New and have ???

[jcu]

I have been going through this forum and a few others and looking at all the companies out there that will train or take new grads. It seems that the pay can vary from .27 to .35 and then you have some that do a % of the load. How do you choice? I know it's a lil easier to narrow down some b/c they just are not in it for the driver or they just are not hiring. It also appears that everyone has an LP. The way i see it is if you want to make money you should have your own truck right. I know there are a lot of you here that say not to LP and i see your point. What would be the advantage of buying your own truck and being a O/O instead of the LP? How many miles can you put on a truck before you really start to have problems with it? Can anyone give man some insight to Prime.inc and there LP. Is it a decent deal? There % they pay is 72% of the line haul.. How do you figure out what your really making per mile? I am new and have lots of questions. I hope you all can help me, I'm sure I will have more..
Thanks

[Rev.Vassago]

It also appears that everyone has an LP. The way i see it is if you want to make money you should have your own truck right. I know there are a lot of you here that say not to LP and i see your point. What would be the advantage of buying your own truck and being a O/O instead of the LP?

1. Most Lease Purchases have you paying far more for the truck than it will ever be worth. The contracts are designed to favor the carrier rather than the driver.

2. Even if you manage to complete a lease purchase (which rarely happens), you'll then own a truck with high miles that you overpaid for.

3. When you lease purchase, you are at the mercy of the carrier. If they don't want to give you enough freight to cover your expenses, they don't have to. They will still charge you rent on the truck though.

4. Most carriers that offer lease purchases pay very little. Even the ones that offer percentage are not necessarily any better because the rates can fluctuate greatly.

[Uturn2001]

2. Even if you manage to complete a lease purchase (which rarely happens), you'll then own a truck with high miles that you overpaid for.

That is assuming it is a true lease purchase which many are not. Many of them are actually only leases with the option to purchase the truck at "fair market value" after completing the lease.

Beyond the points already made another HUGE disadvantage to doing a company LP is that 99.9% of the time you MUST keep the truck leased with that company until you have actually purchased it. When you buy a truck outright and if needed finance it through an outside source (bank, credit union, etc) you can take the truck anywhere that will accept it and you. That way if you find yourself not making it at one company you can always switch.

The way i see it is if you want to make money you should have your own truck

Yes and no. The POTENTIAL is there for a bigger payday, but like any investment the risks are higher also. There are many company drivers, when it is all said and done, who actually end up taking home as much if not more than an O/O does.

As far as how to choose between a cent per mile or percentage pay plan there is no easy answer, especially for a company driver. Like being an O/O the potential is there for bigger paychecks with a percent deal but likewise there is also a bigger risk of coming out on the short end of the deal if the company you are working for hauls a lot of cheap freight or does a lot of dead heading as most percent pay structures do not pay anything for empty miles. Like most things in this industry it really comes down to the company and how well you and it mesh.

[ct77]

I would definitely recommend starting out as a company driver, this will give you a good idea of all the variables you will encounter as an o/o. Just starting out learning to drive,plan and live on the road is hard enough on some people without all the additional burdens of paperwork,budgeting and chasing freight.

[Biscuit Lips]

^^ Good advice. I would seek employment as a company driver starting out in this industry. You never know, you might not even like it once you get out on the road. Would hate for you to sign some sort of contract and then decide OTR trucking is for the birds. Good luck and stay safe.

[Kevin0915]

right now my plan is to go O/O by August. but that all depends on if i can get a truck financed thru a 3rd party or not.

My biggest issue with LP programs, is that the company will try putting you into a truck that is 2 years old, and still charge you a 'new' price. I was at the Phoenix terminal, and the had about 7 trucks all lined up, a couple with "LEASE ME" signs in the window. Every one....EVERY ONE, was atleast 2 years old. They have the plastic on the seats, they are very well detailed, etc. But they forgot to remove the IFTA stickers, and every one had a 2007 and 2008 sticker.

Problem is, companies love this....you lease the truck....end up in it for 6-8 mo. decide to get out....you give back the truck....your 'investment' is lost, you have nothing to show for your hard work, and the company cleans the truck up and pawns it off on another eager driver wanting to go O/O as a 'new' truck. And the price is exactly the same. Companies make hand over fist......

Hence the reason i want to not have any ties with the company as far as the payment of the truck goes.

