Rev.Vassago= quick word with you and fellow HHG haulers
 

I have seen in recent posts that some of you are working around 7 months per year and making 150k plus per year. I was wondering what are you hauling, and are you out for those 5-7 months steady? Or do you guys get back to ''home-base'' on a timely schedule.

Reason I ask is that I am signing on to a company that hauls for SYSCO foods and I always leave my options open.

Re: Rev.Vassago= quick word with you and fellow HHG haulers
 

We move people's stuff from one house to another. Unlike the other guys, I usually stay out 1 1/2 - 2 months at a time, and then go home for at least 2 weeks.

Last year I drove about 55,000 miles, and made just over $182,000. I had 16 weeks of home time (I was off all of September, and all of December). My shortest period of home time was 2 weeks.

I also have more expenses than a regular freight hauler. I spent over $40,000 last year on labor. My claims are pretty decent, so I only had about 2.1% claims ratio last year, which equates to about $6000 - $8000 in claims. That is pretty low for the amount that I hauled (I hauled about $475,000 in gross linehaul last year, and about 2.1% of that $475,000 in linehaul resulted in claims).

About half our money comes in the summer months - from the end of May until the beginning of September.

It's a whole lot of work, but it can be rewarding if you know what you are doing, and can manage your money.

What made want to do HHG Rev?? Money sounds good, but seems like more headaches than anything else.

It is a lot of headaches at times, but I think it is more rewarding than regular freight. You get to work more hands-on with the customers, and they appreciate the job you are doing for them. I hated bumping docks, and didn't care for dealing with shippers and receivers that could care less if I lived or died.

But, the tradeoff is more paperwork, more hassles, and more costs. You have to be EXCELLENT at customer service (and hand holding) to do HHG. It isn't all about lifting heavy sofas.

Something I have wondered about the HHG business.

Does interest rates play a big part on how much HHG freight there is to move? Has HHG freight picked up in the last couple years since interest rates have been lower and will the freight fall off a bit since rates are going back up? Or does it really not have much effect on the freight?

Yes they do. The housing market has entered a slump, and loads are down from last year. This particular slump is supposed to last until 2009, at which time the loads will likely pick up.

A lot of it has to do with the economy in general. If the economy is slow, then companies aren't relocating people as much.

Our rates don't decline, though. They are set by the government. Discounts do increase, though, but I am protected against that with the lease I have with my company.

Wow, 40k in labor? Does this or Did this come off the top??? or did your company pay this.

I have/had the impression that you hauled electronics/ trade show type freight.
I was thinking about the same type of work because like you said, you need to be very good with people. I have been told that I am very good with people, but the down fall was the schedule that you keep. I would imagine that being out on the road for that amount of time would contitute a whole new stratagy.

This comes out of my pocket. Actually, after speaking with my accountant today, the number was more like $35,000.

I don't do it, but some HHG haulers do. It doesn't pay as well as HHG, and it is greater mileage. I would rather drive less.

It takes some getting used to. If you aren't patient, then this business isn't for you. It requires a greater amount of patience than you could ever believe to deal with it. But the payoff can be worth it.

Not sure why, but I'm convinced I could find my niche with the good o'l dry van, and make similar money with *ahem* slightly higher mileage. But HHG has always apealed to me. But I'm thinking just for the money... and I've found out sometimes the money just isn't worth what ever agravations you may face on a day to day basis.

How does one get in the biz rev? Me as an example, 6+ yrs behind the wheel, with no HHG experience at all.

You could try North American Van Lines. I think they have a training program..... as far as I can tell by looking at their web site. Don't know what they're like to work for though.

Unfortunately, unless you are able to haul something that every other dry van can't haul, then I think finding a niche pulling a dry van are slim to none, unless you find a shipper who will lock you in with a contract for a killer rate (not likely to happen).

This business eats guys up, and spits them out. It isn't easy.

Some carriers will let you in the door, some won't. I know that Graebel requires at least 2 years HHG experience, with a certain amount of verifiable linehaul, and a minimum of claims. Others, like United and Atlas and Allied, may let you in. Remember, though - if one of those agents turns you down, another agent for the same van line may accept you. United and Atlas and Allied all use independent agents.

