Save on Year-End Equipment Purchases Through Accelerated Tax Deductions

The end of the year is fast approaching. Now is a great time to take advantage of powerful tax tools that can help you save money while investing in your business: Section 168(k), also referred to as Bonus Depreciation, and Section 179. These sections offer significant tax incentives to promote business growth, allowing you to upgrade equipment while enjoying substantial savings.

Below, learn more about these important tax-saving tools and how qualifying purchases can benefit your business. Qualifying purchases include financed equipment that is placed in service on or before December 31, 2024.

Save with Section 179

Popular among small and medium sized businesses, Section 179 allows businesses to immediately expense qualifying equipment in the year of acquisition. This allowance creates a larger initial deduction and reduces a business’s tax burden in the year the equipment is placed in service.

The maximum amount of Section 179 for 2024 is $1,220,000 on qualified purchases of $3,050,000. Section 179 is reduced dollar for dollar when total equipment purchased exceeds $3,050,000, hitting zero at $4,270,000 of qualifying purchases. In addition, an income limitation limits a business’s Section 179 expense to taxable income, not allowing Section 179 expense to create a tax loss.

If these limits impact your business’s ability to use Section 179, you may still qualify for Bonus Depreciation.

Section 168(k): Bonus Depreciation

Bonus Depreciation is another tool to accelerate expensing of capital expenditures, but without many of the limitations. Bonus depreciation is percentage based, allowing a business to immediately expense a percentage of an asset’s cost before applying normal depreciation.

Businesses can currently expense 60% of the cost of qualified assets. This percentage is only applicable for assets placed in service on or before December 31, 2024. It is scheduled to drop as follows in the coming years:

  • 40% in 2025
  • 20% in 2026
  • and 0% in 2027 and thereafter.

How Much Money Could You Save?

Section 179 and Section 168(k) are valuable tools for businesses seeking to reduce their tax liabilities and invest in growth. To ensure you make the most of these opportunities, it is essential to work with tax professionals who can help you navigate the complexities and confirm your businesses eligibility.

Below, see hypothetical savings possible when utilizing these code sections as compared to normal depreciation.

*The calculations above are an example and not intended to provide tax or legal advice. Please consult your tax advisor.

Ready to Learn More? Contact Altec Capital Today

If you’re interested in applying these tax benefits to your purchases, our knowledgeable finance experts at Altec Capital are ready to help you find the best options to achieve significant savings.

Altec Capital offers deferrals up to 90 days, aggressive financing rates and a variety of lease options. Altec Capital’s focus is meeting customers’ unique equipment financing needs. Most importantly, financing with Altec Capital is easy. Altec Capital offers a single source solution for all your financing needs, which means no more managing multiple banking relationships.

For more information on Altec Capital’s financing options, call (888) 408-8148 or email finance@altec.com.

Benefits of Simulation-Based Training

In 2022, one person died every 96 minutes from a work-related injury.

Many of them worked in construction and utilities.

According to OSHA, “Workers in construction and extraction occupations had the second most fatalities (1,056) in 2022 compared to other occupation groups.”

If you are wondering how to reduce safety incidents at work, there are ways to improve your safety training. In fact, inadequate safety training is the top variable associated with accident severity, as identified by the study Worker Safety and Injury Severity Analysis of Earthmoving Equipment Accidents

How Does Simulation Training Reduce the Likelihood of a Safety Incident?

There are many real challenges to improving safety training in utilities and construction, such as:

Fortunately, simulation training addresses each of these challenges.

Safety simulation training offers many practical benefits, such as the ability to objectively measure and track an operator’s progress, build operator confidence, and prepare operators for certification exams.

It’s a cost-effective solution that is more fuel-efficient and convenient than training on real equipment. But perhaps its greatest benefit is its ability to dramatically improve safety training. Here’s how.

  1. Practice High-Risk Scenarios that Often Lead to a Safety Incident

Many of the most dangerous situations operators encounter are simply too risky to replicate in real life. It wouldn’t be wise or ethical to practice tipping to teach operators how to avoid it—or to induce distractions to build situational awareness. But having these skills makes a significant difference in reducing the likelihood of a safety incident. According to OSHA, “Approximately 75% of struck-by fatalities involve heavy equipment such as trucks or cranes.”

Operators can practice a variety of exercises in a simulated environment

  1. Practice Rare Events That Are Impossible to Replicate Using Real Heavy Equipment

What can an operator do if their visibility is unexpectedly reduced? Or if a tire suddenly blows out?

