Trucking 101. The way it is.

[louixo]

I see lots of opinions on this forum, addressing every question that prospective newbies would like answered. Most are valid and thoughtful answers from the point of view of the author. Some are transparent garbage from wannabe trucking experts. The truth is that none of us are true experts, because the industry is ever changing, with new issues to confront as the industry progresses. Many of us are quite knowledgeable in areas of experience that we personally have dealt with,and for that reason I think a newbie would do well to listen to the advice that comes from someone who has "been there and done that".
The main questions I see here are "how much can I make with a particular size unit" and "what size" unit should I run. The answer to the latter is your personal choice. The answer to the former, is "depends"...which has been repeated over and over. It depends on variables like are you running single or team? Available all the time, or want to be home several times a week? The list goes on and on. Are you a good money manager? Planner? Willing to hustle? All of these questions and more will define "what YOU can make". The beauty of trucking is, that if you want to make more, you can, by putting in more hours, being out longer, or buying a bigger rig, or multiple rigs. If you want to be home more often, you can, because YOU make the decisions to run your little business, but you will have to give up some potential revenue, because you won´t be making anything while sitting at home. The bottom line is simple. Run more, make more. Run less, make less. However many of these variables that determine your revenue are beyond your control. Company you work for. Loads available etc. Therefore, what you see answered on this forum from those who give you the benefit of thier knowledge are "AVERAGES" from experienced people trying to give you a fix on a target that can´t be fixed, unless you work for wages. What I personally can tell you definetively from my personal experience in expediting, after several years of running a "D"unit, both team and single is:

AVERAGE WHEN RUNNING SINGLE..$1200-$1600 per wk. in my pocket.
RUNNING TEAM....$$1800-$2800 per wk. in our pocket.
When running team or single we stay out 3 months or more at a time, and take days off when and where we find them. We always have taken at least two months off in the winter. Keep in mind that we get some banner weeks where our average is doubled or more. But the AVERAGE varies little for 52 weeks. How much do we keep at the end of the year, depends on how many motels we use, how many days we take, how many gadgets and toys we buy etc. So, in short, we make enough for us. You should too, or you´re in the wrong business. If you´re entering trucking as a driver or owner-operator to get rich, forget it. If you want to make a nice living, and you truly enjoy the road lifestyle, I can´t think of a better job. If you want rich...put together some investors and buy your own trucking company. Then you can pay the rest of us "that high mileage rate".

 

[Dreamer]

Excellent post louixo, you summed it up nicely..


Dreamer

 

[OntarioVanMan]

Yes louixo excellent post very much a round up of all the newby questions.

 

[teacel]

Very nice indeed Louie!!!

I think most of the people asking these questions don’t realize they are the ones in control. If they knew prior to asking, that becoming a driver as an independent, weather driving someone else’s truck or driving their own, that they are now entering the business world as what’s known as an Entrepreneur, they may not be asking those questions. That’s about where becoming a driver as an independent puts you. You are as Louie stated in control! Now as in Weaves new sig quote, some companies will treat you as if you are their employee. BUT!!! Only if you allow them to do so.

Once a person learns the particulars on how to become a driver, the rest of that persons energy should be on the expediting companies. What I mean by that is – As Louie stated: < variables like are you running single or team? Available all the time, or want to be home several times a week? The list goes on and on. Are you a good money manager? Planner? Willing to hustle?>

The company you decide to drive for also plays a very big rule in your future, and the type of money you will or will not make. Researching a company within that company is only going to give the answers that company wants you to know. If a company is in need of drivers they may (notice the word) paint a glamorous picture. Asking questions on this or any other forum isn’t going to get you the right answers either. Some drivers will bash a company, for what ever reason, or not tell you the truth in fear of you being hired and taking work from them, and so on. There are many other ways to research a company. One of those ways is to meet some drivers. Meeting a driver in person and talking to them will get you a better perspective of the company that driver works for. Going to driver hang outs and ease dropping (not letting the drivers know you are listening) may also tell you thing about a company. You have to rely on your judgment when meeting drivers. Some will play games and some will be honest and truthful. Are you a good judge of people?

Some important things you may want to find out about a company are: Do the dispatchers show favoritism? Some have been none to do so! Does the company have to many drivers for the work they have? If it were up to some companies they would hire a driver and set him or her on every customers door step. Are the sales reps good, do they bring in new accounts? The salesmen are a part of how you stay busy! Does the company have repeat business from a lot of the same customers? This will give you a perspective of the reputation a company has with it’s customers. Is the company honest to the drivers (Is the driver honest to the company? It goes both ways!)? How do they treat the drivers? Are the drivers staying busy? Honesty between a driver and a company is important. Mutual respect for one other is also very important. Knowing the wait time in-between loads will also let you many things about a company And so on and on!!!

There are many more things you need to know about a certain company before you decide to work for that company. Working for the right company and doing the right thing will make you a successful expediter. You and the company you decide to work for have to work as a team. The two of you need to form a bondable partnership. If you can click you will do fine.

Remember! Don’t focus on all the negativity! You have to give to get! Most people that get into expediting either love it or hate it. Most of the time the ones that hate it can't get out of it for one reason or another. If you love this type of work, learn the right way to do it and you can control your destiny. LOL!!! x( :7 ;-) :9 :* :+ :'( :-(
The smile that is missing will not work!!!

 

[Dreamer]

Good stuff Teacel, and may I add a couple from my personal list:

If you want to get an idea how busy the company is, ask them:

How many trucks do you have signed on/what sizes

How many loads did you have YESTERDAY(or pick a few days)broken down by size

in other words,

you wanna know what ratio of trucks to loads they try to maintain.

If they have 3 trucks for every load... you're not going to be busy... if they have 1 to 1 or better, you're gonna run.

simple math

 

[guest]

Thanks for the advice everyone. I've asked a lot of these questions myself and yes, I'm as guilty as anyone of repeating them over and over and over. This is a very informative forum and i have found what seem to be good answers to almost every question I've asked. A lot of information can be found here just by browsing the archives.

One question that I am having hard time getting nailed down is whether or not a solo D unit can average $1/mile for all miles. I asked for some info. in a seperate post yesterday that would solve this mystery for me, but no response as of yet. The way I see it is simple, if you roll 80K miles on your odometer this year, did you gross $80K ?

Here's the numbers I've put together from one recruiter. I don't think he intended for me to read between the lines, but i did. $1.15/mile for loaded miles; 30% deadhead; 4-5% variance from routed miles to actual miles. These numbers tell me that you can subtract 35% from the loaded mile pay, which would bring you down to $.75/mile for all miles. I think you might get by on that, but i wouldn't want to invest money into it.

$1/mile avg. for all miles. Are YOU getting that? That's the main question that keeps eluding me on here.

Thx again for some great advice and please don't be offended by my statements, just trying to get to the point.

 

[teacel]

I don’t think any one driver solo or team can give you that answer. That $1.00 all loaded miles isn’t happening! Not even in the WGD!!! I know most drivers do an average of about 80 to 85 cents all miles for the year, driving a “D” unit. If I’m wrong so be it and you are one of the luckier ones. Most drivers doing 100000 miles a year are grossing about $80K for the year.

As you already know some will do less and of course some will do more. I have to say on an average 80 cents is a more realistic number. Poll 100 drivers, driving “D” units, and I would say you will come very close to 80 cents. We do have a forum poll that could be started so lets try it out. Happy New Year, and please drive safe and very defensive tonight, if you are going out.

 

[guest]

thx teacel... that's exactly the info i was looking for and I love the idea of the poll. I've already been trying to "push" it along. i was settling in on the .80-.85 range somewhat. One recruiter told me that i could expect high .90's but he was only paying $1.00-$1.09/loaded mile. I didn't question him on the phone, but i don't have to buy a new calculator to figure that one out Maybe he has 10% deadhead, but the 25-30% seems to be what most drivers are reporting on these forums.

Thx again and I love the poll idea!!

