If every load paid $2.50 to $3.00 per mile, I guess we'd all be millionaires. In reality, reefer rates average about $2.15/mile including FSC nationally, and much less in the southern lanes that JCT mostly runs:
http://www.dat.com/resources/trendlines/national-reefer-rates.aspx
You would have to be an owner-operator with your own authority to get those rates. What else do you get? You get to pay for your reefer fuel for starters, plus ALL of your trailer expenses, whether you own it or lease it. You don't get paid for deadhead miles. You get to pay for your trailer wash-outs, scale tickets, PrePass (should you choose to have it), tolls, base plates, permits, and road and use taxes.
If you're going to try to compare leasing with JCT to running as an O/O with your own authority, you have to take these factors into account. Additionally, if you're looking at making these rates running reefer with Landstar (with your own trailer), you'll give up 25% for the privilege, and STILL have all of the additional expenses.
Oh, and every mile that I've run with JCT has been on elogs, and I'm doing just fine.
Running with JCT
Discussion in 'Discuss Your Favorite Trucking Company Here' started by Sharpp, Jul 15, 2013.
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What JCT gets per mile and what they pay there L/O's per mile is comparing apples to oranges. JCT only gets that rate on loaded miles while they pay the L/O the same empty and loaded. That doesn't even take into account all the other discounts and paid expenses JCT passes on to their L/O's. At the end of the day it's probably a case of 6 of one or half a dozen of the another.
Of course I guess we should all be shocked that JCT is trying to make a profit.</ sarcasm>Soule_Man, Sharpp, Jarhed1964 and 2 others Thank this. -
Nope dont have my own authority ....thought itvwould be fun to be argumentative as was delayed at a shipper waiting for a coa ......but that being said i do get trailer usage reefer fuel and washouts in my contract i avoid most lains with toll(they just dont pay great) i do front the occasional scale and pay base plates and permits.....plus a descent fuel discount....out bound rates to cali do suck they run about 2.15 in that your correct but all other meat lanes do run 2.50 to 3.00 return rates do avg little over 2.00 and a do about 10% deadhead......now the fun stuff accessorials can add up quick......but just starting out i had fun at jct while i was there learned a lot but those equipment costs and settlement deductions are just too high imo for a payout that dosent have enough upside potential .....does bandit still drive there one of the last company drivers that guy was funny as hell
VolvoVNLTrucker Thanks this. -
whatever happened to
Truck #2557
???????????? -
I was leased to them from early 2010 to mid-2012. Your statement about "repair bills not causing negative settlements" interjected a bit of dry humor for me this morning; with 6 years of "experience" it appears you still are a relative newcomer the leased-operator world - (notice I didn't say 'owner-operator'). But that's OK - everyone has to learn and the "hard way" is very often the best way to do this. I did...
But on that note, let me ask you this: How big is your "Fun Fund"?
- Do you have a cash slush fund or asset-backed line of credit that will allow you to "power through" a JCT or other independent-financed major repair with the inevitable reduction in revenue for at least 6 months or more? (you know full well any "warranty" will be worth next to nothing if you have the misfortune to lease a "G" or higher letter tractor...)
- Major breakdowns and the resultant travails rarely happen close to the yard. Do you have the credit resources or savings to pay for or obtain independent financing for major repairs, rebuilds and maintenance "off-site"?
Let's not be ignorant. A major repair or a series of repairs **WILL** kick a hefty dent your bottom line, because "Guess What?" The company **WILL** deduct their costs for **YOUR** tractor first. Why do you think JCT introduced the "Variable Lease Payment" in the first place? It certainly wasn't to placate anyone for a perceived lack of miles; it was to stop the hemorrhage of drivers that were being overwhelmed by ever-increasing maintenance costs.
As a brother driver, I am heartened to hear that you are doing well with JCT and you drive a relatively problem-free piece of equipment. But just remember, it won't stay that way. It's mechanical, and the Law of Averages will bite you in the pocketbook when you least expect it. Be ready.....
Also glad to hear that the shop mentality has changed; someone upstairs must have taken to heart all the commentary and complaints that were coming down the pipeline... -
I've gone over the benefits and liabilities of leasing versus owning in this thread with emphasis on my experiences at JCT. It gets tedious seeing owner-operators posting on Trucker's Report bashing leasing. There are good lease programs out there and there are horrible ones. I started "Running with JCT" to document my experiences with one of the good ones openly and fairly.
"Running with JCT" FAQs: http://www.thetruckersreport.com/tr...e/219180-running-with-jct-99.html#post3596893
Jarhed1964, luvtotruck, TYSONDRIVER1 and 1 other person Thank this. -
Uh huh. -
So far.
PS. I recently drove a ProStar for a week while my own truck was in the shop. It was a disaster. Having only one screw, it only takes about 1.5" of snow on the ground to stop that muthah in its tracks. And that was before the #PolarVortex made its appearance. Given the choice, I would never, EVER drive one in any part of the country with snow. It might be great on dry roads; not so much when The White Stuff falls. -
Well to try and get this back on track, the team here is at White Wave (old Morningstar) in Jacksonville getting loaded for the Wally in Temple. Be safe out there yall!
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Waiting to load in Colton at WCC then I'm off towards Paul's Valley. Then to get the truck worked on.
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