another lease question
 

What about going to a class 8 truck dealer and leasing just a power unit to pull your own trailer instead of buying the truck. Anyone have any success with that? I have all the loads I want, id just like to have a newer ride under warranty but dont want to shell out 125 grand for the priveledge. Is a truck lease in that fashion reasonable for a one man operation, or is it just feasable for larger fleets? I guess Im comparing it to my personal vehicles [ 06 pontiac g6 and an 06 ford f-150] both leased, the payments were alot cheaper than buying them on a 4 or 5 year loan.

I used to rent a truck from penske or Ryder during the summer to pull my agent's trailer for HHG. It works great in the event of a breakdown, having the permits/plates paid, and maintenance. It is costly, however.

PacLease (division of Kenworth) offers this too. I own now, because you save in the longrun, but in the short term, its a good deal if you aren't pulling for $1.20/mi or less.

You made reference to having two leased vehicles. The payments are cheaper, so if you can't afford to buy a new vehicle, I guess that helps out some. But, something you have to think about is that you are throwing that money away on "payments"...basically to borrow someones car, and throw thousands of dollars away, only to turn around and give the vehicle back again down the road and be out of pocket on that money. Or, I guess you could always turn around 5 years later and finance that $25k balloon payment on a vehicle that cost only $32k brand new. Leasing is a waste of time and money, if you're too broke dick to afford payments on a cheaper older truck, then you don't need to be in this business at all..it's only going to spell disaster.

who said I was too broke to afford payments? Im doing just fine thank you, im actually paying 3 times what my loan is on the pete each month. On a personal vehicle, how can you say your throwing thousands away on a lease, when your doing the exact same thing if you buy the vehicle on a 5 year loan, because the depreciation will devalue that vehicle to practically nothing if you ever do get it payed off. Ive leased all my personal vehicles for several years and love it. I figure if your always going to be making a payment on a vehicle and want to keep it fairly new and under warranty, then have as cheap a payment as you can get, run it till the warranty is about out, then toss it back to the dealer and grab another one. I was always taught to buy what appreciates in value, lease what depreciates. My opinion. And I hope you didnt call me a dick in that last response...lol

The difference is you get to write off you depreciation when you buy, and you don't when you lease. So, while the payments are comparable, the lease company takes the depreciation to the bank while you pay a prime amount for the equipment.

I didn't call you a dick.


What's the difference between leasing for 5 years, vs. financing? Well....after 5 years with a purchase y ou OWN the vehicle....if you lease, you turn the vehicle over...or you have a HUGE balloon payment...you're lmited to mileage, you pay for any scratches, burns on interior etc.

And, please...don't try to tell me how high and mighty you're living...I don't want to hear your channel 19 story about how much shit you've got.

It doesn't make good business sense to lease a big truck. Frankly, I don't think it makes sense to lease a personal vehicle either. You are basically throwing money away and will have nothing to show for it at the end of the lease. My niece just turned a leased car back in and a few months later got a bill for $6,000. I believe they settled for about 1/4 of that amount, but it was a waste of money. Had she made payments she would have had equity in a vehicle that she could have traded in on a new car, or had a vehicle that was paid off, if that is what she wanted. There are a number of things which can be included in a lease that costs big bucks at the end if you are not careful. I have looked at leasing and ownership. It is rare that leasing makes sense to the small operator.

I leased/rented because I was in it for the short term. Key words- SHORT TERM of 3 months per summer.

Gman and Teal are 200% right! Its throwing money away. And as i mentioned, the tax benefits aren't there if you lease. the lease is tax deductible, but the depreciation factor isn't. Its a great way to get into a clean, dependable truck, but its not the ideal setup for a long term trucking operation :lol:

And, please...don't try to tell me how high and mighty you're living...I don't want to hear your channel 19 story about how much $&!+ you've got.

Wow....why the attitude? Im not trying to give a song and dance about my financial situation, you were the one who referenced about me being too broke to afford payments. I guess my question really boils down to whether you can put a price on peace of mind, having a vehicle under warranty all the time, if you take pride in your ride and dont destroy the vehicle..[scratches, burns, excess mileage, etc.], the money you save on the payments over time can be off earning interest or doing something else you need it to do. As far as a commercial vehicle, I see your point as far as a strictly monetary sense. My life doesnt revolve around how much money I can make, its more about being happy, secure, safe, and doing the things I like to do without worrying about unexpected pitfalls, Not everything in life comes down to $$$$.

Originally Posted by bibnflannel:
I guess my question really boils down to whether you can put a price on peace of mind, having a vehicle under warranty all the time, if you take pride in your ride and dont destroy the vehicle..[scratches, burns, excess mileage, etc.]

Excess mileage? That's a good one. I seriously doubt that T95 is worried about excess mileage. :roll: