What should be an owner operator net income per year?

$1,242,137.22

 

There are "company drivers" making 100k+ with decent benefits, 401k, healthcare, days off, and such.

Industry is too cut-throat for me to ever venture into buying a truck of my own racking up debt, worries, headaches, and such.

To all the true owner operator out there I salute you. I say true O.O. cuz I'm not counting all the fleece purchase and such that tell me they owns der own tawuck and made $165k last year off of $.95/mile.

 

The important thing is to break up the words 'owner' and 'operator' into separate roles and figure out what they should be worth.

Operator is what you get for being a truck driver. That's based on how long you've been in the business and what your services are worth working for someone else.

Owner is what's left over be it positive or negative. This is what you get for owning the equipment, buying the gas, taking out the loan, paying the insurance, and doing all of the rest of it. If you're really good at this part you'll be getting out of the cab to take this piece of more trucks sooner rather than later if you're ambitious.

Personally I think the average O/O probably should make ~80k. I think there should be O/O's making -100k a year (IE rapidly losing all their money) and O/O's making 200k+ if they do something super specialized and have basically cornered a market. These 200k guys often could have made 150k for being an operator though... They just leveraged how rare their skills were to demand a strong owner result as well.

 

The number your looking for is in most accounting slang Is one of the following; adjusted net, triple net or post net.
It just depends on your accountant.
Bottom line that would be the money you get to keep and put in the bank for your personal enjoyment.

Gross revenue is a totally different number. And really thats what its all about.

 

I don't care if make less or more. I go where I want, I haul what I want, I'm home every night, and I take off whenever I want.
Having those options is Priceless

 

A perfect example of why splitting the roles is important. The pro's and con's of the operator role are just that. A substantial part of it is the intangibles.

 

My first year as an independent my freight rate is calculated to pay myself 105k

 

about tree fitty....

 

Question depends on the combination of location, cost of living & the market served.

Netting 80k in LA, TX, AL, MS is probably equivalent to netting 120k in NY, PA, CT, CA, etc.

Then whars good for van might be substandard vs flatbed, and what flatbed charges might be substandard to double drop specialized.

Then factor in your home-time, life attributes, fulfillment, learned skills, freedom. Then this question becomes an algebra equation real quick.

 

It all depends on how hard you want to work and what kind of personal and family life is important to you. Anywhere from $40k to $200k could be realistic.

So to be honest,.. there is no clear answer. Different people become O/O for different reasons. Money is not the the common denominator.

I do very well,.. I go out for extended periods and work hard when I do go out. But all said,.. I only work 32 - 38 weeks a year. There is no one size fits all answer.

Hurst