What is your rate as a IC not a O/O leased on

Discussion in 'Ask An Owner Operator' started by Tama Mai Hawaii Nei, Oct 8, 2013.

  1. Tama Mai Hawaii Nei

    Tama Mai Hawaii Nei Light Load Member

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    Sep 6, 2013
    Las Vegas, NV
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    I am trying to start my business and I see a lot of people post they make 1.75 to 2.25 as a O/O leased to a company such as Mercer. So I want to know what you drivers are making with your own authority. I am sure it is above what people make leased on because face it these companies will sink if they pay you what they get for the load. I see some saying 130 miles pay $650.00 $3200 for a 2200 mile trip $4000 for a 900 mile trip so what is the real rate people are getting. I don't plan on leasing I like doing what I want not what someone wants me to do and deal with there BS I have a wife and kids and I really not hurting for money I am retired military so I only plan on running 2 weeks at a time and take 10 days off but the problem is I see too much difference in rates.
     
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  3. rollin coal

    rollin coal Road Train Member

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    Having your own authority is not necessarily the key to making an average above and beyond typical $1.75-$2.25 hub mile averages that some, not all, leased operators average. Nothing in this business is a given and driving a truck, picking delivering on time, are only a small part of the overall game. I'd hazard a guess here that many smaller independant operations under their own numbers, especially new inexperienced ones starting out, probably average much less than that. There are lots of owners out here with their own authority who would be much better off leased to someone, and likely would be better off in a mileage program where they get a flat rate $1 a mile plus 40 cents fuel surcharge. You ought to be able to pull averages at ($1.75-$2.25) or well above that with your own authority but can you do it is the only question? No-one can really answer that for you. The only way to know is to get out here, compete, and find out on your own.
     
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  4. Tama Mai Hawaii Nei

    Tama Mai Hawaii Nei Light Load Member

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    Sep 6, 2013
    Las Vegas, NV
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    That makes better sense then what I have been told. I am working on my contract now and I figure 2.50 - 3.00 a mile is a good rate any less just dont seem worth it. I understand costal states TX,FL,CA are going to be cheaper Ill stay around 2.50 in those states charge $600 anything local $60 hr 10hrs minimum. $50 dollar drop or pick up fee after 1st. $125 per hour dentention after 3 hrs and $300 tonu fee I don't plan on running cheap freight and get the label Ill run for cheap and bank rupt in 3 months. Like I stated I am not hurting for money so I can be firm with my rates and if I don't get I can afford to sit home a little longer. I know this kind of arrogant of me but I plan on hiring drivers and expanding and if I want good drivers and treat them right then I have to stick to my guns. The moms and pops out there probably cant pay my rates but the bigger shippers can and if I offer great on time service then there should be no reason my rates are high. I kinda look at it this way if I got a million dollar load would I want to pay cheap prices to anyone to deliver it or pay little higher for dependable service.
     
  5. Higb

    Higb Light Load Member

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    Nov 24, 2009
    Augusta, GA
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    What the guy said above is correct.
    You have to get out here and do your best.

    I haul for $2 and better for weeks but have to DH sometimes great distances to get those loads and that brings my average hub rate down to $1.8 or $1.7.
    Sometimes I've been in the right place at the right time and got $2000 for a 480 mile haul.
    You need to study the areas, get your feet wet, and hope you don't go broke before you figure it out.
     
  6. landstar8891

    landstar8891 Road Train Member

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    It depends on who you can find...That is the ''object''..It's like trying to find the dope dealer who has the ''best'' stuff...

    As we speak i am with an agent who has the ''good stuff'' from a ''good customer''...I am grossing around 3.00 a mile on all hub miles..6,200 a week for 1950 miles....

    I will ride this horse till the horse breaks a leg,then its back to the drawing board..At 72% it is 2.16 a mile to me...L/S Trailer is 65 % so that is 1.95....

    If i was an ''independent'' it would be 3.00 a mile to me runninmg ''direct'' for this customer....This is why many guys want there own AUTH.They can have a better chance of running ''direct'' and cut out the brokers and carriers..As long as i lease my truck to Landstar,i will never have this opportunity to find direct great paying loads...
     
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  7. Higb

    Higb Light Load Member

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    For short hauls like 150-300 miles
    My rule of thumb is $500 a day for the truck and $75cpm for fuel
    I don't always get that and sometimes won't pull the load. Sometimes I agree to go a tad cheaper but I'm loosing money if I do.

    Check out my Cost to Operate page at Blogger http://higb7.blogspot.com/p/blog-page_8.html
     
    Victor_V Thanks this.
  8. rollin coal

    rollin coal Road Train Member

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    You need to toss what you think you know out the window and just get out here and learn it. The good news is you can afford to be patient. That should bode well if you play it smart. As far as being able to offer big customers ontime trucks and hiring good drivers, well, good luck with that one. There's lots of established companies out here doing that already and finding good drivers for a small startup company... ...let us know how that one turns out....
     
    Lilbit and Lone Ranger 13 Thank this.
  9. Tama Mai Hawaii Nei

    Tama Mai Hawaii Nei Light Load Member

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    Sep 6, 2013
    Las Vegas, NV
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    I don't plan on getting drivers right away trust me on that I figure I would make my mistakes before I am even ready to bring on drivers. I just know in order to get drivers the pay needs to be good home time needs to be good benefits etc.
     
  10. snowwy

    snowwy Road Train Member

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    you see a lot of good paying loads. but i'm willing to bet you haven't called them to find out what they are.

    most of them have out of the way extra stops. or are wide loads. making that great paying load not so great anymore.

    i'm looking at a load right now. for where i'm going to be on friday. $2000 for a 500 mile trip. only thing listed on the load. is 5 zip codes. making that 1 day 500 mile trip actually 3 days and 1400 miles.
     
    Lone Ranger 13 and Lilbit Thank this.
  11. Semi Crazy

    Semi Crazy Road Train Member

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    Good drivers want good equipment too.

    I'd rather herd cats than depend on today's average driver for my business.
     
    wstar2003, Cetane+, mikec265 and 5 others Thank this.
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