What to buy with 150k

New truck will have problems to my company bought 3 2018 389 new with cummins in it he just sold the last of the 3 not long ago to many problems with them one caught on fire and the other 2 stuff I don't remember the drove one a couple month ago for a little would have to add oil and coolant atlest one a week It seem like. It had around 350k mile on it I think

 

that old 379 with 5.5 mpg will save you more money than you would ever imagine compared to buying some new used junk as a owner operator. You have lots to learn little whipper snapper. 379 doesnt leave you stranded on side of road and hefty tow bill to shop where when it leaves you will still go into limp mode for same problems and run you broke. When a 379 leaves you stranded its becuase it threw a rod or snapped a crank.
EDit, I keep forgetting how the years are passing buy and how few far its is to find a roadworthy 379. Alll in all, its a tough game to be in to invest 150-200k as a new owner operator OTR. Good luck on your decision

 

I’ve had old trucks, middle age trucks, and new trucks. I will never ever go back to buying used. Between fuel economy and uptime, it’ll pretty much pay for itself. Fuel is only going to get higher with the Biden administration.

There is no way an older truck getting 5.5 can compete closely with someone get 7.5 to 8.5 mpg. Unless it’s special application like heavy or short haul.

The problem is to get your own authority and a down payment on insurance, your looking at a good $15,000 so you really need more then 150k even if you rent a trailer.

Truck wise I’m a fan of Kenworth. Get a 2022 KW T680 with an efficiency Cummins X15 engine. Endurant 12 speed auto trans and around 230 to 232 inch wb. Starting in July they are building a new mid life update which has an updated aero package, LED headlights, and all new digital dash.

This model is supposed to get another 5% better mpg on top of what my 680’s are getting.

That would be my advice. Instead of 150k, bump it’s to 200k and do it right with your own authority and new van trailer. However, build times are way out right now so you better get started now trying to find dealers with open build slots that you can adjust the specs on and get going ASAP.

Edit: Also buy the Cummins extended warranty out to 500k. It’s only a $5000 investment, or $5500 with tow added.

 

If your not handy, or part time mechanic. Buy new with warranty. If your a good wrench and don't mind the troubles of a sheetbox. Buy old.

I do all my own work and couldn't sleep with what a new truck payment would be. But that is what makes me comfortable. Everyone is different.

I am a truck mechanic turned owner op. My old truck has almost broke me a few times. But the rest have been great.

 

Keep the company gig, invest the money in rental property and hire a management company to ride the tenants. With equity and rental income, plus tax advantages, you will have a better return on the investment.

 

OMG. yeah ill never do that again. REnters have rights. Credit check turns out ok. Then they start not paying rent for 2 years, then you cant evict so they continue to live rent free, Then damages to house. After the nightmare is over, you get awarded by the courts, and you still will never get paid back. Yeah thats a great idea. Been there. SOld properties to never go back. Thats great idea if you are a big shot builder. Better advice for this kid is to just be a working man and work. Get out of company driving over the road and learn a real trade and get paid.

 

50,000 lottery tickets and put 100,000 in the bank. The millions that you win buy an already established company and pay someone competent to run it.

 

Seriously if he has 150k cash. He should see a professional, recommended investment firm. Put 75k to work making 25% and budget, struggle with 75k to start a trucking company. Will be hard, but about the best advise.

 

i assume he went to bank and thats the amount they offered for bussiness loan.