Unexpected, and sometimes uncommon, situations can happen. When they do, how an operator responds can have a significant impact on the outcome. However, training on real equipment has its limitations, since it’s impractical to wait for the weather to turn or for an unusual scenario to present itself.

With simulation, you can induce or replicate rare occurrences and practice responses to them over and over again. This allows operators to be prepared for rare events before they even enter a jobsite—potentially preventing safety incidents and saving lives.

  1. Change Instinctual Responses with Safety Simulation Training

When an excavator begins to tip, how an operator responds can have life-or-death consequences—for both the operator and those around them. “You need to know within a fraction of a second what your next move is going to be to save whatever’s happening,” said 20-year-veteran equipment operator Gary James. Otherwise, the situation can quickly pass the point of no return.

“If you tip over a crane at an energized substation, there’s potential not just for killing yourself but killing a lot of people—plus the amount of damage… it’s big money and bigger consequences,” said Jeff Mitchell, Assistant Business Manager at IBEW Local 17, a Detroit-based labor union that represents nearly 750,000 workers and retirees in the electrical industry.

Because instinct often kicks in during these scenarios, and because instinctual responses can sometimes be the exact opposite of what an operator should do, reprogramming these responses through concentrated training is essential.

Within a simulated environment, operators can build the muscle memory they need to do this. They can learn to identify early warning signs of a dangerous situation, as well as receive instructor feedback on how to proceed and respond. Then, they can practice scenarios over and over, until new habits form that could very well save their life if ever they had to make a split-second decision.

  1. Use Simulation to Objectively Assess Construction and Utilities Workers Before They Enter a Jobsite

Digging around existing utility lines necessitates a high skill level. But how can organizations be sure that operators have that skill level without objectively testing them?

Objective scoring helps provide a clear picture of an operator’s skill level

Subjective assessments of an operator’s skills may be inaccurate. In addition, new hires claiming to have years of experience might not be telling the full truth about their capabilities.

By testing operators within a simulated environment, organizations can remove any doubt about an operator’s skill level. Setting a required training score on a simulator ensures that a company’s health and safety protocols are maintained. As a result, they can rest assured that all operators working in high-precision scenarios are fully capable of handling their responsibilities effectively.

Proactive monitoring in health and safety is all about data. With simulation, operator benchmarking can be a part of that data.

  1. Train Operators Regardless of Equipment Availability

In order to effectively train operators, organizations need to have the resources available to do so. And when equipment isn’t available, that becomes difficult to accomplish by traditional training methods.

Simulation, by contrast, is available 24/7. “On average we’re probably shut down about 25 days a year [because of weather issues],” said Terri Olson, Owner of Next Gen Equipment Training, “The simulator never closes. In fact, we sometimes simulate rain, high wind, and snow conditions for the operator.”

Operators can hop on at any time and practice exercises. Training isn’t interrupted by inclement weather, lack of equipment, or other factors. In fact, it can be an excellent use of downtime. “With the simulator, they [trainees] come in at their own pace, and take as much time as they want,” said Jeff Mitchell.

“With the simulator, they [trainees] come in at their own pace, and take as much time as they want”

  1. Maximize Instructor Time With Safety Simulation Training

The labor shortage has put a premium on instructors’ time, as their expertise can often be needed on the jobsite as well. This makes it hard to train new operators, or provide upskilling to more established workers.

Safety simulation training alleviates this burden on instructor time by making it possible for one instructor to train multiple operators on multiple simulators simultaneously. In addition, it also makes it easier and faster for instructors to provide feedback and corrective training. “With the simulator, I can literally put hands on hands,” said Shane Matthews, Director of Training and Development at ElectriCom. “I can move the trainee’s hands and coach them, and have a discussion with them. It’s much more effective, which is why we’re seeing a trend where learning curves are a lot shorter.”

Why Immersion Is So Essential to Safety Simulation Training

We’ve covered how operators can train for high-risk scenarios with simulation training, as well as the unique benefits that simulation provides. But it’s important to make the distinction between high-quality safety simulation training and lower-quality safety simulation training—because a lower-quality simulation training program can actually exacerbate issues rather than fix them.

Risks of Using Lower-Quality Safety Simulation Training

A lower-quality simulation might not accurately mirror soil physics or the feeling an operator will experience just before equipment tips. It might not account for details like tire pressure or pendulum swing, or the way equipment will move as it passes over a curb. This can teach operators the wrong lessons, and lead to a phenomenon known as “negative training.”

