Please explain this to me... Landstar rates

Discussion in 'Landstar' started by TruckerWife71, Jun 20, 2013.

  1. Desert_Skies

    Desert_Skies Medium Load Member

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    Victorville,CA
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    For me I dont look at it as cheap freight or high paying freight. I look at it as the freight that based on my numbers helps me keep my operation profitable. Can I pull for 1.50 all month,hell no but I can for a day or two if its taking me to the land of 3.00+ freight. Knowing your numbers is crucial but alot of O/O's dont have any type of accounting system in place and therefore have no clue what its costing them to operate so how do they know when their hauling cheap freight. There really is no right or wrong when it comes to cheap freight,its how you use each and every load to help improve your bottom line.
     
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  3. TruckerWife71

    TruckerWife71 Bobtail Member

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    We are actually trying to get him set up to come home next week... and he is seriously put off by pre-booking, which seems to be the only way we can make it happen. Wishin' we lived closer to Dallas right about now... not much coming to NW Arkansas... though that may change. We just need to figure it all out... and that may take a bit of patience from what I see.

    Desert_Skies - I just got off the phone with him and we just discussed the very thing that you posted. He did figure out, though, to profit he's going to need to pull more than 2.00 p/m... around 2.25 would be ideal...or higher, of course. But we weren't looking at the big picture..getting to where the higher $ freight is might not be that great, but evens out in the wash, so to speak. Figured on a couple of loads that we saw on the boards and it came out pretty good. We just need to get in the groove of where the higher freight is and what it will take to get there.
     
  4. snowwy

    snowwy Road Train Member

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    i haven't been at this game too long. but from what i've seen so far. good paying frieght is good becuase it goes out to the sticks. and they know your going to have to bounce for the next load. so in the end it's not so good.

    but if you want to keep around the populated areas. plan on nothing but CHEAP freight. becuase you won't have to bounce too far for that next CHEAP freight. and some of the populated areas. don't have freight anyways. but still pay cheap to get there. (denver, albuquerque, etc.)

    as for booking loads in advance. some drivers are lazier then others. some like to keep rolling while others like to take a break.
    the preferable choice would be to book in advance. as soon as he's loaded. but if he wants to wait till delivery. the i guess he wants to sit a few hours or day is you case is happening right now.

    i've hauled TONS of 500 mile loads that i delivered next day while the other o/o's hauling the same freight scheduled there delivery for the day after. 24 hours for my delivery. 48 hours for there delivery.

    o/o's just don't like to run seems like.

    i was in new york 2 weeks ago. after 2 days of finding nothing but crap to go farther east. i was ready to start looking into ohio. but i got called for a cross country load. not even PA had anything to haul. (pittsburgh, philadelphia)
     
  5. Desert_Skies

    Desert_Skies Medium Load Member

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    You two need to sit down and get that cpm number set in stone. My magic numbers are 2.25 and <25K. Do I get away fom my magic numbers,why yes I do but thats okay its a work in progress. To be honest I can stumble along at 2.00 but it makes Mrs desert skies nervous and thats not a good thing.

    Do you have an accounting system in place that helps you understand all your numbers? Its so nice to look at my P+L each month and see where I need to make improvements.
     
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  6. fortycalglock

    fortycalglock Road Train Member

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    You two have a lot to learn about this business. You are going to have to pay for this knowledge too. This board can help you from making the bigger mistakes. Bottom line is acknowledging the fact that you don't know what your doing yet, and keeping an open mind so you can figure out what you're doing as cheaply as possible. Another thing to remember is that you need to always strategize on to the truck revenue, not Landstar revenue. Start searching the boards looking for revenue opportunities by putting dollar per mile and gross revenue qualifiers, and for state, use all. This is one way to find opportunities.
     
  7. TruckerWife71

    TruckerWife71 Bobtail Member

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    Well, we kind of do, but he just got started a few weeks ago. It's been a little rocky from the start (trailer utilization taking 3 days to get a trailer, but someone else called with a load and neither had any idea about the other, so we were completely confused). We finally got out of the negative this week (which we expected), but haven't had enough loads to get a good grasp and work out the definite numbers... it's been crazy (which we also expected).

    I am assuming that, the further along we go, the better we will be at figuring out the best loads for us, even if they aren't "pretty" so-to-speak. I am very hopeful that this is the case. I just got off the phone wiht my hubs and he said that $2.25 is what we need to make money, pay the truck, and pay bills...while still being able to go fishing on weekends when he is home. But, living where we do, we are starting to figure on his being out 3 weeks at a time to make the money that he wants to make. We were trying to avoid that (he has a son that we have every other weekend), but if it comes down to it, it's going to have to be. Our house is on the market and we are now considering moving to another area, like Dallas, where there is plenty of incoming freight (easier to get him home). That is going to take some mulling over, though.
     
  8. TruckerWife71

    TruckerWife71 Bobtail Member

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    He has driven for 13+ years...as a company driver. He tried the lease purchase at Schneider, but when they save light loads through the midwest for their company drivers and leave O/Os with 40,000 lbs of mountain freight, that 91 cpm wasn't cutting it. #### near lost our shirts on that one, so he got out of it.

    The thing is, he knows a lot about the business, but getting a handle on the freight and how to roll and not take a hit is what we are trying to figure out. We certainly don't expect to get rich...we just want it to be worth him being gone, and it wasn't when he was a company driver.
     
  9. snowwy

    snowwy Road Train Member

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    rolling with schneder doesn't teach you about the business. it just gets your feet wet.

    being on your own is a whole different ballgame.
     
  10. Desert_Skies

    Desert_Skies Medium Load Member

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    Victorville,CA
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    You might want to have him try something different each time he goes out until he gets some lanes figured out and gets some solid agent contacts. Right now I have been going out at the start of the month and I am staying out until I gross 25k then I go home. My goal is to be home four or five days then go back out. Because I live in So Cal Im able to get by the house at least once a week depending on which of my two lanes Im running. Landstar is all about freedom and indepedence but it takes skill and discipline to be successful. Your doing him a great service by asking questions then helping him with the answers but your also helping yourself to be a better support person. The only thing Mrs desert skies knows about trucks is that they drive slow on the freeway.
     
    Last edited: Jun 20, 2013
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  11. TruckerWife71

    TruckerWife71 Bobtail Member

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    May 15, 2013
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    Yes ma'am... they do, they do. But, they get me my food and clothes, so I'm all about playing nice with them on the road!

    I really am trying to help, and am hoping that I can make things a bit easier on him out there. I really REALLY appreciate all of your help! You are a doll for helping us out!
     
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