$1000 per day to the driver

Jan 05, 2015 at 12:29 PM CST + 13 - 3
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I hear a lot of owner/operators talking about to little pay while basing everything on their per mile rate. By playing with the formula below it will change the way you look at rates and improve your bottom line. "The real cost of trucking in the USA" acording to TheTruckersReport.com is $1.38 per mile. That includes driver wages at .36 so I use $1.00 per mile as an easy way to figure for fuel, tires, PMs, lic, ins, etc. I like to figure my rates based on my wages per day and trucking expence so I use the formula below to convert to rate per mile or total rate before quoting rates. Formula: ((Trip miles X $1.00 expence) + (desired wage X days to complete)) divided by trip miles = rate per mile (include deadhead miles in your trip to keep it accurate. and be realistic with load/unload times) Examples below show money per day to the driver at the rate per mile: 400 mile 1 day run.......... 400 miles x $1 + $500 per day = $900 divided by 400 mile = $2.25 per mile 600 mile 1 day run.......... 600 x 1 + $600 = $1200 divided by 600 miles = $2.00 per mile 1000 mile 2 days.............1000 x 1 + $700 per day = $2400 divided by 1000 miles = $2.40 per mile, $500 per day = $2.00 per mile 1800 mile 3 days..............1800 x $1 + $800 per day = $4200 divided by 1800 miles = $2.33 per mile 1800 mile 3 days.............. 1800 x $1 + $1000 per day = $4800 divided by 1800 miles = $2.67 per mile 200 miles and 2 per day.... $400 x 1 + $1000 per day = $1400 divided by 400 miles = $3.50 per mile So it is possible to make $1000 per day but $500 - $700 is a lot more reallistic at this point, especially on the shorter runs. Don't forget to figured in for deadhead and load/unload times. Have a prosperous new year!

Replied on Tue, Jan 06, 2015 at 09:45 AM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Thats good information. I use a similar formula.

Replied on Tue, Jan 06, 2015 at 02:06 PM CST + 1 - 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I have a spreedsheet that makes it all real easy. I'd be glad to send a copy to anyone that wants to look at it. Just send an email with "Rate Calculator" typed on the subject line to [email protected] I don't know how hard it is to make an app for smart phones but I would be interested if anyone could help out.

Replied on Tue, Jan 06, 2015 at 08:13 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Looks like balogna to me. What driver gets $.70 to $2.50 per mile? Are you hiring? I will haul two 200 mile trips for $1000 per day. I bet you are not real busy with numbers like that. Expense, spreadsheet. I'm not really looking for work, that is just ridiculous. Good luck in your endeavors.

Replied on Tue, Jan 06, 2015 at 09:59 PM CST + 1 - 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Quote: "Looks like balogna to me. What driver gets $.70 to $2.50 per mile? Are you hiring? I will haul two 200 mile trips for $1000 per day. I bet you are not real busy with numbers like that. Expense, spreadsheet. I'm not really looking for work, that is just ridiculous. Good luck in your endeavors. " He was stating that the driver was making .36 per mile not .70 per mile. My drivers are on percentage as most hopper drivers are, so yes there are times that my drivers have made .70 per mile. If you look at his formula and adapt it to what you want to make per day relistically, than it will work. I have a percentage that I like to make in profit, some use a hard number like he has. The bottom line if done right they should come out pretty close to the same.

Replied on Tue, Jan 06, 2015 at 09:59 PM CST

+ 1 - 1

Posted by a private BulkLoads.com member.

Quote: "Looks like balogna to me. What driver gets $.70 to $2.50 per mile? Are you hiring? I will haul two 200 mile trips for $1000 per day. I bet you are not real busy with numbers like that. Expense, spreadsheet. I'm not really looking for work, that is just ridiculous. Good luck in your endeavors. "

He was stating that the driver was making .36 per mile not .70 per mile. My drivers are on percentage as most hopper drivers are, so yes there are times that my drivers have made .70 per mile. If you look at his formula and adapt it to what you want to make per day relistically, than it will work. I have a percentage that I like to make in profit, some use a hard number like he has. The bottom line if done right they should come out pretty close to the same.

Replied on Wed, Jan 07, 2015 at 10:01 AM CST + 2 - 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. OK, I admit I was trying to get everyones interest with that $1000 dollar title. The truth is I have made that on occasion but as I said in the post 500 -700 is a lot more realistic. My problem pulling a flat is not usually the wait time but the load and unload times. That's why I became interested in drybulk but I'm seeing a lot of complaining about wait times here too. I average about 4 to 5 hours per load so that leaves 9 to 10 hours driving or about 600 miles on a load/unload day. As the spreadsheet I spoke of above indicates, I will come closer to my per day income goal on trips of 1300 miles or 1900 miles because of this. If we could drop and hook or had 0 wait time loading and unloading the shorter hauls could work with the proper rate. If owner/operators would stop looking at only the rate per mile and get a better handle on their actual profit, the rates would begin to increase on short hauls. Example: The load board is showing a load from Memphis to Salt Lake City, $3237.00 on 1600 miles or $2.02 per loaded mile. There is also a load from Memphis to Dallas for $979.00 on 450 miles or $2.18 per mile. Figuring 3 days of easy running to Salt Lake and you take home $512.33 per day with 1 load/unload day. With the Dallas run you take home $429 per day and have to load and unload every day. So even though you are getting paid 16 cents per mile more on the Dallas run you take home $83 less per day. That's $500 extra in a 6 day week. As I posted earlier, I will share the "rate calculator" spreadsheet with anyone who is interested. Independent owner/operators need to stick together, help each other, and work smarter to stay in business.

Replied on Wed, Jan 07, 2015 at 10:01 AM CST

+ 2 - 1

Posted by a private BulkLoads.com member.

OK, I admit I was trying to get everyones interest with that $1000 dollar title. The truth is I have made that on occasion but as I said in the post 500 -700 is a lot more realistic. My problem pulling a flat is not usually the wait time but the load and unload times. That's why I became interested in drybulk but I'm seeing a lot of complaining about wait times here too. I average about 4 to 5 hours per load so that leaves 9 to 10 hours driving or about 600 miles on a load/unload day. As the spreadsheet I spoke of above indicates, I will come closer to my per day income goal on trips of 1300 miles or 1900 miles because of this. If we could drop and hook or had 0 wait time loading and unloading the shorter hauls could work with the proper rate.

If owner/operators would stop looking at only the rate per mile and get a better handle on their actual profit, the rates would begin to increase on short hauls.

Example:
The load board is showing a load from Memphis to Salt Lake City, $3237.00 on 1600 miles or $2.02 per loaded mile. There is also a load from Memphis to Dallas for $979.00 on 450 miles or $2.18 per mile. Figuring 3 days of easy running to Salt Lake and you take home $512.33 per day with 1 load/unload day. With the Dallas run you take home $429 per day and have to load and unload every day. So even though you are getting paid 16 cents per mile more on the Dallas run you take home $83 less per day. That's $500 extra in a 6 day week.

As I posted earlier, I will share the "rate calculator" spreadsheet with anyone who is interested. Independent owner/operators need to stick together, help each other, and work smarter to stay in business.

Replied on Wed, Jan 07, 2015 at 04:19 PM CST - 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. you have my curiosity please email me one of those spreadsheets thank you

Replied on Wed, Jan 07, 2015 at 04:52 PM CST + 2
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Be glad to, just send an email to [email protected] and type "Rate Calculator" in the subect line. That way I'll know where to send it.

Replied on Wed, Jan 07, 2015 at 07:26 PM CST + 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. You better check your math, Dallas pays better. So much could be said. Bottom line know your cost so you can be profitable! A guy that figures cost / profit in pennies per mile will be more profitable than a guy figuring dollars per day. Again good luck!

Replied on Wed, Jan 07, 2015 at 07:47 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Quote: "OK, I admit I was trying to get everyones interest with that $1000 dollar title. The truth is I have made that on occasion but as I said in the post 500 -700 is a lot more realistic. My problem pulling a flat is not usually the wait time but the load and unload times. That's why I became interested in drybulk but I'm seeing a lot of complaining about wait times here too. I average about 4 to 5 hours per load so that leaves 9 to 10 hours driving or about 600 miles on a load/unload day. As the spreadsheet I spoke of above indicates, I will come closer to my per day income goal on trips of 1300 miles or 1900 miles because of this. If we could drop and hook or had 0 wait time loading and unloading the shorter hauls could work with the proper rate. If owner/operators would stop looking at only the rate per mile and get a better handle on their actual profit, the rates would begin to increase on short hauls. Example: The load board is showing a load from Memphis to Salt Lake City, $3237.00 on 1600 miles or $2.02 per loaded mile. There is also a load from Memphis to Dallas for $979.00 on 450 miles or $2.18 per mile. Figuring 3 days of easy running to Salt Lake and you take home $512.33 per day with 1 load/unload day. With the Dallas run you take home $429 per day and have to load and unload every day. So even though you are getting paid 16 cents per mile more on the Dallas run you take home $83 less per day. That's $500 extra in a 6 day week. As I posted earlier, I will share the "rate calculator" spreadsheet with anyone who is interested. Independent owner/operators need to stick together, help each other, and work smarter to stay in business." Great info! There is always so much negative stuff on here. Do you think 25 percent of gross is a good wage for a driver? Example $2.02 on the Salt Lake run would be .51 cents. That was the way my dad always paid his drivers and i think they were more loyal to him and took care of the equipment like they owned it. What do you think you can average in time just driving the Salt Lake Run? 50 mile per hour is 32 hours total. That would be about $101.00 just for the driving part. I am not factoring the other work involved in chaining tarping securement. So I Guess what I am asking is what do you think you can gross per hour to your truck and to you after final expense gross then net. Would like hearing and seeing more of your spread sheets and advice. I can be contacted at [email protected]

Replied on Wed, Jan 07, 2015 at 07:47 PM CST

Posted by a private BulkLoads.com member.

Quote: "OK, I admit I was trying to get everyones interest with that $1000 dollar title. The truth is I have made that on occasion but as I said in the post 500 -700 is a lot more realistic. My problem pulling a flat is not usually the wait time but the load and unload times. That's why I became interested in drybulk but I'm seeing a lot of complaining about wait times here too. I average about 4 to 5 hours per load so that leaves 9 to 10 hours driving or about 600 miles on a load/unload day. As the spreadsheet I spoke of above indicates, I will come closer to my per day income goal on trips of 1300 miles or 1900 miles because of this. If we could drop and hook or had 0 wait time loading and unloading the shorter hauls could work with the proper rate. If owner/operators would stop looking at only the rate per mile and get a better handle on their actual profit, the rates would begin to increase on short hauls. Example: The load board is showing a load from Memphis to Salt Lake City, $3237.00 on 1600 miles or $2.02 per loaded mile. There is also a load from Memphis to Dallas for $979.00 on 450 miles or $2.18 per mile. Figuring 3 days of easy running to Salt Lake and you take home $512.33 per day with 1 load/unload day. With the Dallas run you take home $429 per day and have to load and unload every day. So even though you are getting paid 16 cents per mile more on the Dallas run you take home $83 less per day. That's $500 extra in a 6 day week. As I posted earlier, I will share the "rate calculator" spreadsheet with anyone who is interested. Independent owner/operators need to stick together, help each other, and work smarter to stay in business."

Great info! There is always so much negative stuff on here. Do you think 25 percent of gross is a good wage for a driver? Example $2.02 on the Salt Lake run would be .51 cents. That was the way my dad always paid his drivers and i think they were more loyal to him and took care of the equipment like they owned it. What do you think you can average in time just driving the Salt Lake Run? 50 mile per hour is 32 hours total. That would be about $101.00 just for the driving part. I am not factoring the other work involved in chaining tarping securement. So I Guess what I am asking is what do you think you can gross per hour to your truck and to you after final expense gross then net. Would like hearing and seeing more of your spread sheets and advice. I can be contacted at [email protected]

Replied on Wed, Jan 07, 2015 at 08:41 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I think incentive pay is the only way to go! A workman is worthy of his hire. The harder and smarter he works the more he makes. I sent you the calculator. Enjoy

Replied on Wed, Jan 07, 2015 at 09:49 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Quote: "I think incentive pay is the only way to go! A workman is worthy of his hire. The harder and smarter he works the more he makes. I sent you the calculator. Enjoy" Thanks for the calculator, sent you one back as well.

