Help with some basic Start-up questions
 

Hey guys, me and my Paw are looking to get a truck. (We have a business that requires several OTR loads a year) We are looking to do our own freight, plus pick up some backhauls. I'm doing all the number crunching, but I feel a bit like a 14 year old boy the first time he gets a girl naked. I'm real excited, but kinda bumbling....

1. I'm figuring 5.5 mpg @ $2.70 gallon. This comes to .49 cent per mile. Sound about right?

2. I'm also figuring about .35 cent per mile for a driver. Is this low/high?

3. About miles, how many miles can an OTR driver put in a year? Is there a "legal limit" per year? And what would be average per year?

4. What other operating costs do I need to figure in per mile? If I figure .49 for fuel, and .35 for salary, that's .84 cent a mile. Is that realistic? Is it low or high?

Thanks.

By the looks of your post when you said "several loads per year"...that to me didnt seem like the driver would be moving constantly. At 35cpm for the driver to make a good living, he would need to be taking loads all the time. If you are just looking at a couple a loads a month or less, I dont think that would be near enough money to attract a driver. Unless you found some part time guy that doesnt want to work much.
If you are only looking loads every two weeks or something, maybe you should get your CDL and take the loads yourself. Might be a good way to save money.

Here is a few sites to help you figure your operation cost.

http://www.truckershelper.com/operationscost.php

http://www.peterbilt.com/index_our_too_cst.asp

No, my driver would be on the road constantly.

I should have been more clear. 25 weeks out of the year will be dedicated strictly to our business. That leaves 27 weeks that I will find loads to back haul. I plan on keeping a driver busy.

You are missing a whole lot of things from your figures.

Fuel and driver wages are only two of many.

You operational costs will also include

Truck payment
Trailer payment
Truck maintence
Trailer maintence
Truck insurance
trailer insurance
cargo insurance
worker's comp
plates and permits
communications
fuel taxes
and the list goes on.

Originally Posted by Uturn2001:
You are missing a whole lot of things from your figures.

Fuel and driver wages are only two of many.

You operational costs will also include

Truck payment
Trailer payment
Truck maintence
Trailer maintence
Truck insurance
trailer insurance
cargo insurance
worker's comp
plates and permits
communications
fuel taxes
and the list goes on.

Don't forget Lot Lizzard$

why do you want to buy your own truck??? you think your going to make alot of money with it. YOu are better off just keeping it the way it is. hire the trucks when you need them alot less B.S. There is alot of B.S. that comes with owning a truck. the number 1 problem is fineing a good driver. best of luck to you but i would really think this over. What type of buss. is this by the way??

Originally Posted by Uturn2001:
You are missing a whole lot of things from your figures.

Fuel and driver wages are only two of many.

You operational costs will also include

Truck payment
Trailer payment
Truck maintence
Trailer maintence
Truck insurance
trailer insurance
cargo insurance
worker's comp
plates and permits
communications
fuel taxes
and the list goes on.

No, I have figured truck payment, trailer payment, truck and trailer insurance. Those are my OWnership costs. In other words, those are costs that I will have to pay even if the truck just SITS there in the lot. I'm only concerned with OPERATING expenses.

Of these, I would like to know more about plates and permits, fuel taxes, and truck and trailer maintainence. Those are three that I am completely in the dark in.

1. What are fuel taxes? This is on top of fuel expenses? Please explain.
2. Truck and trailer maintainence - What's a maintainence schedule for a big rig?
3. Plates and permits - What and which??

Mackman, thanks but no thanks. You're about 90,000 statements late in being the first person to tell me just what you said. All I'd like to hear is some hard facts and figures from the experts, which are you guys as near as I can figure. I'll decide for myself (and the facts will help me) if this is worth it or not.

If I've learned anything in my short life, it's that I should never listen to naysayers. If I had, I would not have gotten married, I would not have had kids, I would not have left my pie $25 an hour UNION job (which I hated) to work with my dad's small business (which I love)

Not trying to p#ss you off, buddy, but you don't know squat about what I think about getting in the trucking industry. I just refuse to be swayed by biased, obloviaters, or opinion.

I prefer the facts.

bryant1380

Good answer to Mackman. It is up to you for it is your choice. i had the same bad attitude towards me on another board.

Least your looking into it, getting the facts and asking questions. That will go along way in making it.

Just remember in being an Owner operator, there will be more headachs than a Company Driver, MOre work in it than just pointing the truck in the right direction. But you seem to have a good handle on it.

I wish you luck and safe travels.

Originally Posted by :
1. What are fuel taxes? This is on top of fuel expenses? Please explain.
2. Truck and trailer maintainence - What's a maintainence schedule for a big rig?
3. Plates and permits - What and which??

Fuel taxes: These are based on how many miles you drive in each state. Since each state has a different tax rate the amount of tax you pay at the pump may or may not cover how many miles you have driven in that state or others.

Plates and permits: This will depend on what and where you are hauling freight and also what you are hauling it in.