What is your operating cost per mile (poll)?
Discussion in 'Ask An Owner Operator' started by kay_ray, May 11, 2022.
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Have you tried some salmon?
He'll be more than happy.Dadetrucking305 and Dave_in_AZ Thank this. -
You can know all your operating costs and that's good for you to know.
The question is how does that help you? They could not care less about your operating costs, as neither do you about theirs. You cannot expect to be able to persuade everyone else not to haul cheap (according to your definition of it).
There are 3 things you can do by exercising the operating cost knowledge in response to slow rate times on the spot market:
1. not to be delusional about how much real money you make, as what is left after fuel and tolls might be only half of what will remain in your wallet,
2. stay home
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3. have the power to beat the spot market rates - it is up to you to come up with your ideas of how to accomplish that. If you can't, remember, it is the market that tells you what you can haul it for, and you don't get to dictate the market what it will pay you. Certainly, your individual operating costs won't be any argument taking into consideration.
Let's imagine, hypothetically, that we come up with a stern and very anti- free-market paradigm law of not allowing anyone to haul below a certain rate per certain mileage range...for instance like this:
$2.55 under 3000 miles,
$2.75 under 1000 miles,
$3 per mile under 500 miles runs,
$5 per mile under 200 miles
You'd lose your authority if you are caught hauling for less than that...Do you think it would help out the situation? I think no because you would not leave home for weeks on end before it would be your chance to find work. On the other hand, if this were the method, perhaps after a long enough time, when service failures and work ethic would become more exposed, those loads would be granted only to those with enough credibility which with the current system is offset by below premium rates.
Is a broker based somewhere in Ohio, going to grant that load, remember it cannot go for less than $5 on a short run, to the op here or that dude with a broken English, who does not know his numbers? On the surface, it seems obvious that the latter is at a lost position here but...$5 per mile might be still too cheap OR will be too cheap soon enough. That's because there is only one common fraction of the operating costs: fuel and tolls, perhaps tires - anything else is too fluid and too diversified, starting from equipment loan cost, ending on truck parking rent.GYPSY65 and Rideandrepair Thank this. -
Sometimes it’s good to leave a cushion on your cost by having extra put away for those random costs that pop up every now and again that aren’t typical.bumper Jack, sawmill, BoostedTeg and 10 others Thank this. -
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Regulating rates would do nothing to curb guys running cheap. Hawaii still regulates trucking for obvious reasons. If you want to start trucking you have to go before the PUC with a sponsor and show that your services are needed. Hourly rates are also regulated depending on the job. There are a bunch of things you have to do, like submit an equipment inventory every year, and there are still companies that undercut each other just to get the work. All they do is fudge their time cards to make it appear they’re working for the established rate.
bumper Jack, Oxbow, Dadetrucking305 and 7 others Thank this. -
Oxbow, Dadetrucking305, Another Canadian driver and 1 other person Thank this.
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We got lucky, made it home from Carlisle, 500 miles for $1200. Got delivered today, empty for Monday. Nice light 12 pallet partial. Lot of Loads out East. Most are too cheap. Just got home. Trees are blossomed, and grass needs cutting.
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