I have noticed over the past 3 months that I am making more and spending less on hauls under 600 miles than I am on hauls 1200-1500 miles. I love the long haul but it seems less profitable now. Is that the way the industry trending or is it just locations I have been in? Some of the locations are Chicago, Dallas, Indy and Atlanta. Just curious and looking to pick someone else brain. Thanks, Big Mike
Long Verse Short Hauls.
Discussion in 'Ask An Owner Operator' started by BigMikeIceman, Mar 19, 2013.
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your cost per mile will always be less on the short haul if you can keep running
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How do you figure this? Your cost per mile will be the same for the amount of miles ran, long haul or short haul.
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Short haul is the only way to go IMO...
I do short haul 85% of the time and i make a killing.Then i get bored and go long haul only to realize how much i hate ''long haul''...I am back doing short haul and i am pretty sure i am staying put... -
The brokers won't let a truck make more than $1,000 over fuel cost on any load no matter if it's to the moon.
This was agreed upon at last years TIA convention secret meeting in the downstairs men's room. -
Is your short hauls under 500 miles? I am finding that if I run 500-600 miles and unload and reload everyday I can gross close to $5000 and have no near the cost of fuel I was running all 48 states. Plus I live in an area where fuel on the less expensive side. I am curious what your response is on the miles of your short hauls. Thanks.
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You have a variable cost as fuel and as maintenance. (about $0.84 cpm for me) Everything else is a FIXED cost. It's the same each month whether you turn 1000 miles or 10,000 miles. Insurance, vehicle, phone, etc. About $2900 per month on a single truck operation. (at least mine is.) If I plan to run 19 days a month, I need to earn $280 per day about minimum plus my 84 cpm.
If you aren't turning the wheels, your variable cost is driven down.
So if you turn $900 revenue in a day and drive 600 miles, you have earned 900-($280+(600*.84)) = $116 profit for the day.
Now, you earn that SAME $900 revenue, but you only drive 250 miles to earn it, $900-($280+(250*.84)=$410 profit for the day.
Which would YOU rather have run?
I have been doing a lot more of the SECOND scenario this past month and sticking to it. And it's paying off handsomely as well. $1050 to $1350 revenue and only 250-375 miles PER DAY.tractorfleet3 and Container Hauler Thank this. -
I am too doing 400-500 miles houls (flatbed) and find it very rewarding.I am averageing $5000.00 gross/week for 5 days work.And I am home 2 nites a week and weekends.
SHC Thanks this. -
I have just recently started running a 400 mile radius of Chicago (I always ran OTR before) and I have been able to make more running in a 5 state area. I've been going about 600 miles a day total and pocketing $1k a day after fuel costs and LS cut.... plus I get by the house at least one night a week and home on weekends. Hope I can keep it up
Rick_C and dannythetrucker Thank this. -
Thank You all for your help.
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