What is negative training? It’s inaccurate training based on false information. For instance, flawed soil simulation may encourage the trainee to make excessively deep cuts that would be impractical in real-life scenarios. Or an inaccurate simulated cable system may not teach the student how to skilfully control the pendulum, especially when faced with fluctuating weather conditions and varying loads.

Negative training is especially dangerous because it can lead to a false sense of security that could have devastating consequences once an operator sits behind the wheel of a real piece of heavy equipment.

Benefits of Using High-Quality Safety Simulation Training

What does high-quality simulation training look like, and how can you know what will work for you? A high-quality simulation training program will prioritize immersion. And by immersion, we don’t just mean visual immersion, but haptic immersion and auditory immersion, as well.

The highest level of simulation accurately mimics real machine behavior, providing an immersive experience. For example, it can include sounds such as:

  • Engine sounds (including fails and stalls)
  • Variable engine RPMs
  • Horns
  • Fork scraping and shifting
  • Alarms
  • Other worksite sounds that are important audio cues for safe, steady, deliberate, and precise operations

The full-motion platform of a high-quality simulator is also tied, in real-time, to the simulation and accurately replicates much of an operator’s day-to-day experience, such as driving on uneven terrain. Trainees improve their muscle memory, ultimately becoming “one” with their equipment—feeling the platform bowing down as they drill or dig, or pitch when they are at risk of tipping.

Here’s what that looks like in action: https://youtu.be/6xpfBzFTSAE

A truly high-quality simulator will feel just like real equipment due to the level of depth and detail put into developing the simulation physics engine and core technology. And that depth and detail will lead to the kind of high-quality training that could very well save lives.

Thank you to CM Labs for providing this article: https://www.cm-labs.com/en/blog/6-ways-safety-simulation-training-helps-reduce-accidents-in-utilities-and-construction/?utm_campaign=FY25%20-%20Utilities%20Campaigns%20-%20Always%20On&utm_content=310054467&utm_medium=social&utm_source=linkedin&hss_channel=lcp-222465

5 Truck Accessories That Might Need Replacing

If you need reliable, high-quality tools and accessories, Altec Supply has what you need to get the job done. Tools and accessories that take more wear and tear than others or items that are critical to safety should be evaluated often and replaced when necessary. Make sure you’re checking these five items.

Outrigger Pads

Our outrigger pads are lighter and stronger than most brands. Built specifically to add support and stability, outrigger pads play a critical role in the safe operation of equipment.

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Wheel Chocks

Designed to prevent accidental movement, Altec Supply’s sturdy chocks are made with heavy-duty rubber to provide superior grip and reliability.

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Platform Covers

Our vinyl-coated, water-shedding cover keeps rain, sleet, and snow out of the platform so your truck is ready to work when you are. Platform covers are available in a variety of configurations.

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Cones

These rugged, brightly colored safety cones are designed for many years of outside use. They’re constructed of fluorescent PVC with two reflective collars.

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First Aid Kit

Don’t underestimate the value of a first aid kit on the jobsite. This white metal first-aid kid is on a bracket that fits a two-man bucket and provides essential items you need for emergency jobsite injuries.

Buy Now

About Altec Supply

Altec Supply offers a wide range of tools and accessories you need to get the job done. Most in-stock orders ship within one business day, getting you the items you need when you need them. To check out more tools and accessories, visit Altec Supply Store to shop our entire Tools and Accessories Catalog, or call 1-877-GO-ALTEC.

Are Backyard Aerials Right for Your Fleet?

If you’re looking for a versatile piece of equipment to take your work to new heights, Altec Teupen backyard aerials could be the product you’re looking for. Below, check out the six features that might make backyard aerials the right fit for your fleet.

Safety and Reliability

Backyard aerials significantly enhance safety by reducing the need for climbing, minimizing the risk of falls and injuries. Teupen was the first manufacturer of backyard tracked aerial devices and they’ve been in the industry for more than 40 years, so you can be confident you’re getting a product that’s tried and tested.

Jobsite Versatility

These machines are able to traverse steep grades and rough terrain, and they can access tighter and more challenging jobsites than other mobile aerial equipment.  Many Altec Teupen models can also fit through a standard backyard gate. Their design allows for operation in hard-to-reach areas and tight spaces, making backyard aerials a go-to option for challenging jobsites.

Easy Transportation

Many Altec Teupen models can be towed using a three-quarter-ton truck and with a combined weight under 26,000 lbs, don’t require a CDL. This makes them easily transportable to your job sites without the need for specialized vehicles or certified drivers.

