How To Figure Out Operating Costs...

[chris1]

You should be careful mixing personal and corporate money. It could cause your corporate status to be challenged. If you constantly mix corporate and personal expenses you could be considered a proprietorship if someone wanted to challenge you, such as the IRS or some legal eagle. I have had corporations for well over 30 years. Most have been set up with the S election.

I didn't mean that you could write a check for your house payment from the coporate account,just that you can take any amount of money at any time for yourself.(S-Corp) It has to be adjusted at the close of year.

[SickRick]

I didn't mean that you could write a check for your house payment from the coporate account,just that you can take any amount of money at any time for yourself.(S-Corp) It has to be adjusted at the close of year.

My house payment (err., back when I was actually MAKING ONE), my child support and medical expenses were (are) actually one of the ONLY THINGS I used my personal account to pay. My corp pays EVERYTHING and I let the accountant figure out the percentage of personal use - then the corp issues ME a W-2 at the end of the year and makes a payroll tax deposit to cover withholding & SS.

Once I get out on the road - I am likely going to take the "per-diem" approach, with the company paying me a fixed amount daily for "expenses", and take whatever is left the end of the year as a "bonus" - of course, with the company paying the cell phone, health insurance, truck payments/expenses and basically everything else - EXCEPT my rent. Percentage of "personal use" (which will be minimal, since every day you're on the road and everything is pretty much business use) will be adjusted by my accountant at the end of the year - just like he's done for every other business he's done my accounting for...

Rick

[chris1]

My house payment (err., back when I was actually MAKING ONE), my child support and medical expenses were (are) actually one of the ONLY THINGS I used my personal account to pay. My corp pays EVERYTHING and I let the accountant figure out the percentage of personal use - then the corp issues ME a W-2 at the end of the year and makes a payroll tax deposit to cover withholding & SS.

Once I get out on the road - I am likely going to take the "per-diem" approach, with the company paying me a fixed amount daily for "expenses", and take whatever is left the end of the year as a "bonus" - of course, with the company paying the cell phone, health insurance, truck payments/expenses and basically everything else - EXCEPT my rent. Percentage of "personal use" (which will be minimal, since every day you're on the road and everything is pretty much business use) will be adjusted by my accountant at the end of the year - just like he's done for every other business he's done my accounting for...

Rick

I was just using that as an example. An S-Corp is an extension of yourself(or extension of the stockholders) There is no restriction on the amount of money you take personally through-out the year. You can "change" your "payroll" on a daily basis if you choose to,un-like a C-Corp.

[Hawkjr]

I appreciate the help.. for the past few days i've been checking the load boards daily looking for loads that leave out of Virginia and goes else were and try to simulate going into a good freight area or good rates going into a bad area..

I want to do flatbed and really nothing else... is it better to buy a step deck or a flat bed??

also i might be in some kind of luck about buying a truck but have some doubts... There's a old Peterbilt that this guy has about a 89 to a 91 359/378/379 and its been sitting for a few years now.. I was thinking about going to ask did he want to sell or get rid of it and pay to get the truck Restored/Parts Replaced... I actually loved this Truck when i was a kid, The guy who drove the truck use to haul logs with my dad and they would have a Peterbilt convoy with these other two guys lol... See i always liked this truck... Any Suggestions??

[RostyC]

I appreciate the help.. for the past few days i've been checking the load boards daily looking for loads that leave out of Virginia and goes else were and try to simulate going into a good freight area or good rates going into a bad area..

I want to do flatbed and really nothing else... is it better to buy a step deck or a flat bed??

also i might be in some kind of luck about buying a truck but have some doubts... There's a old Peterbilt that this guy has about a 89 to a 91 359/378/379 and its been sitting for a few years now.. I was thinking about going to ask did he want to sell or get rid of it and pay to get the truck Restored/Parts Replaced... I actually loved this Truck when i was a kid, The guy who drove the truck use to haul logs with my dad and they would have a Peterbilt convoy with these other two guys lol... See i always liked this truck... Any Suggestions??

Yes I have a suggestion........... BE CAREFUL with buying that old truck. Look at it very closely and ask for all the maintenance records. I bought an old truck (1984 359 Pete) and I've put a lot into it. Some I did on my own and some because I had to, it couldn't wait.


I'm not saying it's a bad way to go just be prepared for some extra maintenance the first year.

[Hawkjr]

Yes I have a suggestion........... BE CAREFUL with buying that old truck. Look at it very closely and ask for all the maintenance records. I bought an old truck (1984 359 Pete) and I've put a lot into it. Some I did on my own and some because I had to, it couldn't wait.


I'm not saying it's a bad way to go just be prepared for some extra maintenance the first year.

VERY VERY VERY AWARE lol...

[Flying W]

Hawkjr.....You were looking for a way to calculate your costs. Go to the OOIDA website, and use their spreadsheet to calculate cpm. It'll at least give you an indication for your expected expenses. It is one method of looking at your expenses, and as Allan stated there are others.

Figuring Cost Per Mile - Owner-Operator Independent Drivers Association