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Updated Apr 11, 2024

What Is an ELD?

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David Gargaro, Business Ownership Insider and Senior Writer

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Driving trucks or company-owned vehicles can be dangerous. To create a safe work environment for drivers, many businesses that operate vehicle fleets must have electronic logging devices installed in their trucks and buses. When operating a fleet, businesses must understand ELDs, how they operate, their benefits and who must use them.

What is an electronic logging device (ELD)?

An electronic logging device (ELD) is connected to a vehicle’s engine to automatically record driving time and hours of service (HOS) for commercial motor vehicle drivers. ELDs also record vehicle engine data and miles driven. Truck drivers, fleet managers and dispatchers can use the ELD’s real-time driver status information to ensure fleet compliance with industry regulations, plan schedules and adhere to required inspections.

What do ELDs do?

ELDs automatically record driving activity, miles driven, engine hours, ignition status, location, and other key data points (e.g., date, time, driver ID and user authentication).

The ELD sends engine and GPS location data to the fleet company’s server, creates duty status logs and transmits all data to its mobile app for drivers and fleet managers to view. The device continually updates this information to provide reports in real time.

Drivers, dispatchers and fleet managers can access electronic logging information using the ELD’s mobile app. The app syncs with fleet management software to produce ELD reports, maps and notifications for fleet and compliance managers.

Potential uses for ELDs

Companies across various industries use ELDs and their data to support and inform the following: 

  • Compliance: ELDs electronically record HOS and duty status in electronic logs. This capability ensures vehicles comply with the Federal Motor Carrier Safety Administration’s (FMCSA) ELD mandate (more on this below) and removes the need to maintain paper logs.
  • Safety: Modern ELDs include built-in accelerometers and gyroscopes that detect “harsh events” (e.g., collisions, hard braking and severe turns). Fleet managers can use historical data to support fleet health and safety compliance by identifying where events occurred, training drivers on safer driving practices, and backing up drivers falsely accused of causing accidents.
  • Dispatch and routing: ELDs include built-in GPS devices that provide real-time location data when drivers are on the road. Fleet managers and dispatchers can use this information to determine where their vehicles are at all times, plan more efficient routes and help drivers avoid traffic congestion.
  • Reporting: Fleet managers can produce numerous reports from ELD data to improve efficiency and identify cost-saving opportunities. For example, reports can focus on reducing a fleet’s idle time, monitoring fuel costs, identifying risky driving behavior, pinpointing unusually long delivery times and flagging other events tied to specific drivers or vehicles.
  • Maintenance: ELDs connect to the vehicle’s onboard diagnostics port to access critical engine data (e.g., fault codes and mileage). This data helps fleet managers schedule preventative maintenance and quickly respond when repairs are required. Drivers can also submit electronic driver vehicle inspection reports (DRIRs) via the ELD’s mobile app. This process is more efficient than filling out paperwork, saving the driver and administrative staff time.
  • Geofencing: Some ELDs come with geofencing capabilities to improve security and reduce financial losses. Geofencing allows fleet managers to create virtual boundaries around real-world physical locations (e.g., a shipping yard, terminal, parking area or bridge). The software can send alerts when a vehicle enters or exits a geofenced area, allowing the fleet manager to react to security issues, thefts or drivers entering prohibited locations.
Key TakeawayKey takeaway

ELDs support fleet management best practices by ensuring vehicle and driver compliance and promoting driver safety, security and efficiency.

What is the ELD mandate?

The federal ELD mandate is part of the Federal Highway Administration’s MAP-21 Act. Commercial drivers are required to use ELDs to track records of duty status (RODS) under HOS rules. The ELD mandate includes the following parameters:

  • Sets ELD performance and design standards.
  • Requires these devices be certified and registered with the FMCSA.
  • Determines what documents drivers must keep to meet the rule.

ELD regulations and features

The FMCSA mandates that ELDs adhere to the following regulations:

  • ELDs must be registered with the FMCSA.
  • ELDs must have manufacturer certification.
  • ELDs must meet specific technical specifications.

ELDs must have the following features:

  • ELDs must synchronize with the engine control module.
  • ELDs must automatically record driving time and details.
  • ELDs must record location via GPS technology.
  • ELDs must support electronic data transfer (e.g., wireless, email, USB and Bluetooth).
  • ELDs must be tamper-proof.
  • ELDs must support certification of driver records (every 24 hours).
  • ELDs must have a display report for safety officials (on screen or paper).
FYIDid you know

Many ELDs consist of a device with a preloaded mobile app. The carrier can also use a bring-your-own-device (BYOD) solution that works with its hardware.

Who must use ELDs?

The FMCSA defines commercial motor vehicles as “any self-propelled or towed motor vehicle used on a highway in interstate commerce to transport passengers or property.” The ELD mandate applies to commercial motor vehicles that meet one or more of the following criteria:

  • The vehicle has a gross vehicle weight rating, gross combination weight rating, gross vehicle weight or gross combination weight of at least 4,536 kg (10,001 pounds), whichever is greater.
  • The vehicle is designed or used to transport more than eight paid passengers, including the driver.
  • The vehicle is designed or used to transport more than 15 unpaid passengers, including the driver.
  • The vehicle is used to transport hazardous material as per 49 USC 5103 in a quantity that requires placarding under regulations as per 49 CFR, subtitle B, chapter I, subchapter C.

