What would you do if you had no truck payments?

[tracer]

My 2004 truck is going to be paid off in December 2010. It'll have around 500,000 mi. I'm thinking of hiring a driver and becoming a home-based dispatcher/load broker with own dry van trailer and authority. I played with numbers and it looks that even with 1 driver it's possible to stay home. What do you guys think? I understand the truck will run out of warranty at the same time (2010) but I'm taking good care of it and don't expect severe problems. I'll govern the truck to 60 mph and look for a driver who can drive SLOW. Any comments?

[Rev.Vassago]

My 2004 truck is going to be paid off in December 2010. It'll have around 500,000 mi.

Do you actually drive that thing?



Rev; shouldn't talk. His 2004 only has 210,000 miles on it right now, and will be paid off in July of 2010.




To answer your question, just don't use the fact that it is paid off to justify taking lower rates. Personally, I plan to run mine for a few years beyond the payoff date, then sell the truck and get out of trucking completely. I'll be able to stash away the $25,000 a year I was paying in truck payments, plus the sale price of the truck (minus all applicable taxes, of course), and I'll probably use the money to go back to school, since by that time I will be debt free.

[BigDiesel]

Well you are going to need to pay a minimum of 40k to 50k a year to get a somewhat decent driver..... Won't be enough left over to make it worthwhile IMHO.

[GMAN]

It is difficult for two people to earn a decent living from a single truck. The problem comes in when something breaks. No driver will take the same care of your truck as you. If you do get a driver in your truck I suggest you keep a close eye on it. Some do a better job of staying on top of pre-trips, check fluids, etc., than others. There have been times when I have had drivers whom I thought were taking care of my equipment, checking fluids, doing proper pre-trips, etc., only to find out they were likely not even checking the fluids on a regular basis. If you do proceed with your idea I would make sure to get the truck back in about every couple of weeks or so and give it a good check. It is your money on the line. It is only a job to most drivers. If you only have a single truck it is usually best to drive it yourself. I can give you some real horror stories about drivers. I have had both good and bad. The bad ones can break you. If you plan on having drivers you should count on buying several trucks. If you have a major breakdown with one truck you are out of business until you repair or replace it. With several you can keep your business and income going.

[BigDiesel]

I use the rule of " Odd Numbers " for equipment.

i.e. as GMAN stated, 1 truck that goes down is not making any money, if you have two trucks and one goes down, then one has to make enough for two. If you have three trucks and one goes down, the oher two can can make up the difference.....

[Rev.Vassago]

The only solution is to have 3000 trucks.

[BigDiesel]

The only solution is to have 3000 trucks.

Thats an even number.....

Now go back to listening to your Clay Aiken collection......

[GMAN]

BigDiesel is correct. Odd numbers of trucks seem to work. For instance, 1, 3, 5, 7, etc., seem to make money. Even numbers seem to have a problem making it work, at least in the small number of units.

[Rev.Vassago]

The only solution is to have 3000 trucks.

Thats an even number.....

Now go back to listening to your Clay Aiken collection......

Okay, fine. 3001. Happy?

[rank]

I'd like to see these numbers that allow 1 Ontario based dry van to make that much money. A kinda figure each truck would make $10,000 a year so you need about 5 trucks.

But I like to plan on the conservative side.

[DaveP]

I thought that once you didn't have a truck payment you graduated to "hobby trucker"... :?

[Rev.Vassago]

I thought that once you didn't have a truck payment you graduated to "hobby trucker"... :?

Nope - not in the really real world you don't.

[Ridge Runner]

I don't have any truck payments........ but I'm not an O/O either :mrgreen:

[merrick4]

Get a GPS unit or Qualcom device. I don't care even it is for one truck, well worth the money to know where and what your truck is doing at all times.

You need to be able to watch everything. Just today I asked the driver about his recent spike in idling. He said he was leaving it on at night so as not to drain the batteries as he has been parking on the side of ramps and leaving the lights on.

I told him the APU has a battery watcher which he didn't know about and I'm quite sure he will now cut the idling as he has been great so far.

Point being watch your stuff closely.

[GMAN]

The qualcomm people have a smaller unit that you can purchase for about $1,600. It has the gps and will do your fuel taxes for you. One thing I like about qualcomm is that you can check idle, speed, location, etc., and change it remotely if you wish. I am not sure you can make those changes on the smaller unit, but at least you know exactly where your equipment is located. With what is doing on today it is important to be able to get real time feedback on your investment. I have been thinking about investing in the qualcomm for a while. The main reason for me is twofold. First, it would enable me to keep track of my equipment. Second, it would automatically do my IFTA for me using gps. All the driver needs to do is put in the gallons and where fuel was purchased. The system does the rest. I believe the monthly fee is about $45/month.

[heavyhaulerss]

I never thought about putting a driver in my truck. it would never have lasted 10 years & over 1.1 mil miles if I did. governed at 60.. it will be hard to get a driver used to that. all he'll think about is where he could be if the truck went a lil faster. after paying off the truck, wouldnt you want to run balls to the walls & make as much as you can while having no payments? I think you would make more & have less stress doing just that rather than putting a driver in it. just my opinion.

[BigDiesel]

Let's put it this way..... I wish that I did not need employees....

[solo379]

It is difficult for two people to earn a decent living from a single truck.

Well, you are being modest. I'd say it's impossible, unless second person is your wife.... :wink:

[tracer]

I never thought about putting a driver in my truck. it would never have lasted 10 years & over 1.1 mil miles if I did. governed at 60.. it will be hard to get a driver used to that. all he'll think about is where he could be if the truck went a lil faster.

I took a 12,000 lb load from Ontario to North Carolina and did 58 mph all the way. When I refuelled I was happy to see that I did ... 7.7 mpg! (US gallons, naturally). I showed the number on a piece of paper to the guy standing next to me at the counter of this truck stop and he said, "I don't care ... it's not my truck... I drive 80 all the time".

So, I agree - it does look almost impossible to find someone who'll be treating the truck the way I do. Maybe paying them a percentage of the revenue (instead of mileage) might help to make them slow down? Say, 35% of the gross for dry van..

[tracer]

t is usually best to drive it yourself.

It looks like this is what I'd have to do. I want to do less miles and work less, while maintaining the same quality of life.