What is the break even point for an owner operator?
#31
09-05-2008, 02:32 PM
Re: What is the break even point for an owner operator?
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by BigDiesel
Originally Posted by charged
Lets take an owner operator that has the following monthly expenses:
authority ? taxes ? .07 cpm maintenance ? .13 cmp other? .25 cpm truck and trailer payment $2000 insurance $700 phone $100 internet $50 load boards $100 no tolls no oversize loads no parking figure gas at $4/gal and mpg at 6mpg including idle time wishful thinking. figure he runs 8k miles/month Does he plan on only working local? Wages (Rookie driver) .335 cpm (because he owns the truck) What does this driver have to make per mile to break even? I can add it up for you. Let's say the expenses are $2950/mo(expenses for which I have costs listed) plus $5333 fuel. He only needs to make $1.04/mile. I have no idea if $0.13 if valid for maintenance, but I have nothing else so I can go with it. Other is pretty high at $0.25/mile. What are you including in that figure? Adding $1.04, $0.13, $0.07, and $0.25 I get $1.49. $1.825-$1.49 = $0.335 Where did you get the other $0.335 from? Quit wasting peoples energy.
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#32
09-05-2008, 02:32 PM
Re: What is the break even point for an owner operator?
Originally Posted by marylandkw
Originally Posted by charged
Not interested in any of those things except maintenance. Mortgage, life insurance, IRA, and health insurance are not mandatory to operate the truck.
#33
09-05-2008, 02:35 PM
Re: What is the break even point for an owner operator?
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by BigDiesel
Originally Posted by charged
Lets take an owner operator that has the following monthly expenses:
authority ? taxes ? .07 cpm maintenance ? .13 cmp other? .25 cpm truck and trailer payment $2000 insurance $700 phone $100 internet $50 load boards $100 no tolls no oversize loads no parking figure gas at $4/gal and mpg at 6mpg including idle time wishful thinking. figure he runs 8k miles/month Does he plan on only working local? Wages (Rookie driver) .335 cpm (because he owns the truck) What does this driver have to make per mile to break even? I can add it up for you. Let's say the expenses are $2950/mo(expenses for which I have costs listed) plus $5333 fuel. He only needs to make $1.04/mile. I have no idea if $0.13 if valid for maintenance, but I have nothing else so I can go with it. Other is pretty high at $0.25/mile. What are you including in that figure? Adding $1.04, $0.13, $0.07, and $0.25 I get $1.49. $1.825-$1.49 = $0.335 Where did you get the other $0.335 from? Quit wasting peoples energy. What does the $0.25 include?
#34
09-05-2008, 02:38 PM
Re: What is the break even point for an owner operator?
Originally Posted by charged
Originally Posted by marylandkw
Originally Posted by charged
Not interested in any of those things except maintenance. Mortgage, life insurance, IRA, and health insurance are not mandatory to operate the truck.
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#35
09-05-2008, 02:38 PM
Re: What is the break even point for an owner operator?
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by BigDiesel
Originally Posted by charged
Lets take an owner operator that has the following monthly expenses:
authority ? taxes ? .07 cpm maintenance ? .13 cmp other? .25 cpm truck and trailer payment $2000 insurance $700 phone $100 internet $50 load boards $100 no tolls no oversize loads no parking figure gas at $4/gal and mpg at 6mpg including idle time wishful thinking. figure he runs 8k miles/month Does he plan on only working local? Wages (Rookie driver) .335 cpm (because he owns the truck) What does this driver have to make per mile to break even? I can add it up for you. Let's say the expenses are $2950/mo(expenses for which I have costs listed) plus $5333 fuel. He only needs to make $1.04/mile. I have no idea if $0.13 if valid for maintenance, but I have nothing else so I can go with it. Other is pretty high at $0.25/mile. What are you including in that figure? Adding $1.04, $0.13, $0.07, and $0.25 I get $1.49. $1.825-$1.49 = $0.335 Where did you get the other $0.335 from? Quit wasting peoples energy. What does the $0.25 include? And..exactly why would you not include driver wages for break even? Do you actually believe the IRS is gonna let you go without paying wages?
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Space...............Is disease and danger, wrapped in darkness and silence! :thumbsup: Star Trek2009
#36
09-05-2008, 02:46 PM
Re: What is the break even point for an owner operator?