Additionally, commercial motor vehicle drivers required to maintain RODS for at least eight out of 30 days must use an ELD. Drivers who fail to follow the ELD rule are subject to a range of penalties and fines, including being put out of service for 10 hours.

Did You Know?Did you know

Complying with ELD rules can help you reduce fleet maintenance costs and avoid fines ranging from $1,500 to over $20,000.

ELD required documentation

Any driver required to use an ELD must keep an ELD information packet in their vehicle at all times that includes the following:

  • A user’s manual that explains how to use the ELD
  • An instruction sheet that outlines the ELD’s data transfer mechanisms, with instructions on how to produce and transfer the driver’s HOS records to a safety official
  • An instruction sheet on how to report ELD malfunctions and keep records during ELD malfunctions
  • An eight-day supply (minimum) of blank driver’s RODS graph grids

Who doesn’t have to use an ELD?

Drivers who don’t have to keep RODS logs are not required to have an ELD on their vehicle. The FMCSA also exempts drivers from having an ELD in their vehicle if they:

  • Operate vehicles with engines made before the year 2000
  • Use RODS for no more than eight days within 30 days
  • Are driveaway-towaway drivers, where the vehicle they drive is part of the shipment
  • Qualify under short-haul exceptions and are not required to keep RODS
  • Transport livestock or insects

Best GPS fleet management software for electronic logging

The best GPS fleet management systems can help your business stay ELD compliant while improving driver safety and performance. Consider the following highly regarded platforms: 

  • Samsara: Samara’s ELD offering is managed through the same unified interface used to track vehicular movements, monitor driving standards and track vehicle health and maintenance. By physically inserting an ELD tracker into a vehicle’s OBDII port, the device will automatically monitor diagnostics and safety details. Simultaneously, the driver-facing software app records traveling time and driver data. Our Samsara review explains more about the platform’s ELD, IFTA and DVIR compliance features.
  • GPS Trackit. While ELDs aren’t standard with GPS Trackit, fleet managers can add software and hardware add-ons that cover all necessary ELD reporting requirements. Our GPS Trackit review explains how the platform supports Canadian and Mexican rules for cross-border businesses and offers Spanish and Canadian French language options.
  • NexTraq: NexTraq offers three language options and coverage across North America. It offers a dedicated ELD mobile app and includes HOS, DVIR and RODS reporting functionality. Our NexTraq review highlights the company’s dedicated ELD support team, which can help companies needing additional compliance and monitoring advice.
  • Motive: Motive’s ELD-compliant software is impressive. It simplifies things from the driver’s perspective and includes a dedicated Inspection Mode for roadside investigations. Our Motive review explains how the platform’s driver-specific app helps track expenditures and ensure ELD compliance.
TipTip

Ensure the fleet management platform you choose includes features to help you prevent and track vehicle equipment theft, such as GPS trackers and geofencing capabilities.

What are the benefits of ELDs?

The primary benefit of ELDs is improving driver safety by ensuring drivers and fleet owners comply with HOS regulations to prevent and reduce driver fatigue. 

Other ELD benefits include: 

  • Simplifying the process of keeping RODS logs.
  • Automating the RODS process to ensure HOS compliance.
  • Reducing paperwork.
  • Saving the time and resources you’d otherwise spend on administrative tasks.
  • Reducing errors by employing automated tracking.

Additionally, ELDs with telematics technology can help businesses and fleet managers do the following: 

  • Access real-time data that can improve fleet productivity and efficiency.
  • Monitor and reduce fleet fuel costs
  • Create engine reports that support proactive vehicle maintenance.
  • Create vehicle inspection reports.
  • Access mileage reporting for fuel tax and International Registration Plan.
  • Scan receipts and invoices.

How much do ELDs typically cost?

ELDs can range in cost from hundreds to thousands of dollars per vehicle. Costs include the device hardware, a monthly software fee and professional installation. While most ELDs offer comparable essential features, they have various price points, support levels and specialties. Compare and contrast leading GPS fleet management systems with ELD functionality to find a solution that fits your needs and budget. 

Seeing the bigger picture

ELDs ensure legal compliance and provide drivers and fleet managers with invaluable real-time data — especially when paired with driver and admin mobile apps. Initial setup costs can ultimately repay themselves through safer and more productive fleet management. Ensuring you’re happy with a particular software interface before signing up is vital. Once devices are installed and operational, switching to a competitor’s brand could be surprisingly complicated. 

Neil Cumins contributed to this article.

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David Gargaro, Business Ownership Insider and Senior Writer
David Gargaro has spent more than 25 years immersed in the world of business. In 2018, he published the book How to Run Your Company… into the Ground based on his firsthand experience at a small business. In the guide, he advises on everything from strategic partnerships and product development to hiring and expansion — and all that's in between. Gargaro's expertise, which also extends to sales, marketing and financial planning, has also been published in the business-focused Advisors Magazine, Moody's Analytics and VentureBeat. He has been hired to speak on topics like the customer experience and created an entrepreneurs' toolkit for startup founders.
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