 

[davekc]

One thing I might add is that it is possible to average #1.00 a mile with a few of the companies. From my experience it is possible with FedEx and Panther. Remember, this is from my experience. Depending on when you signed on, Panther was paying $1.35 per mile and now I think it is $1.20 plus a average 5 to 6 cent fuel surcharge. Deadhead is .50 a mile after the first 100, and a empty move to a location is .13 a mile. Milage is factored on PC miler. Deadhead percentage lately has been 20% but a realistic average could be up to 30% In todays market, I don't think $1.35 a mile is all that bad. Like the above posts say, research everything you can about a company. We also run a logging truck at $2.00 a billed mile. Basically a dollar there and a dollar back.

 

[RichM]

For the last few years we have averaged about a $1.81 per loaded mile and about a$1.10 for all miles.But that $1.81 is misleading as many trips have accessory charges such as inside pickups and deliveries,liftgate work,climate controlled shipments, etc and you do EARN those extra bucks for sure. Your own personal deadhead requirements can reduce the total pay per mile. Believe it or not the rates that the auto companies pay are less then they were in 1987.I would stay away from any company that does a lot of NLM or Auto parts business.They play the companies off against each other and you wind up on the short end of the paycheck.

 

[louixo]

When asking for a mileage figure for all miles, I think some of you are missing the "key word" in what I was trying to say. The word "DEPENDS". I think that $1.00 a mile is achievable for all miles, but what are you talking about? Gross or net? Example: If you average $1.10 all miles (which in my opinion is high if you´re thinking net, but possible if you´re thinking gross) Many companies pay a higher mileage rate, and don´t pay tolls. So your gross is still high, but your net goes down if you hit the toll roads, and pay it yourself. But if you are using the toll roads, you´re productivity goes up, as the time between "point A" and "point B" will be less. If you are selective in your load acceptance you can maintain a higher loaded per mile figure, by limiting deadhead etc. But, what is your year end figure going to be? I focus on volume, and don´t worry too much about deadhead, and maintaining a mileage figure, because it all washes out over time, and as I´ve said before on this forum, you will end up making the same at most any company,because in the end they all compete for the same freight with basically the same considerations in what they pay the truck going in. The revenue difference over time for me, the owner -operator, being in how many loads I take, not in the mileage figure I maintain. Reason...that´s the cost of moving freight...period!! Nobody in thier right mind is going to take a load that costs them money. But I know over the years I´ve taken lots of breakevens, or little profit, instead of moving empty, just to get to the next load. When doing it, my mileage figure will go down, but my net will increase because I´m maximizing productivity. There have been many cases where if I considered maintaining my mileage figure for all miles, in the long run I would make less money at years end, because I was paying attention, to the wrong figure!
Don´t get me wrong, I turn down loads, for many reasons, but mostly because the ones I do turn down, are wasting my PRODUCTIVE time, and the bummers that I accept give me a window, to increase my produtivity. So in short, the maintaining of a high mileage figure takes a backseat to my year end net. That is the only figure I´m interested in, and to get there, you keep your mileage figure at a profitable level as best you can, without making a particular figure your target to survive. There are many ways to cut expenses, and many ways to spend money. Planning is the ingredient, that lets you balance to a profitable payday. By thinking volume, I´ll run more miles than the next guy, and my mileage rate will be lower, but at years end I´ll net more money. Just a postscript here: I personally shoot for a dollar all miles, and that keeps my net all mile figure higher,( you have to have some barometer) but that constant dollar a mile is rare. And I take few of those bummer loads during the year.

 

[tas6292]

tas6292
Hi everyone,I guess you can call me a newbie at this expedited freight business. I've been driving over the road for 18 yrs and have been an o/o for the last 9 yrs. I just bought a van, and I'm fixing it up to start work in a few months. For as much as you can make, the more you work the more you will have. This last year I drove 117,000 miles and only made $107,000. First of all I take 10% off the top when taking a load, and in a semi truck it costs about 1/2 the revenue to run the truck; and if its a heavy load it can cost more. That is why I want to change; I hope by the lesser cost to operate the van that I will do ok. When I started with my first truck everyone told me I couldn't make it, but I bought three trucks, and the last one is paid off. I would like to go to Landstar but you have to buy a van that is already with them, and I can't see buying one that is about worn out, so I've been talking to some Tri-State drivers, and so far I think I might go there. I will have
to see. I hope that you get your answers, Arky. Good luck to you.