New o/o looking for advice.

This thread is a mess. Maybe it is time to take a nap. As spyder said, lots of bad math and too high of truck and ins payments. Do you have a high interest rate on the tractor? Check out your local savings and loan. My APR using new LLC business credit through GE was 6% for 48mo and I put $25k down ... I refi'd after 6 months with the local credit union down to 0.9% for 60 mo. on my LLC's credit. Not mine.

Your numbers $13200 2 week settlement *.85 (15% to lessor) = $11220
3286 mi a week *2 is 6572. $11220 / 6572 mi = 1.70 cpm

If you took your "monthly take home" as 8400*2 = $16800 and re figure your expenses, how much are you putting in your pocket now?

I do not do dry van, but as California rates go for power only ... I think you are doing somewhat ok. You're probably doing better than if you were leased to one of the big boys as a cpm independent contractor.

Are you getting hit with a $400 insurance charge on your settlement every 2 weeks?

 

That for hundred bucks for liability and cargo is ridiculous. I can't believe you signed that contract. Every legitimate carrier worth leasing to pays that out of their percentage. then again, I can't believe you went into this business with that high of a truck payment. These zero down deals are never the easy button people think they are.

No bs, I'm averaging over two bucks ALL miles, off my odometer. With none of the bs charge backs you are dealing with. I'm with Mercer, Landstar guys claim to be doing about the same. I'd recommend you research both companies and make a switch asap. I'm seeing over 1.40 a mile hit my checking account on almost every single load(that's to the bank after my carriers cut and all deductions AND whatever I took as a fuel advance) Much more when I'm running short haul high $ loads. this isn't a hey look at me, bragging post. it's a hey, open your eyes and see what your can be making just by switching to a good carrier.

Different topic but something you need to think about. Running those kind of miles, week in and week out is only going to do two things, wear your truck out, and wear you out. That's a hard life, and completely unnecessary. There is much better paying freight out here. You can make better money running a lot less miles. rarely am I over 2200 a week. In general, the longer the run, the less it pays.

 

8400 every 2 weeks ... or 8400 a month?

If it is 8400 a month you need to jump ship.. immediately. You are only making .85cpm ... the mega carriers will put you on at atleast .90 and pay FSC.

 

You could make more, but that would involve you being gone from home more. Like I said earlier, if you were to have your own trailer you would make more. I believe that having another payment at this juncture is not in your best interest. If you have a steady gig, and are able to pay your bills, able to make profit. You should be happy, ride it out get the tractor paid off. Maybe get a trailer along the way, treat your owner good and he will treat you good. When you are ready to move on your own, than do so. He is not ripping you off, and you won't do any better at LS or RR. If you think you have to run hard now, just lease on with one of them. They nickle and dime you on everything, plus their percentage is lower, unless they have changed over the past five years. You may end up finding another gig that is in a niche that pays more, but for now it is better to stay where you are.

 

But we really have no idea what you are making. $400 (for cargo and gen liability) a month for insurance is just a drop in the bucket compared to the other costs. Because, the math does not work out to get you down to 3500 to 4500 in your pocket a month

You said you do 2 hauls back from WA and one up from So Cal ... at the minimum rates you posted ($440+$990) for a wa to so cal x 2 = $2860 then add the $2190 for a so cal to WA gets you to $5050 which if you take times .85 for your lessors 15% is $4292.5 divide that by your average weekly trip mileage of 3286 mi you are now at $1.30 cpm to the truck ... which blows. But, is about the same or maybe a bit more than Conway, GTI, Heartland, JB Hunt, Schnider would pay you on a CPM IC lease when you take their .90cpm and FSC. Percentage lease wise, those IC's probably make more $$$ than you.

The above math however does not match your math. But it is close. Mine is $10,100 for your 2 week settlement yours is $11,220 due to some of those wa to so cal loads paying a bit more.

So thats no less than 20k gross per month (well 4 weeks) to your truck. You said you are burning a grand a week in fuel. We will just call it $6k every month to include whatever road tax you have to pay in oregon. Down to $14k, truck payment and oil change, down to $10k, insurance down to $9k. I have no idea what plates cost in Cali but we can call it $500 a month just to be outrageous (thats more than what I pay in Arizona ... which is stupid expensive). $8500. Call it a grand to the maintenance fund and other accessorials. Then there is work comp if you pay that or any other disability coveage. We will call that $500 a month (which is around double what I pay) ... now we are down to at least 7k .... what else is your carrier charging you for?

Take a nap and sharpen that pencil. We cannot give you advice without knowing whats going on. Judging by the numbers you gave me for your line haul rate ... your not getting screwed, but its not super great for what I know of van rates in Cali.

I am not a huge fan of Landstar and know nothing of Road Runner.

Pay for a subscription to one of the internet load boards, and check what van freight in your area pays. You are pulling trailers for other companies ... call them up and see what they offer.

I am not trying to be argumentative .... am really trying to help.

 

Since you mention 'take home' pay, I think you're looking at this as a job, which it is not. It's a business, and I think you need to look at it as such. You need to pay yourself a salary. I won't get into what that number is. You are an expense of the business, add that to all of your other expenses. Step back, run the numbers again. I think it's a good lesson for all of us. Obviously it doesn't cover the emotional factor of owning / driving a nice new truck, and what that is worth to you personally. That is not a criticism, just a reality. Also - try not to compare with what others are doing, that's probably the best way to make yourself crazy. If you're happy, having a few comforts of life, enjoy it!