Get paid .92cpm or a percentage?

All of this applies to straight o/o's as well. If a leased truck with Swift is down for an extended time, you can be put in a loaner until repairs are complete. Also, there is breakdown pay. It's not perfect and it doesn't equal running pay, but it's better than living off your bank account like o/o's do. If you want all those benefits, the only way you can go is company. That's too restricting for many of us.

 

I just checked the lease details for Swifts program;







Mileage Charge: Loaded, empty and unauthorized deadhead miles in excess of 11,000 a month will be calculated # $0.09 cpm, and assessed to the owner operator’s settlement monthly. NOTE: This is a deductible expense.


This is going to be very expensive to a runner. This is another reason "lease" plans are a bad idea. Whether it be a car or a truck lease. Over mileage fees will eat your lunch if you are not careful.

 

Thats another reason why being an o/o and leasing onto Swift is better. What if Swift dont give you miles???? It seems like Swift is controlling your lease and could set you up to fail.

KH

 

From a company standpoint it is more profitable to keep a lease operator than it is to hire a company driver.

Lease ops pay for the fuel, truck payment, insurance, maintenance, taxes etc.

Company drivers get benefits plus the company has to pay half the medicare/ss tax on EVERY employee plus workers comp insurance.

Under Swifts lease it is indeed a "lease." No ownership transfer option until the end of the contract. Should you try to refinance early they have a clause that kicks in and you will be penalized for the early payoff.

No reason for Swift to "set you up to fail" they already hold all the cards. Better to run the dog crapola out of these guys and take their cut off the top of each load.

Swift knows few drivers will have the wherewithall to buy this truck at the end of the contract and so will be able to either lease that truck again or sell it on the open market.

It is sad that companies dangle a new truck in front of these fellas and give them a bit more speed to convince them to become a slave to that truck. The new guys seem to be lining up for the chance to shackle themselves to this program.

A better plan would have been to save 10 to 20k for an emergency fund then "buy" a truck through a private dealer, person, 3rd party vendor. This would allow the new o/o to run as many miles as he sees fit without a "penalty" being assessed.

Having your own truck will give you more freedom to choose loads or companies to work for. With most Lease plans you are locked into that carrier for the duration.

The OP had his mind made up to go with this lease plan before he ever began this thread. He was hoping to get some support for his decision and perhaps make a better choice for the pay plan. The answer to that question is the percentage deal will be the better option. At least the lease operator will have a chance to share in any freight rate increase that comes to pass during the length of this plan.

 

What is the definition of an Unauthorized Deadhead Mile?

 

Driving 200 miles to your favorite fishing hole

 

Bah! If it's my truck - I authorize myself to drive 200 miles to my favorite fishing hole! They can stick that "Unauthorized" stuff where the sun don't shine!

 

There are 52 trucks in this repo lot but there are thousands of satisfied lessees out there making it happen every day. These trucks piled up like this just make it look worse than it is.