That's were i'm positive, confident(hopeful). Goal is to get connected with a shipper that ships more exotic freight, not sure who or what, but know when the time is right I'll find them. (and yes... legal exotic loads :lol: )


I could imagine. For what it's worth, moved cars for 1.5 years. Did this while living and working in the NE area. Cold winters, frozen gloves 9 vehicles, 5 of them being SUV'S... Not saying HHG is any easier, been not shy of getting dirty/sweaty/sprains etc etc.


There's nothing worse then going backwards in pay, but if the pay off is worth it as it appears, it'll be an option I leave open to myself to consider. Thanks for the info


seems the spell check is gone.. any one using an updated ver of FireFox should see red lines underneath misspelled words.. select word, right click and you should see a list of suggested words.

hey Rev.,never asked you this before,do you do any of the unloading yourself or do you concern yourself more with the inventory and packing type stuff?.
I know that if I was gonna spend that much on labor I would hope I could keep my "lifting" to a mininum.

When first arriving at a shipper's home, I do my inventory. I can do an entire house in about 1 1/2 - 2 hours. Then I stay in the trailer, doing loading. My labor brings stuff to me. If there is something in the house that I know is going to be tricky getting out, then I am on one end of it. If something is going to be damaged getting it out of the house, I want to be responsible for it (as I can probably prevent it from happening).

Rev, how is your labor handled? Is it like a temp service that you pay for at a flat rate and they handle taxes and workers comp? Or are they on Graebels payroll. Do you have control over how many guys you get to do the job, thereby controlling the labor cost?

Also, on other threads I believe you mentioned your not incorporated. That's a lot of 1099 money, I'm wondering why your accountant doesn't have you do an S-corp? Only you and your accountant know your business and situation so I'm not questioning why your set up like that but, I'm wondering how he makes it work for you.

I save money on social sec tax with my S corp but, as you know, I'm in construction, trucking might be different.

How long have you been a O/O? and how long in HHG?

If we have an office somewhere near where I'm loading or unloading, I call our office for labor. If we don't, I call another moving company that is nearby. The labor I hire is responsible for their own taxes - they are "technically" not employees. The labor receipt I supply substitutes a 1099 for them. Most of them are not on Graebel's payroll, but are just kept in a "labor pool" by Graebel for contractors that call for labor. I supply workman's comp insurance for the labor.

I always have control over how many men I hire, and, if I know the area, who I hire.

As a single truck O/O, there's really no reason for me to form an S-corp. I manage just fine as a sole proprietor.

I bought my truck in June of 2005, and I was in HHG for about a year and a half before that. I've been driving since 1997.

How does that work? Do you carry a workers comp policy? What's the percentage for movers anyway? just curious. For me in construction doing drywall and interior walls and ceilings it's 9%. My brother in law is in roofing, it's 63% :shock:

Yes - I have to carry a workman's comp policy for the labor (which frankly sucks). Why I have to carry a workman's comp policy for labor that is technically not even an employee is beyond me. I've argued it until I was blue in the face to no avail. But, my contract states that I must keep a policy active.

I believe it's about 10%. I'd have to call my insurance agent to find out for sure.

Remind me never to go into roofing. :lol:

REV.

I was wondering is there a fixed price for the labor u hire? also does your truck have to be a certain color? why did u choose your company over the other HHG companies out there? just curious

thanks jermaine

I don't blame ya, I wouldn't like that either. I guess their saving money by making you assume the risk, especially at 10%. Do a lot of guys get injured on the job?

We are required to pay at least $12 an hour, with a 4 hour minimum, plus one way travel to the job site. I usually pay $15 an hour, and no travel time.

Yes. At Graebel, the truck has to be at least 80% white, and the only other colors allowed (other than in the lettering) is red and blue. Most of the other HHG companies also have requirements as to the truck color. Some are not as strict as others. Graebel is very strict. We get our trucks photographed twice a year to make sure we are complying.

