Hauling regular freight, dry van or deck freight.

IMO... a buck a mile for an o/o, independent even more(depending on circumstances of course).

 

:shock:

I'd have to average almost $3.00/mi to profit that much.

I'm wondering how exactly you manage or expect such a huge profit margin.

 

Someone please explain profit...again.

 

:lol:

Profit = money left over after all expenses, including wages.

 

:roll: :roll: :roll: :roll: :roll:


I'm curious. In your numbers you posted before which I listed above you don't have profit or ROI included which BigDiesel would say you don't know how to run a business???

 

I'll restate your original question another way: What do you think an o/o or independent SHOULD profit?

I don't know if it's your intention but let's say for a moment profit in this case includes driver pay. Is anyone besides Bandit's Cousin or anyone in a niche that just pays well above market rates, is anyone making a buck a mile? Don't most O/O barely make company drivers' pay?

That seems to be my case. I'm personally in the situation of considering a job change or a company job. It would be nice if everyone could get honest here a bit. Is anyone making, say, the equivalent of $70,000/yr NPBT?

 

I know you don't understand the concept of profit or ROI, but:

1. Profit is not an expense, and
2. ROI is the same thing as profit.

Now, if you could be so kind as to show me where I have any of my revenue listed on there, I'd be happy to calculate my ROI for you. I think you'll be hard pressed to find a line even on there for entering revenue, making the ROI line superfluous.

I do find it quite curious, however, that you have my expenses at such quick access. Sounds awfully obsessive.

 

The definition of profit usually doesn't, but okay. :wink:

Niche areas may offer higher revenues per mile, but in most cases, the miles are a lot less, rendering that high rate per mile useless.

Many don't even make that. I think you'd find that there are a lot of O/O's who neither understand the concept of profit, nor have ever turned a legitimate (by the definition) profit as an O/O. I think you'd find several on this board.

I'm sure there are. I'm also sure that they know they are, rather than "winging it" like many O/O's do, picking up the scraps after the truck-specific expenses are covered.

 

Let's try this, then:

9,000 mile = $9000. $9000(12) = $118,000. Now this is profit, and you can choose the best definition, including or not including drivers' pay.

Seriously, I was hoping to be close to being out of debt by the end of the year. It seems I've made no progress these last four months and the truck just keeps putting demands on me. The latest, a tandem on my tractor, it looks like rubber was shaved off flattening them and making the ride bumpy, I don't know why. I MUST think about parking the truck.

Seriously, if I can't make the equivalent of $70,000 net before taxes, why am I incurring these risks? Why am I paying self employment taxes and health insurance (or should be paying health insurance)? I'm not trying to make this thread about me. I'll just watch the responses to making $118,000 profit after driver's pay, should be interesting. 8)

 

There are few owner operators who will make $118,000/year. There are a couple of reasons why owner operators why they don't earn this much profit. Foremost are the rates. Rates are generally way too low to have this much profit for most owner operators. Another reason is that there are way too many owners who don't know how to run their business. Part of running a successful business is getting decent rates. Unless you run at fair rates you won't be profitable. Unless you can earn more than drivers wages, it isn't worth the effort or risk. When new owner operators start out it is difficult to know your operating costs. That is why it is critical to do your research. Most come to this board expecting a cookie cutter approach to calculating operating expenses. It doesn't work that way. Some get frustrated that we cannot give them exact operating costs. They don't understand that everyone has different costs, so everyone will have slightly different operating costs. Owners should have at least a 30% profit after all expenses (including drivers wages) are paid. I doubt most will have that much profit.