[jcu]

I just wanted to say thanks for all the info.. I have another one. What do you think about Prime inc. and TMC

[Biscuit Lips]

I wouldn't work for either one, but that is just me. You really do not hear many good things about Prime, I would presume, having never worked there, that they are just your run of the mill OTR trucking company.
Now TMC, on the other hand, has all their drivers saying how splendid the company is. Maybe the chrome pipes have them is some sort of euphoric daze. J/K Seriously, they would probably not be a bad company to start out driving with. TMC seems to be very safety minded which is beneficial to entry level drivers. Nice trucks, as well.

[Uturn2001]

Unless TMC has changed their training program they would be a good company to start out with if you are wanting to learn the ins and outs of flatbeds.

One thing about TMC though is if you are the type of person who does not like to keep their truck or themselves neat and clean don't bother. They are big on appearance.

[Rev.Vassago]

2. Even if you manage to complete a lease purchase (which rarely happens), you'll then own a truck with high miles that you overpaid for.

That is assuming it is a true lease purchase which many are not. Many of them are actually only leases with the option to purchase the truck at "fair market value" after completing the lease.

And please, pray tell, explain how you're not overpaying for the truck in that scenario?

The terms of the L/P rarely matter. I have yet to see one that was worth it.

[Cardog17]

This is prolly the best trucking froum I have read !!! straightforward and honest answers. i am taking so many notes, and it will help me once I finish cdl school next month.

[GMAN]

Most lease programs have very high truck payments. In addition you are responsible for all maintenance and other expenses just as you would had you purchased the truck out right. You can purchase a truck and spend less on payments than if you lease a truck from one of these carriers. It will usually require you to have a down payment and decent credit. Most will also want to see from 6 months to 2 years driving experience. The longer you have driven the better. You can buy a decent truck for less than $20,000, probably less with today's economy. There is no reason to spend $50,000 or more on a truck starting out. If you opt for the less expensive truck you will have a much lower payment which will be more easily managed than a big payment. That can help when we are in a down economy such as now. A good used truck won't depreciate as quickly as a newer one with very low miles. Buying a less expensive truck means that you can more easily make those payments or pay it off early. You can buy a good used truck and have a monthly payment comparable to what you would spend per week on a lease truck. One other thing. Most of these carriers who offer lease trucks have cheap freight. Don't make the mistake so many before you have made. You want to be an owner operator so badly that you are willing to do anything to achieve your goal. Save your money and either wait until you can pay cash or put a good down payment together. You will also want to put money aside for any major repairs. Keep in mind that you can have a major breakdown whether you have a new or older truck. If you don't have the funds to make the repairs you are out of business.

[Douglas]

I would not own my own truck because then you are responsible for your own maintenance, and unless you have experience in being a mechanic, it could get expensive to have to hire one.

[jcu]

I just wanted to tell eveone that gave me there input THANKS SO MUCH I hope I run into you all some time on the road. You all have been a great help and I can only hope that there are more guys out there like you all.

[choperbob]

try gettimg a couple of years exp. first, then decide if you really want the headache of being o/o. learn what freight you like to haul, what equipment is best fr you, what area of country you want to run. learn the basic maintaince for the truck you gonna buy, find a good mechanic you are happy working with. buy all the extra equipment you will want and need to make life on the road comfortable now while running as company driver, when you become o/o it will be harder to find that extra cash for those toys. truck repairs are not cheap. i paid $800. for a 2001 freight shaker oil pan last year, i am sure if i had an extra vehicle and the time i could of gotten it for less than $100 at a wrecking yard, but, i never had a breakdown when sitting at home. i was loaded and broke down in louisanna along side i20, so i also paid $400 for a tow, all done it cost around $1600. just 1 example of repairs you need to do right now, not later. get some exp and learn the ins and outs at the companys expense. good luck

[GaBoy]

Hi everyone, i'm a long time reader,but a new member. I live west of atlanta out near six flags i'm having to start over since the remodeling business went south back in 07. I attended TDI down in forsyth ga back in march and finish school on april 10 th. I have orietations with werner and roehl,but leaning toward roehl.Ialso talk to recruiter @ swift here in atlanta and they are in a hiring freeze.I've heard and read to many things about werner and swift,but not much on roehl.Anyway just wanted to say hi !

[GMAN]

I don't recall any negative comments about Roehl. We have had a few members who have worked for them. As far as I can recall they are a decent company. You can do a search on the board and see what pops up.