Question about pricing

Snafu, as you know, you'll get the "New Canadians" from Brampton to do cartage work in the GTA for $50 an hour all day long.

Just don't expect any professionalism, any equipment that looks like it's been washed or maintained or a driver that's qualified. That costs more.

 

Or someone qualified to care for and handle the product safely on the trailer.

Sad part is mgfg is that rate of $50 an hour, does not provide the money needed to operate and maintain safe road worthy equipment.

Let alone pay for a professional driver that would perform the duties properly.

 

I'm with you brother!

 

If you drive the truck for 50 / hr how could you not keep nice equipment!?

Even if your paying a driver 22 / hr to drive it you can still come out ahead.

You guys, I tell yeah.

 

You're being facetious on all accounts right....

 

Really?

Do tell please... I'd love to hear how you do the impossible.

Because I'm hoping mgfg was correct in that you are being facetious...

 

Lets break it down

50 / hour ( with FS added into that number ) x 10 hour days = 700 per day

Paying a driver at 22 / hour x 10 hour day = 242

Based on MY city insurance rates I pay right now it comes out to 1800 / year
1800 / 52 working weeks / 5 working days = 7 per day to insure
The truck ruffly eats 250L / week so about 50L per day @ 1.05 per L = 52.5 for fuel

So far we have 301.50 per day for the truck to run

Now we have to add in maintaince per month which I usually do about 10% soooooo 70

So to run my truck I pay out 371.50 per day with a profit of 700 leaves me about 328.50
( yes I forgot CPP and EI but lets just take off an over inflated 150 for that )
178.50 at the low end of the scale for pure profit.

Not to bad for doing nothing?

...... I'm lost how you can't make money with a truck making $50 / hour

 

Add in plates, WCB, health benefits for employees, office/whse costs, how about taxes, bookkeeping/accountants, your salary, trailer payment/maintenance, incidentals, money set aside for deductibles and major repairs

You seem to have forgotten a few items...

 

I don't know what you're insuring for $1,800 a year but that won't insure much in my part of the world even doing city cartage work. Is there a non-owned trailer policy also? If so, for what amount?

 

I don't recall all his details (we've had this discussion before), but IIRC it is a single axle, GVW ~30,000 lbs, so a BIG difference from OTR with GVW at 39,500-63,500 kg.

I wouldn't even start the truck until the discussion is north of $125/hr. Most work I am doing now is around $165-185/hr.