A lot of it has to do with reputation. Graebel is considered one of the more "exclusive" van lines. Their I/C requirements are a lot stricter than many of the other van lines.

Graebel also has discount protection, which I believe none of the other van lines has. About 87% of our moves are corporate contract moves, which helps to guarantee a better stream of work. A lot of the other van lines rely more on COD moves, which can fluctuate greatly.

All in all, I am happy with Graebel, and doubt I would switch to another van line. I've talked to many Graebel I/C's who left for other van lines, and returned soon afterward.

Yes and no. I've had guys get injured, but I've only had one try to file a workman's comp claim on me (luckily, he didn't supply a valid name and SSN on his labor receipt, so he couldn't prove that I had hired him).

The business is very rough on the body. You don't see many old movers. To be honest, I don't really know how many years I'll be able to do this before I won't be capable of working so hard, and will have to rely on my labor more. The more I rely on my labor, the higher my claims ratio will likely be.

Funny you should say that, when I first started in construction (age 17)I was a drywall hanger, and while I got really good and fast at it, and made good money piece working, I never saw any older guys doing it. I knew I had to get smarter or suffer the consequences. :lol:

Well, I don't know about you, but for me trying to transition from working everyday with my tools on beside my guys, to more of a management position even if only a few days a week, is hard. I guess it's kind of a part of you that's hard to let go, just doesn't feel right. Good luck to you on that one, it might be totally different for you though.

Definitely true.


How are the claims handled? do you pay out of pocket or do you have insurance to cover it? Also, what if someone files a claim after your gone, who follows up on that to make sure there's no fraud? and who has the burden of proof so to speak?

Since this is about bedbuggers, how in the world do you get those huge sleepers in some of these residential areas? I've been in some with a 28 ft pup and little city truck, trying to not run over the shrubs and see a bedbugger with the apartment style sleeper in there and no tire marks in the grass?

We have a claims department that deals with them. A customer files a claim, and a third party service is sent out to inspect the item. If the third party service determines that the item was likely damaged by us, then it is up to the claims department to determine who was responsible (for example, a vase that was packed by the packing crew is broken, but the carton is undamaged - the packing crew is responsible for the claim). If I am found to be responsible by the claims department, then I have several chances to dispute the claim. The first dispute, it is re-looked at by the claims department. The second dispute, it goes to a committee that makes a decision. The third dispute, it goes to the head of the claims department, who makes a final decision that cannot be overturned.

If I am found liable, then the money is taken out of my account. Fraud with claims is rampant throughout the moving trade, but there are measures in place to try to keep it at a minimum. From time to time, we get customers who file claims on the same items every time they move. Since we keep records of the claims, it is pretty easy to stop those.

Very carefully. :lol:

Since we do it all the time, we know the tricks to getting in and out of tight spaces. I've put my truck into some very tight spaces - to the point that I had difficulty getting out. If a residence is just plain impossible to get into, we shuttle everything with a U-Haul type truck. The guys who have the monster sleepers claim that it isn't too much harder to get in and out with them. After all, the difference between my 70" sleeper and a 140" sleeper is less than 6 feet. You'd be surprised where you can put a big truck with a little imagination.

Thanks for answering the questions Rev. If you're ever in the Baltimore area let me know, crab cakes on me. 8)

REV.

Thanks alot for the information. I was wondering does Graebel train I notice looking at there site that some of the agents are looking for O/O and trainee? IF they do what would be in the training?

thanks

I honestly couldn't tell you. Your best bet would be to call the agent.

One more thing Rev, how long is it from delivery to payment on that load?

With Graebel, I've got my money about 72 hours after they receive my paperwork. Sometimes a bit sooner, sometimes a bit longer (it all depends on the corporate account, and whether the load is being audited).

So, if I deliver on Monday, and send the paperwork in that evening before UPS picks up, I'll have my money probably by Thursday some time.

Thank you for bringing back some nightmares for me. Wish I would have taken some pictures of where I had to put that orange budbug trailer :D .

Now days some of my stops maybe tight but I do fit, by inches :D .