Owner Operator at Old Dominion

$2000 per month on a 2010 cascadia ...that seems a bit much. ...if one was to purchase it (not that I'm suggesting that) $2000 a month would likely pay that vehicle off in less than 2 years before interest/finance charges.
Interesting tho: wasnt aware of OD having other than company drivers. That's cool.

 

Live heard leases work well for companies with quite a few trucks utilizing company drivers: that way if there's a breakdown the lease company provides an alternate vehicle, and every time the lease is up hey get new ones on the fresh lease agreement. I can understand that, as a single truck operator I don't see an advantage unless its cheaper than payments on a new truck and you know you won't be doing what that particular piece of equipment is good for by the time the lease is up. (Ie leasing a daycab bc you have 1 year of dedicated daily loads into a tight urban area where you go home every nite vs buying a daycab that is unlikely to be as useful after that account has dried up)

 

All depends on how long you are wanting the deduction as far as lease vs purchase agreement.
Seeing as next to no one has $120k to buy a truck with, it will be financed either way.
Claim depreciation and interest, or claim the full lease payments for the whole duration.
20% on a depreciating scale is a rule of thumb, for long term purchases.
Trac Lease has always worked for me, and I do indeed OWN the trucks at the end of the term. I dictate the buyout amount, the term, and so on. Like I said, I spec my trucks, I choose my finance company, I lease onto where I want to, or run under my own deal, it's my choice.
Dont confuse an independent lease agreement, with some mega carriers flease deal. Two different animals.
It works for me, and my circumstances. Just dont go telling people in general its a bad deal. After @30yrs of self employment, I may have a small idea.
Thats it for me, outta this one. It's starting to feel like it does when I attempt to explain fuel prices when fuel taxes are taken out of the pump price, to someone that always fuels in Wy, Ok, and so on.

Martin

 

I know this does not answer your question about revenue, but I would make sure that IF you ever wanted to move the truck from OD that you could....I understand that with some of the lease/purchase deals, even though there is a 3rd party involved, it's still tied to the company and the truck has to be leased to that company until the lease/purchase is completed. That would be a huge problem in my mind.

 

They pay by percent? I have been looking for companies that pay a percentage am mostly finding by the mile. In addition to the items above what else are they offering?Do you buy fuel through them and they deduct from your check? Do they pass on the fuel discount they get or are they keeping it? You pay the insurance? Who pays for maintenance and tires? If them then what are the keeping to cover maintenance?

Thanks...

 

All these replies....and no answer the op question!

 

Old Dominion has owner ops in California and the South East to move container loads. Leasing a truck lets you drive a truck you really can't afford and the leasing company either gets a lot of extra interest, and/or the truck back at the end. If it works for the one poster that replied, so be it. Usually the payments go on when the truck is broke down, or the driver can't work, etc. Prime uses that argument to push their lease deal, you don't have to sell the used truck in 3 years, and if you can't work for some reason, bring the truck back and the lease is over, no questions asked. I run older equipment, no leasing for me.
Some lease deals include a replacement vehicle to use for breakdowns etc. Negotiate to your best advantage.

 

Lordy, more confusion....
Trac Lease, through anyone you choose (I like Wells Fargo Equipment myself) , to buy any truck you choose, to lease onto anywhere you choose and so on.
Folks, one last time. Leasing a truck on Trac Lease, does NOT entail doing a Prime, CREngland, and so on. There is a truck in my driveway that I OWN. This is after me going to the dealer of MY choice, spec'ing it out, doing the numbers with them, taking delivery, leasing on anywhere I want to, and so on.
Seeing as this is the 8th truck I have owned, there may be something to it tax wise.
Purchase vs lease purchase is a personal decision to do with taxes, if you have a brain.
Just because the bottom feeders call their scams a "lease" means nothing to the overall meaning of the term.
I can assure anyone that my credit is just fine, I pay a deposit on EVERY truck I have ordered, and unless I trade up early, they have all been paid off with the buyout that I chose myself.
Again, it's a TAX decision, not a fleese deal for some of us....
Good Lord, the bottom feeders have made everyone ASSume that a "lease" is automatically a ripoff. It's a way of owning a truck, with no differences except taxes. I pay a deposit, I own the truck, I run it where and when I want to, and so on. No difference at all to a straight out conventional purchase.
Last effort, and this is still making me think of explaining to the uninformed why Tx fuel is actually cheaper than Ok fuel normally, regardless of pump price.

Martin