O/O with own Authority vs O/O leasing on to company

In a word... yes.
If you don't take a load for under $2.00 / mile, you may be sitting somewhere for a loooong time.

 

There isn't a whole lot of dry van freight that pays north of the $2/mile rate.

I pull reefers and don't see that mark as often as I think I should.

 

KA,

I know a friend who pulls a 53ft step deck who does not see the $2 mark as often as he used too per him. With vans I would expect the rates to be less. Also, you need to figure out how much per mile it takes to break even and thats not including your salary. My friend refuses to drive for anything under $1.60 mile. That is what it costs to fuel, insure, maintain his truck which is a 05' T600. I am not a o/o, just a company driver, but have friends that are. Good luck.

KH

 

It depends on area that you are working. I stick to certain areas and rarely drop below $2/mile. And that is getting easier with fuel going up. Even seeing some of the bigger and cheaper brokers paying better.

One trick is not getting stressed if you don't have a load lined up a couple of days in advance. Wait for the night before or day of. You are better off sitting a day and getting your rate than taking the cheap load to keep moving.

But also understand that it takes some time to build up to getting the better rates. I have had my authority for a little over 5-months. At the 3-month mark I could pull for a couple brokers that pay better.

And at 6-months a lot more opens up. Only had one tell me they need a year.

Also, I am now getting calls on loads before they hit boards from some brokers. But that took some time.

It can be done but maybe not in first couple months.

 

It dawned on me while eating dinner and listening to the talk about cheap freight. At this stage we are talking about how can people afford to drive for less than $1.50 a mile. But that is what most of the drivers that are leased onto some are doing. They way I look at it. I will save about $125 per week with what one of these outfits will pay for. But I am giving up $1000 a week for the honor of them doing that.

 

I an O/O leased on and I drive for a 1.00/mile but then again I dont pay for fuel/cargo Insurance/any fees of any kind of associated with the trailer/dont pay tolls/dont pay scale tickets - and thats 1.00/mile loaded or empty. And I have a set lane CA-NJ. It all depends on the company you are leased on to.I dosent matter what you are moving for, all matters what you are saving at the end of the day.

 

free fuel ???
now that would be a definite bonus--but the more i think of it--it is still pretty low--
if you were getting a decent rate with fsc that would put you ahead a bit more--but still---people are hauling for that amount AND paying their fuel--so--what ever works for you is good

 

Yup- they pay for the fuel. You can still talk to the very first O/O that started with them. I have yet to see a single person quit other than ppl who "retire".

 

Since last weekend I completed my taxes I was able to look at my numbers for last quarter an a week by week basis. My worst week, after taking out for a maintance fund, was $.954/mile. My average is $1.273/mile. But my lowests 4 weeks came 3 weeks in Jan and first week of Feb. My highest for weeks all came in April. That surprised me. Even though my rates have been rising with fuel prices I didn't think I was keeping up that well.

And while the rate that you get is about $.10/mile better than what people have been talking about it is still a big gap from what I am seeing once you remove your expenses.