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by BigDiesel
Originally Posted by charged
Lets take an owner operator that has the following monthly expenses:
authority ? taxes ? .07 cpm maintenance ? .13 cmp other? .25 cpm truck and trailer payment $2000 insurance $700 phone $100 internet $50 load boards $100 no tolls no oversize loads no parking figure gas at $4/gal and mpg at 6mpg including idle time wishful thinking. figure he runs 8k miles/month Does he plan on only working local? Wages (Rookie driver) .335 cpm (because he owns the truck) What does this driver have to make per mile to break even? I can add it up for you. Let's say the expenses are $2950/mo(expenses for which I have costs listed) plus $5333 fuel. He only needs to make $1.04/mile. I have no idea if $0.13 if valid for maintenance, but I have nothing else so I can go with it. Other is pretty high at $0.25/mile. What are you including in that figure? Adding $1.04, $0.13, $0.07, and $0.25 I get $1.49. $1.825-$1.49 = $0.335 Where did you get the other $0.335 from? Quit wasting peoples energy. What does the $0.25 include? And..exactly why would you not include driver wages for break even? Do you actually believe the IRS is gonna let you go without paying wages? As far as the $0.35/mile is concerned. I'm pretty sure most newbie OTR places are only paying newbies with no experience $0.25.
#37
09-05-2008, 02:51 PM
Re: What is the break even point for an owner operator?
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by Orangetxguy
Originally Posted by charged
Originally Posted by BigDiesel
Originally Posted by charged
Lets take an owner operator that has the following monthly expenses:
authority ? taxes ? .07 cpm maintenance ? .13 cmp other? .25 cpm truck and trailer payment $2000 insurance $700 phone $100 internet $50 load boards $100 no tolls no oversize loads no parking figure gas at $4/gal and mpg at 6mpg including idle time wishful thinking. figure he runs 8k miles/month Does he plan on only working local? Wages (Rookie driver) .335 cpm (because he owns the truck) What does this driver have to make per mile to break even? I can add it up for you. Let's say the expenses are $2950/mo(expenses for which I have costs listed) plus $5333 fuel. He only needs to make $1.04/mile. I have no idea if $0.13 if valid for maintenance, but I have nothing else so I can go with it. Other is pretty high at $0.25/mile. What are you including in that figure? Adding $1.04, $0.13, $0.07, and $0.25 I get $1.49. $1.825-$1.49 = $0.335 Where did you get the other $0.335 from? Quit wasting peoples energy. What does the $0.25 include? And..exactly why would you not include driver wages for break even? Do you actually believe the IRS is gonna let you go without paying wages? You stated the truck has been running for the last two month's. YOU haven't figured out what the basic operating cost's are? You think wages aren't a portion of basic operating cost's? If you can not get a base operating cost from what has already been paid and you think wages are not a part of basic operating...get the hell off the road! People like YOU are why freight rates are so cheap. BOY....Go home! Your beginning to bother me!
__________________
Space...............Is disease and danger, wrapped in darkness and silence! :thumbsup: Star Trek2009
#38
09-05-2008, 02:59 PM
As far as the $0.35/mile is concerned. I'm pretty sure most newbie OTR places are only paying newbies with no experience $0.25.
The other posters here have been trying to give you good advice but you just won't listen. They have YEARS under their belt and know of which they speak. In short: They can't give you the answers to your question because you are not asking the RIGHT QUESTIONS to begin with. :roll:
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#39
09-05-2008, 03:02 PM
Re: What is the break even point for an owner operator?
Originally Posted by Orangetxguy
What sort of BS game you running Sport?
You stated the truck has been running for the last two month's. YOU haven't figured out what the basic operating cost's are? You think wages aren't a portion of basic operating cost's? If you can not get a base operating cost from what has already been paid and you think wages are not a part of basic operating...get the hell off the road! People like YOU are why freight rates are so cheap. BOY....Go home! Your beginning to bother me! Second, why include wages in the base cost of operating a truck? The point of this is to figure out what it costs to have a truck on the road. IMO, the best way to do this is to add up what the base costs are. It is not to figure out how much one can make or should make. Those can be added in later.
#40
09-05-2008, 03:08 PM
Originally Posted by Ridge Runner
As far as the $0.35/mile is concerned. I'm pretty sure most newbie OTR places are only paying newbies with no experience $0.25.
The other posters here have been trying to give you good advice but you just won't listen. They have YEARS under their belt and know of which they speak. In short: They can't give you the answers to your question because you are not asking the RIGHT QUESTIONS to begin with. :roll: I have no real experience driving a truck yet I have a CDL class A with several endorsements. I found no one to hire me for more than $0.25/mi. I have an excellent job history, no wrecks or accidents, and no history of drug use. You're right. They won't give me an answer because I am not asking the question in the way they want me to ask it. It is a simple question, "What is the base cost of operating a truck using the information in the first post?" |
