How Much Do You Make?

9k in a week before expenses is possible. iv done it many times. but not typical. and out of that gross at least 60% is expenses before taxes.

 

IMO you can make great revenue and ok money by running your truck poorly. You can make horible revenue and not go out of business by running your truck right. OR you can get good revenue and run your truck right to make tons of money.

While i was workign woth Arnold, revenue stunk. i would have gone out of business if i wasn't careful. Now that I finally found a great company to work with (back to TMC) all the pieces fit together. Yes you can run a 379 pete 70mph all day with a 700hp motor and still make a profit. You can spend all your money on chrome. IMO, i'd rather cut my expenses dramatically and make a much bigger profit. Not many O/O pay cash for their first truck and become so profitable they are thinking of buying another within the 1st year. I must be doing something right. No i dont have as much experience as many on this forum, but i do have a lot more business experience and training then most. O/O that are stuck in their ways and refuse to use new tech will never reach their full potential.

 

Um, someone needs to work on their division. Who cares if your empty or loaded. the truck still burns fuel. your cost are less empty, but not that much less. Average including your deadhead to pick up the load isnt 3/mile.

2013 you made 2.09/all miles
2012 you made 2.26
2011 you made 2.05
Average / all miles is 2.14

So yes, your revenue is a little higher then mine since i average 2.00/all miles (loaded or empty) But, my expenses are so much lower. Your fuel is about .20 higher then mine / mile. I dont deadhead nearly as much so that is quite sad. I've been an O/O for 9 months and since my expenses are so low im probably on par with your net if not a little better. You have the potential of .14 more then me though if you ran your truck more efficiently.

This is un called for and not constructive. Based on the miles you showed above, your making .14 more then me on your gross, but your expenses are way more. I need more experience to make that .14 cents, but all you need to do is ask for help and you could reduce your cost and make a ton. Instead of making fun of me, maybe admit your expences are to high and try to reduce them.

 

Thats how I did it. bought my truck for 20k when i had 35k in the bank saved from being a company driver. Got a 25k line of credit i haven't touched just in case. Thats the safe way to do it. thats also how i survived with revenue of 1.25 a mile for a few months before i came to TMC.

 

I would not recommend starting with own auth. Just wait for the DPF to start trouble and watch the main go up. In most cases main on a new DPF truck (FL Cascadia dd13) is .15-.20/mile. More if the DPF gets angry.

 

18k over 100,000 miles....,18/mile. More then i spend on maint, but still relitivly small potatoes. Not chaing oil will save me quite a bit per year using OPS.

 

Ok thanks Richter.Some good solid information to start with.Just looking for some answer to this O/O business.Explain why not starting with your Authority is not Recommended.

 

2007 Freightliner Century
C-15 Cat
2006 Utility Refer
6.7 Mpg
I run california to Washington and back with produce. Make between $4600-$5300 round trip per week, between 1700-2200 miles per week, home every week.

2013
Fuel was 60 cpm
cost of business was $1.24 per mile
After expenses, took home $1.04 per mile on all OD miles.

Last year was a good year. Not every year is that good. That's trucking for you.

This year first Quarter, at .86 per mile profit. With a rebuild and DPF retrofit posiable this year, might be a bad year. But money is in the bank, saved to make my decision when the time comes.

 

Your first year with the OPS your not saving anything the set up cost and install I spend less than $1,000 a year on PMs I do oil changes ever 20,k miles run all cat filters $60 for filters $150 on oil and a tube of grease $5 I also do air filters every 50,k miles so I don't think oil changes are going to brake the bank.

 

When running your own authority (im not expert since i dont) you need to work with brokers or contract your own customers. You also need your own trailers and cargo insurance. You need to do your own drug testing, apply for and obtain all permit, license etc. You need to know all the state by stat regs and ensure you file everything right. You need to track down customers that wont pay you.

When leased to TMC (or similar) they deal with getting customers. i can start by using their trailer (less initial investment) I get paid by TMC regardless of if the customer pays. I dont send invoices so paper work is much easier. They pay cargo insurance. They take apply for and pay for all my permits. They apply for my base plate (charge me though) Now, by leasing on, i'm loosing 25% pay...but, it only part of the pay. As an O/O the load pays a line haul rate (that I get 75% of) and a fuel surcharge (that i get 100% of). So yes, I loose some pay, but im paying them to deal with all the bull i dont want to deal with. Cargo insurance is expensive to, so by having my own authority i would not make 25% more because i have new expenses.

basically, when you first start as an O/O your just getting used to the truck, figuring out maintenance, starting paperwork etc. Why deal with your own authority to. just let another company take care of for a while and if you want to get your own long term go for it. basicaly, your learning how to be an O/O....dont add tons more on your plate at the same time. Also, you may take time to figure out how to find freight, work with brokers etc. You may loose money. Wait untill you have had some solid time and a nice reserve before you risk more.