what do i pay?

65 percent from your net income. after fuel and all deductions for repairs ,wear and tear, taxes, everything. hopefully he'll have 1500 a week after all said and done

 

If he is above avg Good then pay him good but if he is a whining good. meaning he can drive good but needs assistance changing a cab light or have no mechanical ability to fix small things such as an air leak or changing a fuel filter on the road & he wants you to tow the truck to get it fixed then start him out @ the bottom of a good paying scale & see how he handles his job.Just make sure you never hire a driver that is too good to be true and don't treat him right,Hint,Hint ,you can get in deep waters with that kind of driver.Hint,Hint

 

that will be a gray area with the IRS, have all your ducks in a row!

 

From my experience, the problem you will have is the same one now that all small fleet truck owners have. Making a profit with trucks while still being able to afford the drivers pay, fuel and maintenance on the trucks, Ins, taxes etc. etc. etc.
Welcome to the really real world. I don't care who you know or how well you know them you better watch them like a hawk.
Another problem I see as a truck owner is that many O/O's that don't do anything other than lease on to other companies for say 20 percent of the load are getting taken to the bank big time and most don't even know it.
I'll give a real world example.
A while back, We decided we wanted to lease one truck on to a company that assured us that we would make more money than we ever had. I was very skeptical because that's the way I am but my wife needed a break and not having to do paperwork and dispatch for at least one truck and maybe more was a welcomed thought.
We were going to get paid 80%. That's not a bad deal in this situation I thought. Was there a catch, I thought?
Remember, we look at the load board every day all day and we just happen to run a lot of the same areas that this new (to us) company ran.
First rattle out of the box they send the truck to a place that we normally run when we are down there. Low and behold they offer us 400 dollars less than we normally get (through a broker mind you) and we would also have to pay 20% to boot. It was obvious to the most casual observer what they were doing and this is the part that many O/O's don't know.
They were taking money off both ends of the deal. Paying them 20% was a great deal but I never thought about them not offering us the load for a least what we were making on it before. As an O/O, I would still make money (over 2.00 a mile) on the load with the 400 dollars less than they we normally got. As a small truck company owner who has to pay a driver and everything else we were not making money on the deal
Just something to consider. We pay .36 to .38 cents a mile loaded or unloaded and no weekends and it's still #### hard to find a good driver. Put a limit on your fuel purchase on the other truck. I would hire the driver in your situation as a contract/at will employee and let them take care of their own taxes.
Long story short. It's a decent deal for O/O's leased and dispatched by another company but it can be a terrible deal for a truck owner because you have to pay for everything on the new truck out of your profits the new truck is making and there may not be a lot of profit in the new truck unless you watch it like a hawk and know exactly what you are doing. Even if you watch it like a hawk there not be enough to make it worth your time and aggravation.

 

well it sounds like you have it pretty well planned out. and you have the person you want as a driver. I hope the venture goes well for you.


and too the ones that want to pick on my bad work history. let's see your as a driver. too break it down. the one with the big blue c on the truck. gave me a truck that broke down every 4 days. I made maybe enough money to eat 3 days a week. and they refused to reasign me to another truck. and i only got to see home twice in 8 months. spent 80% of the time in the main terminal waiting on the truck to get out of the shop. the line was 3 days long. then there was the 100% o/o company. was there a year. left due to the fact that the owner of the dba had a beef with my family. and took it out on me. the people before that. waited until we signed the lease to say they were getting a divorce. every driver there hated me. and then went crying to the office manager about the fact that I would help out in the shop to earn an extra $75 a week. that was a rare option. and in may of '09 the container company had it's assets froozen due to the owner getting a divorce. spent 6 months homeless on the street. the company that has a bird on the truck. I went home and didn't have the money at the time i was there to renew cdl. so when i went back out. i put in for time off 3 weeks in advance. and made sure i had time at home to get the cdl renewed before it expired. so they waited till the last minute. and said we are going to try and get you home. ended up giving there truck back to them. at the yard in k/c. and having to fly my way home. last minute travel arrangements. in total $800. plus another $400 dollar deposit to get the rental car. that took 6 months to get it back. oh, by the way they think truck drivers jobs are a joke. they did a steady. put some of the office worker in with o/o that were doing well and had ever confort of home in the truck. and gave the driver 5 days to take a load that they would normally have 3 days delivery time to l.a. which was a paid vacation then it was an actual experience into what drivers go through. the little company that i made it a month with. that was one job that started badly and ended even worse. they waited until orientation to say it was acontractor job. so I kept pluging a head. then at the end of orientation. they assigned me a truck that was already assigned. I was the first one to show up. and the last one to get cleared. which took all day friday. so sit clear up to saturday night. then only got a small load that i only got paid half on. so then they give me a load that was a day late before leaving the yard. 14 stops in the north east. didn't bother me. got to the end of that load. and was out of the 70 rule. hadn't been on the road for a year to that before taking the job. so when i reported that to dispatch. they in turn called safety and said i didn't know what i was doing. and safety went in and changed 4 days in the e-log. and then called me to bich about the on duty time i used. so after that interesting phone call. I realized i made hugh mistake by signing on with them. so some where in southern goergia and next to no rest. I made a lane change and nearly ran over a black suv i didn't realize was there from being so tired of 21 days of little rest. the e-log they used. drivers could only see the day they were working on. no racap, no 7 day clock, no idea where they were in that log book. which make planning impossible to do. so I had to give the truck back and come home to a place where there are no jobs period. and sit for 6 months until something that was done to me. clear the computer systems. so while the rest of you are getting a check and able to hold on to everything. I am having to sell off or let everything that i worked for go over someone elses crap. and they get to keep there job and there income. and that's not fair too me. I get to loose everything. while the people that caused the problem get to continue on with there lives and lively hoods. so don't judge me.

 

^^ I'm thinking maybe this isn't the career choice for you.^^

 

You already got it figured out, but I'll add my two bits.

Figure out what that experienced driver needs to take home on an average week then come up with a rate that makes that achievable. All the various percent or per-mile schemes don't mean squat if the business you're booking can't deliver the paycheck that man or woman needs.

 

If your paying 1099 I feel it should be a higher %...

To the guy who said 25% comes out to .32 a mile, how do you figure that out when you have no clue what his freight is paying him?!

Be fair and honest and hopefully your driver treats you the same.