Finally, there are few who understand Accounting 101 & Business 101.

 

rank- Well, $15,000 dollars is nothing to sneeze at...

According to your numbers, you recouped your entire investment in 2006 based on $23,000 a year. So now your free-rolling.

If I were in the same position, I would be looking at my P & L next January and asking, "What has my net before tax profit been on that truck over the last 6 years, and if I add $15,000 to that amount is it more than what I would have earned in a money market account?

Not trying to single you out , rank. Your numbers look pretty accurate and they make a good example!

 

You know I account for all of that. I have it all entered into Quickbooks but as I'm only out here 2 months, how do you guys break it down per mile? I don't know how many miles I am going to run this year. I'd like to know my operating costs though.

 

Don't get me wrong...I'd rather have it than not have it. But if you add it back into the equation on the plus side, it lowers my cpm by less than a penny a mile.

That truck was paid for years ago. When I "ammortize", I estimate the # of years that we are likely to have the truck and use that as the ammortization period. That T2 has a 475 Cat that seems lazy as a pig and everything is shaking like crazy....we'll probably trade it soon on something else (NOT a $120,000 truck if I have my way).

I've never done that simply because the convenience factor of having our own trucks outweighs any savings that may come rom using an outside carrier. But, for giggles, and to hold myself up for riducule by the esteemed members of the board, I'll make an (weak)attempt.

I estimate what I would've paid an outside carrier $900,000 to run 300,000 loaded miles in 6 years......so we saved $900,000.

The truck cost $100,000 (after deducting the $15,000 present value). Add in $40,000 for mait (it was only a year old when we got it)+ $200,000 for driver + $350,000 for fuel + $60,000 for ins = $700,000. So the $100,000 truck made approx $200,000 over 5 years.

Single away. It bothers me not.

 

I use my IFTA miles but you'll need to estimate. If your cm is too high, just run more miles.
8)

 

It's going through inspection now geomon, then to a shop for service, I'll post pics as soon as I can. I never take pics of my trucks without at least two coats of wax.

 

[quote="merrick4

You know I account for all of that. I have it all entered into Quickbooks but as I'm only out here 2 months, how do you guys break it down per mile? I don't know how many miles I am going to run this year. I'd like to know my operating costs though.[/quote]


Mine (cpm) fluctuates from year to year and last year was a bit high b/c I was doing some major rebuilding before, stupidly, deciding to buy a new truck... I know my averages from years past and have a pretty good range to work with.

If you only have 2 months, it would be hard to get a good look at a full year b/c of seasonal fluctuations, holidays etc... It is a start, particularly if your freight doesn't fluctuate greatly.

 

...got ta git her looking purty before having her shake a leg at us eh :P

 

You won't be able to be entire accurate in your operating costs, but you can certainly calculate your current operating costs. You will have a much better picture after a full year of operating. Right now, you have 2 months of operating costs. At least it is a start. Just take all of your expenses, deduct from your total revenue and divide by the total miles you have driven. I prefer using odometer miles. You should have written down your initial odometer reading when you bought the truck. You can look at it now and see exactly how many miles you have driven. If you do this each month for a while, you will begin to get a better picture of your actual costs.

 

LMAO.......yep gotta be purrty! :lol: