He is making a lot more money with me helping him look for loads than paying the load planner lady 10%, which I previously thought was 5%.

The only bills he has to pay out of the truck money are the truck and trailer note, insurance, licensing, taxes, and maintenance. I don't know how he is going to go out of business. If he only averages $1.70/mi. He is making $1.00 after fuel and that easily covers all his expenses.

 

He should be making better than expenses. Lot's of experience available on the board.

I am an advocate of having a balance of Shipper's and Broker's to work the trucks.


Those 4 companies I posted where all companies that we direct billed to, with the longest "pay" at 20 days.

 

So he pays himself nothing. Interesting business concept.

That list is missing a lot of items.

 

O.K. for the record. I do not have my own authority & do not deal with with brokers. I have a dispatcher & I am on a dedicated run. sooo .. my heavyer loads do pay me more & are worth it to me.

 

Post a list of his ongoing business expenses so I can understand what his expenses are other than what I posted. I don't keep track of his expenses or every load he runs or his miles.
$2000/mo truck and trailer
$700/mo insurance
Cell phone and internet $150/mo?
Getloaded and ITS $70/mo?
truck maintenance ???
???


I don't know why he is going to sell his truck off. If he runs approximately 9000 miles a month and grosses approximately $1/mi after fuel how does that not cover his expenses. I don't know where you guys come up with $9000 a month in expenses.

edit.

I added up the actual miles he ran this week. He loaded late on Tuesday and stayed home that night and left Wednesday.
Total miles he will run before he drops his current load on Tuesday morning are 1961. He will have invoices for $3675. Gas is averaging $4/gal. He is averaging 6mpg right now. So that gives him $2368 for the week for the truck. Minuse $500 truck/trailer payment and $175 for insurance that leaves him $1693. What other expenses does he have that add up to $1693 for the week?

 

Fixed Expenses / Mo 9000/mo 9000/mo
Equipment per month per mile
Tractor $2,000.00 $0.222
Trailer $0.00 $0.000
Licensing/Permits $167.00 $0.019
Federal Use $46.00 $0.005
Bobtail Insurance $0.00 $0.000
Collision/PD Insurance$330.00 $0.037
Liability Insurance $700.00 $0.078
Health care $450.00 $0.050
Worker Comp $0.00 $0.000
Retirement $0.00 $0.000
Ph/fax/internt/ldbds $250.00 $0.028
Office $100.00 $0.011
Tax/legal $80.00 $0.009
Software etc $35.00 $0.004
TOTAL FIXED $4,158.00 $0.462
$228.69

Variable Expenses / Mo 6mpg
Fuel(/Taxes/Fees?) $6,000.00 $0.667
D/H Fuel (10%) $0.00 $0.000
Reefer service?? $0.000
Reefer fuel?? $0.00 $0.000
Taxes (road, use, fuel, fed) $162.00 $0.018
Food $360.00 $0.040
Truck Wash $100.00 $0.01
Servicing (P/M) $180.00 $0.020
Lrg Repairs(escrow) $630.00 $0.070
Tires(escrow) $270.00 $0.030
New truck(escrow) $0.00 $0.000

Driver Pay $3,150.00 $0.350
Benefits? $0.000
Worker comp? $0.00 $0.000

Total Variable $10,852.00 $1.206
ROI (12% on $130K) $0.00 $0.00
TOTAL COSTS $15,010.00 $1.67

 

It's very subjective on how you break up things and can make it look a
lot worse then it is. Not picking on you Geoman. I'm assuming you ran that off some program on OOIDA or something.

Lets say you don't do the driver pay thing and just figure what it costs you to run just the truck. Instead of $1.67 we are now at $1.32 in your scenario.

My cargo/liability/collision is $5,700 per year.

My health care is $330 per month

My tax/legal is $200 per year

Not sure what the office fee is but I sure as heck don't spend $100 per month. I may buy some paper and ink once in a great while. Oh yea, a Bic pen too.

No monthly software fee for me

Ph/fax/internet is $149

Not sure what the Taxes (road, use, fuel, fed) are. My IFTA is some times anywhere from $1.20 to $200 per quarter but I sure as heck don't spend $1,944 per year. I pay NY KY and a few others but no where near that amount.

My plates are $1,200 per year

The tires are also a little high. I don't buy 1 tire a month which $270 would buy. I may buy a trailer tire every 2 to 3 months and 8 drives every 3 years or so.

The large repairs is very subjective also and you can go for quit some time without any major repairs. The most I've spent this year has been an injector, harness and splitter. Most everything else has been elective and not mandatory.

So, in my case I'm pretty close to $1.00 per mile and at an overall average of about $1.90 it's good.


Fixed Expenses 9000 month

Licensing/Permits $125.00 $0.013
Federal Use $46.00 $0.005
Collision/Liability/Cargo Insurance $330.00 $0.037
Liability Insurance $475.00 $0.052
Health care $338.00 $0.037
Ph/fax/internt/ldbds $149.00 $0.016
Tax/legal $17.00 $0.001

TOTAL FIXED $1,480.00 $0.164


Variable Expenses 9000 month 5.8 mpg $4.10

Fuel(/Taxes/Fees?) $6,362.00 $0.076
Taxes (road, use, fuel, fed) $83.00 $0.009
Food $360.00 $0.040
Truck Wash $100.00 $0.01
Servicing (P/M) $180.00 $0.020
Lrg Repairs(escrow) $416.00 $0.046
Tires(escrow) $180.00 $0.020

TOTAL VARIABLE $7,681.00 $0.853

TOTAL COSTS $9,161.00 $1.01


I have no plans of buying another truck and have always been a firm
believer in fixing what you have and keeping up with it. There is
no reason my truck can't outlast me if I wanted.

3,000 miles per week at $1.90 brings in $5,700. Now you
can run in a high density area doing 300 to 500 miles per
run at maybe $3.00 if your lucky on a regular basis or you
could count on the 3,000 at $1.90 for sure.

I've run the 300 to 500 mile runs and it sucks. Your lucky to
do 3 a week.

Monday 08am get on the boards for a load.
10am find a load
12am paper work done and rate conformation
02pm at customer site waiting
03pm starting to load
05pm done loading and tarping and shipping papers in hand
Spend rest of night fighting traffic and finding a spot
to park and most likely have to pay also.

Tuesday 08am start driving lets say 400 miles average 51mph
05pm Get to customer site. They stopped at 3pm

Wednesday 08am waiting with 3 other trucks in front of you that
were there yesterday
01pm unloaded
03pm Found another load
05pm Paper work done for next load but day is done
Spend rest of night fighting traffic and finding a spot
to park and most likely have to pay also.

Thursday 08am Drive to customer site to load
09am Pull in. Find out 5 other trucks spent the night
03pm Loading
05pm Done loading
Spend rest of night fighting traffic and finding a spot
to park and most likely have to pay also.

Friday 08am Start driving lets say 500 miles average 51mph
05pm Get to customer site. They just stopped for the day
Spend rest of night fighting traffic and finding a spot
to park and most likely have to pay also.

Saturday Wake up in truck stop jammed. Hookers and people wanting to
shine your wheels and homo's on the CB. 100 degrees and
the smell of
urine, septic systems overflowing and rotting trash in the dumpsters
fills the air. Take shower in the worst stall you can imagine with
pubic hairs stuck to your feet and a towel that looks like a shop
rag. Worry the rest of the day that your truck doesn't get hit or
vandalized.

Sunday Pretty much the same

Monday Up early to make it to the customer to be first in line. Big
surprise, 10 other trucks had the same idea or spent the
weekend there.

Total for week. 900 miles and gross $2,700. Ready for Prozac and
Valium.


OR

Monday Load on Monday and drive every day for 500 to 600 miles.

Saturday Pull into truck stop in Little America Wyoming with birds
singing, roast chicken on the spit, marble shower stalls
that are bigger then your house.

Sunday Wake up late, watch porn all day and text Bandit stupid
messages.

Total for week. 3,000 miles and gross $5,700.


You can argue that the fuel costs are much less with the 900 mile week but in the end your going to gross more on the long hauls. The wear and tear on your truck is much more in the city then out on the open road and chances of being hit are also much greater in the congested areas.

I'm sure many of you can see from my posts how happy I am most of the time. I think that's a clear indication of the type of driving I do and the areas I travel in. I call that priceless.

 

Ignorance is bliss and your numbers, as usual, are BS.