How to Become a Freight Broker in Iowa

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How to Become a Freight Broker in Iowa

In the shipping industry, there needs to be a contact between those shipping and those carrying freight.

That contact is a freight broker, and they are used to keep the cargo moving until it makes it to the required destination.

This position is something that has grown tremendously and will continue to be essential thanks to the growth of e-commerce and the need to ship items.

Below are the different duties affiliated with this position and what is required to be licensed.

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Freight Broker Duties in Iowa

As a freight broker, you are responsible for the following duties:

  • Scheduling freight for transmission and delivery
  • Providing order instructions to the driver
  • Make sure the truck is loaded with the correct freight
  • Transport and deliver goods from one location to the next
  • Manage the billing

For each load you take responsibility for, it is important that you provide these duties.

They need to be delivered properly to their destinations, knowing their schedule and where they will allow you to improvise delivery if there happens to be an issue.

Also, with managing orders for delivery, fragile freight due to temperature or material can be properly stored while it is transported and then use the provided instructions to ensure it is delivered in the same quality state.

Licensing Requirement in Iowa to Become a Freight Broker

If you are looking to become a freight broker in Iowa, then you will need to get a federal license as required.

The state of Iowa does not have additional licensing requirements.

In order to get your freight broker license through the Federal Motor Carrier Safety Administration (FMCSA), you will need to complete the following:

  • Register your business with a USDOT number
  • Secure a Surety Bond or Trust Fund Agreement that has a minimum value of $75,000.
  • Pay the application fee.

Your license will be processed in 4-6 weeks.

These are the only requirements in order to be a freight broker in Iowa.

You are not required to have any further training but those with additional training are often more successful.

Freight Broker Programs

If you want to further your experience and education, you can do that through several programs in Iowa.

There are four community colleges that offer relevant training programs to get you prepared and to be successful in this industry:

  • Eastern Iowa Community College – Clinton
  • Kirkwood Community College – Cedar Rapids
  • Iowa Community College – Marshalltown
  • Iowa Community College – Fort Dodge
  • Des Moines Areas Community college – Ankeny

You can add a federal certification to your Broker company, known as the Certified Transportation Broker.

This is offered through the Transport Intermediaries Association.

Having a membership and being certified through this organization gives you access to essential resources, educations, and training as they relate to new policy changes.

Having this certification will get you recognized by clients, especially those who only want certified brokers managing their freight.

Salary for Freight Brokers

If you are curious about what you can expect as a salary for freight brokers, then you should know that the salary is as flexible as how many loads of freight you haul, and what type of freight you have.

On average, a freight broker in Iowa is averaging around $47,000 annually.

This salary is an estimate of those who have been in the field for approximately five years and have worked to gain some clientele.

This means that you can expect that number to increase over the course of your career.

Annual Salary Range:
Annual Salary by Location:
Location Avg. Annual Salary
Des Moines $50,939
Cedar Rapids $50,047
Davenport $50,200
Sioux City $44,894
Waterloo $47,858
Iowa City $49,636
Council Bluffs $49,870
Dubuque $49,649
Ames $50,465
West Des Moines $50,939

Regional Salary in Iowa

Region Employed Avg. Annual Salary Avg. Hourly Pay Top 10% Annual Salary Bottom 10% Annual Salary
Cedar Rapids, IA150$48,880$23.5$66,440$36,950
Davenport-Moline-Rock Island, IA-IL110$44,770$21.52$49,970$36,660
Des Moines-West Des Moines, IA430$55,850$26.85$81,390$38,120
Sioux City, IA-NE-SD60$55,380$26.63$78,770$37,120
Waterloo-Cedar Falls, IA40$43,730$21.03$62,120$30,020
* Salary information based on the May 2022 Occupational Employment Statistics (OES) Survey for Cargo and Freight Agents, OCC Code 43-5011, BLS.
* Employment conditions in your area may vary.


Frequently Asked Questions

What type of freight can I expect to have in Iowa?

While all freight types are possible in Iowa, the majority of freight that is hauled is agricultural crops.

This means that the freight must be transported per the orders of the shipper, and these hauls need to happen regularly.

The suppliers of this freight need dependable freight brokers who can ensure the product gets to the destinations in good quality and in a timely manner.

Can I streamline into this career through another freight broker?

In Iowa, you do have the ability to begin as a freight agent, which means you do not have the license under your name.

You work underneath another freight broker, and you will split the brokerage fee.

This is good for those who want to make sure the career is right for them before branching off.

Is this career expected to grow?

With the current rise of e-commerce and the need to ship all types of items, being a freight broker is something that has a high growth expectancy.

With this career growth comes salary growth as the demand increases and there are not enough brokers.

You can feel comfortable knowing that you are choosing a stable career choice.

USA Freight Broker License by State

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