My numbers as an O/O leased to Crete

Really? Where did that definition come from? Just curious. Wonder if all those little mom and pop retail stores (whats left of them), Insurance Brokers (like myself), and other small businesses would agree with that? Should someone tell them (and the IRS) that they are not considered a business?

 

How do you figure? I am seeing $68K on 137K miles. Tracking $.50/mile. I'll give him credit. He is working hard for it.

 

He adjusted his numbers in the post. See the note. Still, he's doing very well as far as I see, but I'm no expert.

 

JD, have you decided if you are going to trade the IH in for a new truck, keep it and run debt free, or go with the glider kit? I have been on the Fitzgerald site looking at their inventory, seems all they have is new Corronado's with the DD motors.

Very interested to know your thoughts on those kits, they seem more expensive than I had thought, but I am not as informed as you are.

Thanks, good luck.

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John, thanks for this great thread and sharing you information so freely!

This is great information for anyone considering a lease. You went through some tough times in the industry and your numbers prove that planning and management will see you through.

I personally appreciate the numbers because they are helping another forum member and myself in the development of a spreadsheet for calculating cost of operation.

 

Thanks so much, John. What a great idea to post here for all to see. I thought you would be okay with it, but decided to take a private approach to asking the question.

This is much closer to the numbers I was generating than the 2008 figure (0.064 CPM or 4.7% of gross) you shared with us. Based on your 2010 miles, which I have as 142,026 that is about 0.094 CPM and does not include state income tax since you live in Texas. It would also include less depreciation, since if I remember correctly; it was your last year on the tractor depreciation schedule.

I have my Missouri portion calculated at 0.033 CPM and my federal at 0.127 CPM for a total of 0.16 CPM. In my business model my profit was close to yours but miles were less, running with my own authority. In addition, I planned to use my depreciation in a more creative way and have less for later. Also I should mention, I’m an expert at padding my projections to insure that I can make them.

I doubt most drivers looking to become an owner/operator have figured 4.7% (your 2008 actual), 7.4% (your 2010 actual) or 8.1% (my projected amount) of gross revenue for tax liability. That is from 0.064 – 0.160 CPM depending on the business model and depreciation available.