JCT lease purchase data. Know before you go.

Discussion in 'John Christner' started by TAfool, May 12, 2016.

  1. TAfool

    TAfool Medium Load Member

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    Considering JCT? Know what you are getting into before you jump. The only way to make an intelligent decision is to have facts, not hearsay.

    Three years of data from my runs. Here are loaded only miles : Screenshot_2016-05-12-09-39-19-1.png

    Notice most counts between 2,500-3,500. I take off about 8 weeks a year and this shows in the low bars. Vertical is number of weeks.

    Empty miles:
    Screenshot_2016-05-12-09-39-11-1.png
    That high number is legit, 2021 for the week. Empty is paid the same as loaded!

    A scatter chart of the above:
    Screenshot_2016-05-12-09-39-01-1.png

    TA
     
  2. HalpinUout

    HalpinUout Road Train Member

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    And the CPM is what? .90cpm according to JCT website. Signing that contract wouldn't be intelligent in my book, I don't care how many miles they offer.
     
    Last edited: May 12, 2016
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  3. TAfool

    TAfool Medium Load Member

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    Wow! Thanks for HalpinUSout!

    That was some incredibly insightful data you graced us with. Awesome! Way to go, Bro!

    As the title suggests, I'm only going to put up data. Not ever going to say "stay away" or "sign away". If a person is given facts they can make their own decision.

    TA
     
  4. HalpinUout

    HalpinUout Road Train Member

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    Your Welcome Bro! Awesome! Smh
     
  5. TAfool

    TAfool Medium Load Member

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    Paid Miles ................358,930
    Actual Miles Run....377,697
    Unpaid Miles.............18,767
    % Unpaid......................5.23%

    About 1,000 miles of the unpaid was personal use so out of route is a little lower at 4.95% unpaid.

    This could be lower but I don't always take the shortest route.

    TA
     
  6. Tenn I See Trucker

    Tenn I See Trucker Medium Load Member

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    Wow .12 CPM less than what I make pulling a van and having to deal with reefer and all the bullshot that entails...you can have it,oh and your lease payments are higher
     
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  7. Tenn I See Trucker

    Tenn I See Trucker Medium Load Member

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    Also you guys get minimal fuel discounts....JCT is probably getting them but the Lease Ops arent
     
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  8. TAfool

    TAfool Medium Load Member

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    Total all miles: Screenshot_2016-05-14-21-27-53-1.png The bulk falls into the 2,500/3,500 range. 2440 includes all off weeks, too. Counting only work weeks it falls in at 3,000.

    TA
     
  9. TAfool

    TAfool Medium Load Member

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    And the most important siht; what can you expect to make, or not make, such as the case may be? (Please read the final note about PPM and net pay)

    Right off the bat, net pay:
    Screenshot_2016-05-14-21-46-36-1.png

    Once again, this includes off weeks which brings the number down. The vast majority fall between $700 to $1,400 with the largest amount between $1,050 to $1,400. (Don't forget the note!)

    How do increased miles affect the pay?:
    Screenshot_2016-05-14-21-50-37-1.png

    The increase is very linear indicating that fixed cost are relatively small and profit per mile (PPM) will stay very flat throughout any mile increase (see chart #4).

    So what's the PPM look like?:
    Screenshot_2016-05-14-21-50-27-1.png
    The largest group is $0.35 to $0.70 bar (see chart #5 for where it clusters), and again, see the note on PPM. Ignore the outliers! They are included for the sake of completeness.

    PPM vs. miles:

    Screenshot_2016-05-14-21-49-50-1.png
    As noted above, increased miles have very little affect on PPM.

    And PPM vs net pay:
    Screenshot_2016-05-14-21-50-17-1.png

    Can you live on that?

    I hope these honest numbers help someone thinking about this route stay away....or sign away...whichever the case may be.

    A lease-on here with a paid for truck, under this situation, would yield another $0.18 per mile. Different trucks have different rates.

    If the lease is completed the truck can be purchased for $1. (I wish I knew what the rate was but would hazard a guess its less than 5%, maybe closer to 2%. That goes on nothing more than my observation)

    I have my personal thoughts on if this is good deal or not but will not say as I just want to provide unbiased information.

    Regards,
    TA

    **Note about the PPM***
    The PPM is calculated on the low side! What is not included is $0.02 bonus money and I volunteer $0.07 over the required maintanence deduction. It is also rounded down from just under $0.38. So, add $0.09 to bring it to just under $0.47 cents per mile. Adding this would, of course, raise the pay figures shown above.
     

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  10. Steel Tiger

    Steel Tiger Road Train Member

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    Guarantee it's not. Most least programs lease for 2-3 years and then have a gigantic balloon payment that may or may not be financed by the company. This is a straight up weekly payment until you pay it off or walk away.
     
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