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One of the most serious issues facing Americans today is the breakdown of our supply chain.
Many people simply assume that goods are automatically transported from factories to stores, but the truth is that this process can be incredibly complicated.
Freight brokers are a critical part of the supply chain, and it is a career field that is very much in demand right now.
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Freight Broker Duties in Maryland
Freight brokers are an essential part of the supply chain that gets goods from factories to the homes of many Americans.
Specifically, freight brokers are the middlemen between shipping companies and carriers.
Whether a shipping company needs to move a large amount of merchandise, unusual merchandise, or large pieces of equipment, a freight broker ensures that they will find a carrier who is available and capable of moving those goods to their intended destination.
Licensing Requirements to Become a Freight Broker in Maryland
The state of Maryland does not require any type of license in order to become a freight broker.
However, all freight brokers are required to have a Broker Authority License issued by the federal government.
Specifically, the U.S Department of Transportation’s Federal Motor Carrier Safety Administration or FMCSA will issue this license.
To get this license, register with the U.S Department of Transport in order to obtain a Department of Transportation Number and a Motor Carrier Number.
After you have registered and received these numbers, you can start the process of applying for your broker license if you have the following:
- Adequate insurance for cargo and general liability. This is usually a policy that you must purchase for yourself.
- A $75,000 surety bond. This can usually be purchased from an insurance company that specializes in surety bonds.
- A freight agent in each state that you intend to conduct business. If you are a sole proprietor, this means that you will need to follow the laws of each state in which you wish to conduct business. In many cases, freight brokers will hold multiple licenses; one for each state that they work in.
- A $300 non-refundable deposit.
It typically takes about one to two months for the paperwork to process and issue a Broker Authority License. 7
Once the license has been issued, a broker can start working immediately.
Freight Broker Programs in Maryland
Because freight brokers are not required to be licensed in Maryland, there are no programs that will train you for a state license.
There are several programs, however, that can further your education.
Becoming a Certified Transportation Broker is not a requirement to practice in the state, but it is highly recommended.
The Community College of Baltimore offers a six-month online training program that can grant participants this certificate.
Freight Broker Salary in Maryland
Freight brokers in Maryland will typically make between $32,000 and $36,000 a year.
Freight brokers who own their own company, however, can earn much more.
Annual Salary Range:| Location | Avg. Annual Salary |
|---|---|
| Baltimore | $54,225 |
| Frederick | $56,657 |
| Gaithersburg | $58,560 |
| Bowie | $58,595 |
| Rockville | $58,648 |
| Hagerstown | $53,471 |
| Annapolis | $55,893 |
| College Park | $58,719 |
| Salisbury | $56,229 |
| Cumberland | $48,401 |
Regional Salary in Maryland
| Region | Employed | Avg. Annual Salary | Avg. Hourly Pay | Top 10% Annual Salary | Bottom 10% Annual Salary |
|---|---|---|---|---|---|
| Baltimore-Columbia-Towson, MD | 760 | $47,990 | $23.07 | $66,540 | $31,980 |
* Employment conditions in your area may vary.
Frequently Asked Questions
Is getting a CTB certification worth it?
While this class is not necessary in order to start working in Maryland, it contains a lot of information that is relevant to people in this career field.
Even brokers who have worked in the industry for several years have said that they learned a lot from this course.
Generally, these classes cost less than $1000 and can be done on a semi-flexible schedule.
Completing the CTB certification is a great way to distinguish yourself from others in the career field.
Is there a demand for freight brokers in Maryland?
As the demand for goods throughout the state increases, there has been an increase in the demand for freight brokers.
The pandemic has brought about a wide range of issues when it comes to supply chains, and freight brokers have become an essential component as manufacturers struggle to find ways to get their goods to consumers.
In the near future, it does not appear as if these issues will improve on their own, leading to an increase in the demand for freight brokers.
Demand for these positions is highest in areas near ports and shipping centers.
Specifically, look for work in Germantown and Columbia.
How much will freight brokers in Maryland make in the future?
It has been predicted that this field will see an increase of nearly 10% over the next three years, but the increased demand brought about by the pandemic for freight transport has led to a corresponding increase in the demand for freight brokers.
As supply chains become more snarled, people with the specific skill set to find ways to let goods flow freely will be able to demand higher salaries.
Read the full guide: How to Become a Freight Broker
Freight Broker License by State