Net to O/O truck after driver pay

Discussion in 'Ask An Owner Operator' started by CbarM, Apr 12, 2011.

  1. CbarM

    CbarM Heavy Load Member

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    I am an O/O and I run a small fleet. I pay my drivers well and offer them great incentives to help them and me be profitable. If I was getting a rate of 1.65 incl. FSC and paying a driver and with fuel at 4 bucks a gallon, what is a reasonable net to me after paying everything, just based on an average of everything, truck at 6 mpg... Should I be making the same as the driver does?
     
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  3. REDD

    REDD The Legend

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    If the above quoted statement was true, you wouldn't have to ask!
     
    Big John Thanks this.
  4. crop jocky

    crop jocky Light Load Member

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    LOL :biggrin_25514:
     
  5. canuck in da truck

    canuck in da truck Road Train Member

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    might have to flip a coin---cause one of you isnt going to get paid--either you or the driver
    what does it cost to run your truck per mile?
     
  6. RedForeman

    RedForeman Momentum Conservationist

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    This one's easy. Just open your business plan spreadsheet and put the same value in "return on investment" as you used for "pay the driver." Assuming you get lucky with no catastrophic problems that are under funded or not budgeted, that cpm figure that pops up will answer your question.

    :D
     
  7. CbarM

    CbarM Heavy Load Member

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    The cost per mile on this particular truck is 1.38/mile with driver. 0.96 without. That is basing fuel at 4 bucks a gallon with an average of 6 mpg, fuel, maitenance etc. I am then left over with 0.27 cpm...is this reasonable, or low or high??
     
  8. canuck in da truck

    canuck in da truck Road Train Member

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    you sure????
    96 cpm is way low --you have 67 cpm in fuel alone--then put in some for maintenance --truck replacement-----tires---ins plates(unless that is paid for)
    but if yo can do it--that is great
    so then you are getting &1.65 per mile? -1.38 = .27 ?
     
  9. REDD

    REDD The Legend

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    Then they have to pay workmans comp, self employment taxes, employee taxes, 2290................
     
  10. canuck in da truck

    canuck in da truck Road Train Member

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    sounds like nobody is making money there
     
  11. Markvfl

    Markvfl Road Train Member

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    Ohhh boy, you opened a can a worms with this one, just like I did in the thread where I asked how much I should pay the driver. It's basically the same question.

    If you're paying with 1099s and your trucks and trailers are paid for and you can make an acceptable living on .27 per mile per truck then I say it's enough. For me I figured that the truck and the driver should be making about equal amounts. That's why in my thread I was thinking the driver would earn $1000 - $1100 per week. Maybe I'm greedy but there's so much exposure and possible liability out there these days that I think the split should be about 50/50 mas a menos.
     
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