mileage or %
- Thread starter jlm7201
- Start date
Using 77cpm as the compensation amount you would get either 46cpm or 50cpm at 60/65%. In my D unit I've averaged 14.5cpm fsc on all paid miles since 2/1. I have no idea what vans get so I'll use 7cpm average on all paid miles. That puts you at either 53/57cpm depending on 60/65%. At $3 per gallon and 15mpg your cost for fuel is 20cpm so you'd come out a few cpm ahead taking the percentage plus fsc. If you go the flat 30cpm you don't have to worry about excessive deadhead miles which could quickly put you into a negative situation on the percentage plan.
It might never come up but I'd be sure you also get 100% of any load/unload pay, unless the owner is going to fly in and help you and then it should be split like anything else. You should also get a split of detention pay if you take the percentage plan since it's a loss of earning potential to you as well as the van. Good luck to you.
Leo Bricker
OOIDA 677319
truck 4958
73's K5LDB
Support the entire Constitution, not just the parts you like.
It might never come up but I'd be sure you also get 100% of any load/unload pay, unless the owner is going to fly in and help you and then it should be split like anything else. You should also get a split of detention pay if you take the percentage plan since it's a loss of earning potential to you as well as the van. Good luck to you.
Leo Bricker
OOIDA 677319
truck 4958
73's K5LDB
Support the entire Constitution, not just the parts you like.
Mugg2000
Expert Expediter
>I have had offers to drive cargo van for fleet owners. Some
>are 60-40 or 65-35 split, I pay fuel & tolls. Also 30 c.p.m.
>owner pays fuel & tolls. Offers where I pay fuel I get fuel
>surcharges. Any opinions on which would be best deal????
Let me try and understand some of the math here. Percentages versus Straght Miles as I believe
Rex and Leo pointed in several post can be tricky.
First is this your truck or his truck.
let's me take your scenario:
If he is willing to pay you $.30 a mile, it is assumed he has at least 1.00 per mile load.
That means of a 500 mile trip you make $150.00 End of discussion. I left out truck payments
meals. etc
Now it he has a 500 mile load at a $1.00 a mile your take is $300.
Plus a 12% FSC (making it easy) $36.00
Now you have $300 + $36.00 = $336.00
If you get 12 MPG you will need 41.67 Gallons for the trip @ $2.50 a gallon
That means $104.17 to fuel
Lets use the .347 per Mile. Operating Cost I think Leo used in another post $ 173.50 To your business
OK Now it appears you only made $58.33 or 12%
Without the Operating Cost which you did use in the first example of straight Miles you just made 231.83
or 46%. Now the only other person we must pay is Uncle Sam. So in your $150.00 just dropped by $45.00.
Using the ole 30% bracket rule.
If you are an o/o and you start showing 46% profit instead of the 12% as in example 2
with the operating cost Your Taxman will kick you butt.
What all that really means is this you are not the business, you are just one part of a
possible profitable business.
>are 60-40 or 65-35 split, I pay fuel & tolls. Also 30 c.p.m.
>owner pays fuel & tolls. Offers where I pay fuel I get fuel
>surcharges. Any opinions on which would be best deal????
Let me try and understand some of the math here. Percentages versus Straght Miles as I believe
Rex and Leo pointed in several post can be tricky.
First is this your truck or his truck.
let's me take your scenario:
If he is willing to pay you $.30 a mile, it is assumed he has at least 1.00 per mile load.
That means of a 500 mile trip you make $150.00 End of discussion. I left out truck payments
meals. etc
Now it he has a 500 mile load at a $1.00 a mile your take is $300.
Plus a 12% FSC (making it easy) $36.00
Now you have $300 + $36.00 = $336.00
If you get 12 MPG you will need 41.67 Gallons for the trip @ $2.50 a gallon
That means $104.17 to fuel
Lets use the .347 per Mile. Operating Cost I think Leo used in another post $ 173.50 To your business
OK Now it appears you only made $58.33 or 12%
Without the Operating Cost which you did use in the first example of straight Miles you just made 231.83
or 46%. Now the only other person we must pay is Uncle Sam. So in your $150.00 just dropped by $45.00.
Using the ole 30% bracket rule.
If you are an o/o and you start showing 46% profit instead of the 12% as in example 2
with the operating cost Your Taxman will kick you butt.
What all that really means is this you are not the business, you are just one part of a
possible profitable business.