 2030, representing a growth rate of 11%. Additionally, there are expected to be around 280 job openings annually over this period, which includes openings due to both growth and replacement. This trend indicates a healthy job market for cargo and freight agents in Kentucky, aligning with the national average growth rate.

In comparison, the national trend for the same period shows a growth rate of 10%, which is considered much faster than average. In 2022, there were 95,900 employees in this occupation across the United States, with projections indicating an increase to 105,200 employees by 2032. Nationally, there are expected to be about 11,000 job openings annually over this period.

Employment Trends

Location Employment (2020) Projected Employment (2030) Projected Growth (2020-2030) Projected Annual Job Openings (2020-2030)
Kentucky 2,440 employees 2,700 employees 11% 280
United States 95,900 employees (2022) 105,200 employees (2032) 10% (Much faster than average) 11,000

Sources of Data:

Kentucky Data: The employment figures and projections for Kentucky are sourced from Projections Central, specifically their 2020-2030 long-term projections. Projections Central is known for providing detailed and state-specific employment projections, offering valuable insights into various occupational trends.

United States Data: The national employment figures and projections are obtained from the Bureau of Labor Statistics (BLS), specifically their 2022-2032 employment projections.

Working as a Freight Broker in Kentucky

Lexington-Fayette is the largest city in Kentucky by far. This will be an ideal city for freight brokers to work due to its dense population.

You can choose to work at a brokerage company or become your own boss by starting your own brokerage. Both options will require a great deal of time and dedication. As a business owner, you’ll have a higher level of responsibility and decision-making authority, and you’ll also be in charge of your own salary. If this career sounds of interest to you, it may be a good idea to take the steps to get started today.