Owner operator expense inquiry

Discussion in 'Expediter and Hot Shot Trucking Forum' started by Menchaca0807, Jun 5, 2017.

  1. Menchaca0807

    Menchaca0807 Bobtail Member

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    Mar 6, 2017
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    Hello I'm on here trying to make heads or tails of becoming an owner operator for the hotshot freight sector traveling all 48 states I've come up with a monthly expense break down and I'm wanting to have it looked at by those of you in the industry, it's below.

    Insurance (liability & cargo): $1,200
    Truck payment: $750
    Gas (8K miles): $1,500
    Food($7 per meal): $450
    Maintenance(oil change): $150
    Tire fund: $200
    Hotels: $2,250
    Total = $6,500

    I'm looking at $1.23 per mile to break even, the issue I'm having is I want to be able to own a house and have a family. Is it possible and probable to make more than the $1.23 per mile so that I can have the life I want, tell me your thoughts and if you'd like to correct my budget please do so I'm here for your expertise.
    Thank You in advance
     
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  3. Kitty power

    Kitty power Light Load Member

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    Apr 12, 2017
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    2.00 a mile is doable I THINK if you are a gasser your upkeep fund should run about .25 a mile and about a .40 a mile fuel charge LOLL kittypower
     
  4. flatbedcarrier

    flatbedcarrier Medium Load Member

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    Jun 8, 2005
    Southern California
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    If you're going to do this, you need to add a sleeper to cut out that motel expense. And in my opinion using a gas rig really isn't a good idea. A lot of guys convert their back seat into a bed. It doesn't meet federal sleeper berth dimensions so most guys who have converted the back seat log off duty instead of sleeper berth. Do the math on motels in a years time versus buying a sleeper. $80.00 a night over a 5 year period comes to $146,000.00. A sleeper is going to cost a one time fee of approximately $4,000.00 to as much as $14,000.00 depending on which one you get.

    With a diesel, most of us are servicing our trucks every 10,000 miles. Oil change, fuel filter/filters, engine air filter. I change my own fuel filters, and air filter but I let the dealer do the oil change at a cost of $95.00. I don't want to deal with hauling the oil off. I buy my fuel filters, and air filters online and save a lot compared to going to the dealer to buy them. Oil change, fuel filters and a air filter run me right at $225.00 a month.

    You can add anything you want into your operating cost but I wouldn't advise it. Me personally I don't add food in because I'm gonna eat whether I'm in the truck, or at home. I pay for my food out of my paycheck always have. Never had a job where the company picked up my food bill.

    Your monthly tire amount looks spot on for buying a new set every year. Might want to add in a couple tires for an occasional blowout. And of course you're going to want add more, for things like brake jobs, etc. typically what I do is I have a separate maintenance account where I dump money in every month. If I need it for repairs, i don't have to stress, it's there. If I get through the year, or several years without depleting the account I just let that money build up in there.
     
    brian991219, Hammerhandle and TN_Chief Thank this.
  5. towboater

    towboater Bobtail Member

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    Jun 17, 2017
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    hey I am also looking into getting in the business and not to take away your post but what insurance are people running?
     
  6. flatbedcarrier

    flatbedcarrier Medium Load Member

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    Jun 8, 2005
    Southern California
    0
    Most Brokers and Shippers want to see you have $100,000.00 Cargo. And $1,000,000.00 liability before they'll load you.
     
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