Faster Operator Readiness

Climbing is a valuable skill, but it’s one that takes time to master and is becoming less common. Backyard aerials can be used in many situations that would otherwise require climbing. This speeds up timelines and also allows business owners to cast a wider net when hiring employees.

The machines also feature an easy-to-use control system that allows operators to quickly get up to speed on the equipment. They also offer features that make operation more efficient, such as auto-leveling outriggers and even auto-stow for the platform on some models.

Use in a Variety of Work Applications

From tree care to lights and signs and facilities maintenance, and even in the electric utility sector, backyard aerials can be used in many work applications. Their ability to access difficult areas and perform in constrained environments opens new opportunities for businesses. There are also battery powered options for indoor use.

Easy Service

Teupen backyard aerials are backed by Altec’s nationwide mobile and shop service network. With locations and mobile technicians across the country, service is only a call away.

Are Backyard Aerials Right for You?

Altec Teupen units are available for rent, lease or purchase. If Teupen backyard aerials are a fit for your fleet, view our available inventory here or contact your account manager today. If you don’t have an Altec account manager, contact us here or call 800-958-2555.

Achieve ZEV Requirements with Altec’s Electrification Solutions

Electrification technology, infrastructure, and legislation have evolved rapidly in the last few years, pushing the medium and heavy-duty truck space toward a cleaner future. With the adoption of California Air Resources Board regulations and a changing social landscape, that future is approaching quickly. Below, see how CARB regulations are impacting the transition toward Zero Emissions Vehicles (ZEV) and how Altec can partner with you on your journey to a cleaner fleet.

What are CARB Regulations?

The California Air Resources Board has adopted several regulations designed to accelerate the adoption of ZEVs and encourage the industry to reduce emissions. Historically, CARB has played an active role in shaping federal EPA standards, and it also serves as a guide for states seeking to increase the adoption of MD/HD work applications.

Currently, there are three key CARB regulations under consideration in several states:

  • Omnibus Low NOx: rule that sets standards for engine particulates and emissions
  • Advanced Clean Truck: A sales mandate on chassis OEMs that requires OEMs to sell a certain percentage of ZEVs compared to their overall truck sales for participating states
  • Advanced Clean Fleet: A regulation for customer fleets to adopt ZEV solutions as a certain percentage of their fleet based on the vehicle classification

Why Should You Start Planning Today?

Regulations are only one of the many forces driving the U.S. toward reduced or zero emissions. As the public becomes more climate conscious, there is a larger social push to reduce tailpipe emissions. Many customers have their own corporate sustainability goals, and as vehicle technology continues to evolve, the adoption of ZEV solutions will continue to increase.

While legislation is always evolving, this combination of factors makes it more important for your fleet to have a strategy and roadmap for compliance in place.

How Can I Incorporate ZEVs into My Fleet?

When evaluating ZEV options, Altec has developed a range of battery electric vehicles (EV) targeting specific work applications that maximize EV performance without compromises. With the current EV charging infrastructure and state of technology, electrified solutions are best suited to specific work applications with a defined driving range within the OEM’s EV reported range, and less suited for applications like mutual assistance or storm response.

Altec is constantly evaluating additional work applications and OEM EV models to help customers electrify their fleets and achieve compliance in the way that works best for them.

What Makes Altec EVs Different?

Altec’s EV solutions are designed with technology that’s easy to use, doesn’t interrupt operator workflow, and functions no differently than a chassis with a traditional mechanical PTO or internal combustion engine chassis. This means Altec’s solutions use the same proven technology that our customers have come to expect.

Altec EVs feature an integrated ePTO solution that allows the truck to operate as a system rather than individual components. This system efficiently utilizes the chassis battery (with a minimal impact on range), maximizes productivity, and is easy to charge with a single port. This frees up valuable truck space and improves available weight for customers to outfit the truck with the necessary jobsite equipment.

To address range anxiety, Altec designed a Low State of Charge Alert. This is an audible and visual alert that notifies the operator in the aerial of the current state of charge. The alerts can be configured to sound at a certain level of charge, and it can also be sounded on demand to check the current charge. This feature allows operators to confidently complete their job and return to the garage.

How Do I Get Started?

Altec is here to be your partner in electrification planning. Our Green Fleet and chassis teams can serve as your electrification experts and help you map out the future of your fleet. To learn more about how Altec’s solutions can help electrify your fleet, speak with your account manager today or visit www.altec.com/green-fleet.

Need Help? Please contact us at 1-877-GO ALTEC, option 1.

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Altec Inc.

210 Inverness Center Drive
Birmingham, AL 35242-4834
Phone (205) 991-7733
Fax (205) 408-8601

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