How do you o/o for ~$1/mile?

Though I just looked and their FSC for the week of April 13 is only $.42....seems a bit light; I get that and more for my straight trucks.

 

There probably pocketing 30% of the Fsc

 

It is not $1 a mile it is $1 a mile plus FSC. Maybe getting you in the $1.40-$1.50 range. Still very low.

If you are leased to a company that pays mileage they are setting the FSC based on a formula to keep things even. Some accounts they get better than that, others worse and at times nothing. But the person leasing always gets it. The carrier is taking the risk so it stands to reason that they will be creating an FSC formula based on worse case. That is called smart business and the O/O is making a business decision to reduce the risk by taking a fixed FSC. More risk, more reward.

 

Your right, fuel alone is $.50 a mile, and my FSC covers just about all of that. Now how does that dollar look? Still not top flight, of course, but also not some poverty wage kind of thing. And my base plate is reimbursed, I get roughly 30-40 cents a gallon discount off the cash pump price, etc, etc, etc. I love these myopic postings.

 

well, like the OP said, is he missing something (as i said that too) and from what you say, we are missing something - the discounts you mention, the base plate covered....if you expanded on that a little more, we would understand more...he and I were both asking how it's done and you've gone a little way of explaining it, thank you. Do you get discounted insurance as well? All those things matter....appreciate any further input you can offer, like maybe who you're with?

 

Im leased to FCC, I make .97cpm plus fsc right now at .48cpm, empty .83cpm.y I get very generous fuel discounts. I pay for my own plate. They cover ifta, insurance discounts due to fleet size. Parts and tire discounts near 20%. I average 1500-1900 a week to the house before tax. Its not big money, but it is livable. Im looking to go too Mercer an pull flats, same discounts and better load rates.

 

I did it...$.85 plus $.40 fsc... First truck .... Pulling auto freight on a dedicated lane in the midwest...netted about 6k a month after trucking cost...it got my feet wet and allowed me to learn somethings while running under someone elses authority....would I do it now? No, because I know better... But I cant lie it was a good stepping stone and I didn't starve...everybody doesn't drive off the showroom at $3.00+ a mile ... Also I didn't have huge overhead so i used it for what it was and WALA!! Look at me now

 

Yes, for me, insurance is more reasonable, if you think that $2.36 per $1000 in truck value for physical damage is a good deal. And $6.93 a month for bobtail insurance is reasonable. There really is no way you are going to meet those kind of figures on your own. And if one really is a bean counter on the other stuff they can control, they can keep the costs down substantially to make the net come out better on lease on type of revenue. For instance, I have my truck averaging in the mid to high 7's on fuel mileage. That saves a chunk right there.

I am with FCC.... Fremont Contract Carriers, like Pound Puppy. My average take per mile is a few cents more than his, probably because we are doing different things here. I pretty much keep myself within a 500-600 mile radius of the house. Shorter pays better.

Just took a look at my average cost per mile on my year-to-date total spreadsheet (I run several multi layered relational spreadsheets) and it comes out to .83 per dispatched mile since January 1. Everything including health insurance (which I have on my own outside of the carrier). Average revenue per mile for the year is $1.47 per dispatched mile. That includes loaded miles, deadhead miles, bonuses, detention, stop off pays, etc. For a net of .64 a mile. Won't compete with Donald Trump, but not living on peanut butter sandwiches either. And not bad when you consider I get home every weekend, I get by the house at least once a week and usually more, and I take a minimum of two weeks off a year.

Sure, given the right situation, a person can do better on their own. I chose to stay with the lease on gig for now given the idiocy of the economy. Right now it is more stable being with leased on. And with the goofy stuff that FMCSA keeps throwing our direction, that also makes it simpler to stay with a carrier for now.

 

i think the original post wasn;t so much leased contract but loads on boards actually paying 1.00 a mile ....when i booked my own freight i saw that all the time going to california and that crap moved off the boards quick made no sense to me either

but at 94 cpm with a fsc paid loaded and mt ....i average 3 percent oor miles fuel cost first quarter with discount was at 54 cpm maint a little high as i bought 8 drive tires sat right at 18 cpm and freight volumne was light for the first quarter normally i maint runs 9 cpm ......
now my carrier covers ifta plates tolls scales and load locks only thing i pay is 240 a month for ins and 12 a month for prepass so i pocket around 70 to 80 cpm depending on fuel ie my right foot and maint before taxes ....so it can work at 1.00 i;ve been meaning to figure out what the loaded mile rate would be if i divided total revenue by only loaded miles but i;m just far too lazy

 

These guys seem to take good care of their o/o's. Is there anything they don't pay for?


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