I see why trucking is going the way it is...

Discussion in 'Ask An Owner Operator' started by BAYOU, May 23, 2014.

  1. BAYOU

    BAYOU Road Train Member

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    Sep 23, 2010
    Beaumont,Tx
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    So on my way home yesterday I stopped at a TA for dinner ended up having a conversation with a guy at LS in the middle of talking a driver chimed in when the BCO said he turned down a load going to Florida that was only paying $1.80/mi into Florida that driver said what you guys stupid are something, the BCO lived in FL and was trying to load home for the holiday that driver said why didn't you haul it? BCO said it's to cheap I don't move any freight that don't pay $2.20/mi to my truck.....the driver said $1.80/ mi is real good money you tell them I'll cover that load, than says anything over $1.20/mi is good money and pulls $1.30/mi freight almost everyday. I asked him is your truck paid for? He replied no I pay $635/week next question I asked was what his operating cost was he said they take out fuel and I get what's left over said before being a owner operator he only took home $550 week now he makes more than double that and some weeks makes $1,500 in the same week.

    It's drivers like that going around recruiting other drivers because they think they found the mother load, as long as these fly-by-night drivers keep coming into the Industry it's never going to get better for anyone. I've stopped hauling loads for the big carriers because they really don't negotiate with you they have a target rate and that's it.

    I was really impressed with the BCO he knew his variable and fixed cost as the conversation went on he said LS now goes over that with every new driver so every O/O understands there business model. I'm really happy to here there are companies out there going that extra mile so drivers under stand there's more than just driving a truck.

    I went years not keeping track of my numbers and really not sure how I grew as much as I did not knowing my numbers just because your making more money than your spending in fuel that week don't mean your in the money. Many drivers I talk to just turn there money over week after week.
     
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  3. rockyroad74

    rockyroad74 Heavy Load Member

    Poor guy.
    Based on him driving 100000mi/yr:
    Truck payment@$33020=0.33/mi
    Fuel@0.55(being generous)
    Driver wage@2X550=$1100/wk, $57200/yr=0.57
    Just those items come out to $1.45/mi.

    I really hope he has no taxes to pay, or tires to buy, or truck/trailer/cargo insurance, or no.......
    Poor ignorant driver.
     
  4. realsupatrucka

    realsupatrucka Road Train Member

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    Yup and drivers wont stick together. ..if no one would take a mile under 2.50 a mile then they would have to come on with the money...but as long as its guys out here they a do a load 1.20 a mile then it will continue to be cheap freight prices
     
  5. Steeleandsonfarms

    Steeleandsonfarms Light Load Member

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    Sep 16, 2012
    Edgerton, OH
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    I won't haul for 1.40 down if I can help it and even the. I don't make a habit of it. I like my average all miles at 1.80 to $2. I don't need $2.50+ but if it's offered, I ain't gonna say no.
     
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  6. 201

    201 Road Train Member

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    high plains colorado
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    Hi real, that's been a problem with trucking since the beginning of time. We are probably the loosest bunch in the world. If we stuck to our guns, we'd have this country at our knees begging us to resolve the issue, but it ain't gonna happen, because like you said, somebody is going to grab that load, just to get home or move at all, and that's the kiss of death for our industry, and shippers know this.
     
  7. Dakota1358

    Dakota1358 Medium Load Member

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    Jun 15, 2009
    Staunton,Va
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    You have to remember,for someone making $1.30 a mile on a lease they see numbers up around $1.80 and they think they struck it rich.It's all about perspective I guess.I know what my operating costs are and I know what I need to take home as a living wage and $1.80 ain't going to cut it.Also with Landstar we get a percentage not the full 1.80(Even at 100% I wouldn't haul $1.80 freight)

    Give that driver a year of busting his hump for chump change and when tax time rolls around he's scrambling to find money because he either forgot to take that into account or didn't make enough to save it away.One major repair puts them in a hole they can't get out of so they struggle for a few weeks or months then go under and blame it on everyone else.

    Lease purchase has driven this industry to the point it is.You come in and get a few months and think you'll get your own truck and become rich overnight.Learn the business and the ups and downs the freight patterns and the tricks before going into it.It's like me starting up a McDonalds Franchise.I like McDonalds and heck over 1 billion served they must make money.I don't own a franchise because I don't know the restaurant business and working there for 6 months doesn't qualify me.Same goes for trucking learn the ropes or else crash and burn.

    I have to laugh at the guys coming in and leasing right away and then coming to this site or running their mouth at the truckstops about how the company screwed them.You screwed yourself.Don't be lured in by promises of quick money and realize that when you take that cheap freight the shippers and brokers think that everyone can make it on that.When the cheap stuff stops moving maybe rates will go up.
     
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  8. BAYOU

    BAYOU Road Train Member

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    Sep 23, 2010
    Beaumont,Tx
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    You don't ever have to worry about this guy doing it I get my money going in...cheapest load I ever hauled was $1.80mi out of ND going to VA only reason I got that much was I had to DH 350 miles to get it and was a 8ft tarp load, when I got to the shipper it was a box van load that was to heavy so needed to go on a flat they even made me go by a roll of plastic to put down before the tarps....I'll never do that again.

    I have a buddy that ends up with some nice looking girls , I'm not a ### or anything but he is not the best looking guy at the club but he always gets the best looking girls there took me years to understand how he does it....he will walk up to every girl and talk to them he ant afraid of rejection I've seen him slapped I've seen drinks poured on him and seen him get knocked out by some girls old man but he never gives up and keeps going, Trucking is the same way you may have to make 100 calls to get what your looking for but you will find it way to many drivers call on five loads and give up I even call the same brokerage back sometimes hopping I get someone else trust me that does work.
     
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  9. nikmirbre

    nikmirbre Road Train Member

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    High Point NC
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    The SNI/Swift, etc etc, hurt the real owner operators with the whole lease purchase deal……everything I wanted to say has already been said…just wanted to up my post count :)
     
    Lady K Thanks this.
  10. tangerineGT

    tangerineGT Road Train Member

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    Red Lion , PA
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    Dakota 1358 . Not to change the subject , but you are from the same area as me . Just thought that was kinda funny. Lol
     
  11. Dakota1358

    Dakota1358 Medium Load Member

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    Jun 15, 2009
    Staunton,Va
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    Not to far away.I park at the Rutters in Brogue so pretty much right next to you.
     
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