Replied on Thu, Jan 08, 2015 at 08:30 AM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I'd like a copy of this calculator [email protected]

Replied on Thu, Jan 08, 2015 at 08:10 PM CST + 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I pay percentage starting off at 22% with my highest earning 30%. Deadhead pays percentage based on practical miles. On my local work I pay hourly. Most of my accounts are dedicated so my drivers generally know how much they are going to make every week. I figure my profit margins near 25%. My drivers stay happy, loads are on time, and trucks are kept clean. I have put into effect eld's in all of my trucks giving me the abilty to fit the loads to the drivers based on driving habits. I do from time to time get the occaisional spot load that comes in at an incredibly high rate which I give to my drivers on a rotational basis. I am by no means getting rich but am able to operate safely and account for any variable that may arise.

Replied on Thu, Jan 08, 2015 at 08:10 PM CST

+ 1

Posted by a private BulkLoads.com member.

I pay percentage starting off at 22% with my highest earning 30%. Deadhead pays percentage based on practical miles. On my local work I pay hourly. Most of my accounts are dedicated so my drivers generally know how much they are going to make every week. I figure my profit margins near 25%. My drivers stay happy, loads are on time, and trucks are kept clean. I have put into effect eld's in all of my trucks giving me the abilty to fit the loads to the drivers based on driving habits. I do from time to time get the occaisional spot load that comes in at an incredibly high rate which I give to my drivers on a rotational basis. I am by no means getting rich but am able to operate safely and account for any variable that may arise.

Replied on Thu, Jan 08, 2015 at 08:25 PM CST - 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I don't know how they came up with the cost per mile but the figures I saw last year were around a $1.70 per mile. I believe that was from the American Transportation Research Institute. ATRI. I may be a few cents off as I am going from memory but $1.70 is close. That was a compilation of information from many trucking companies actual cost. I would have more confidence in their numbers. They also sound more realistic.

Replied on Thu, Jan 08, 2015 at 08:25 PM CST

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Posted by a private BulkLoads.com member.

I don't know how they came up with the cost per mile but the figures I saw last year were around a $1.70 per mile. I believe that was from the American Transportation Research Institute. ATRI. I may be a few cents off as I am going from memory but $1.70 is close. That was a compilation of information from many trucking companies actual cost.

I would have more confidence in their numbers. They also sound more realistic.

Replied on Fri, Jan 09, 2015 at 01:16 PM CST + 1
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. You may be right with those numbers. I just grabbed the 1st thing that came up on Google. I've been running $1.15 to $1.40 per mile depending on if I have any major repairs. That includes everything. Meals, gloves, PMs, major repairs, licence, iInsurance and fuel. I own and drive the truck so everything above that is my wages. I'm only running 55,000 miles per year so that hurts my numbers some. If I was running 120,000 miles per year it would save me 10 cent per mile on the fixed costs and I'd be getting pretty close to that $1.00 mark.

Replied on Fri, Jan 09, 2015 at 01:16 PM CST

+ 1

Posted by a private BulkLoads.com member.

You may be right with those numbers. I just grabbed the 1st thing that came up on Google. I've been running $1.15 to $1.40 per mile depending on if I have any major repairs. That includes everything. Meals, gloves, PMs, major repairs, licence, iInsurance and fuel. I own and drive the truck so everything above that is my wages. I'm only running 55,000 miles per year so that hurts my numbers some. If I was running 120,000 miles per year it would save me 10 cent per mile on the fixed costs and I'd be getting pretty close to that $1.00 mark.

Replied on Fri, Jan 16, 2015 at 02:53 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I would be interested in looking at your spreedsheet you can e-mail me at [email protected]

Replied on Mon, Jan 19, 2015 at 02:22 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. OOIDA (dot) com has a similar article with calculations called Figuring Cost Per Mile. (Google those words to find it. No membership required.) The figures are old (and undated), but if my math is correct, they are assuming diesel at $1.30 per gallon. (100,000 annual miles. $20,700 annual fuel cost. If you figure 6.5 mpg, it works to $1.30 per gallon.) OOIDA shows $0.00 for a lot of things: trailer payment, cargo insurance, return on investment, legal fees, fines, workman's compensation, etc. They also assume driver's income to be $31,131 annually.

Replied on Mon, Jan 19, 2015 at 02:22 PM CST

Posted by a private BulkLoads.com member.

OOIDA (dot) com has a similar article with calculations called Figuring Cost Per Mile. (Google those words to find it. No membership required.) The figures are old (and undated), but if my math is correct, they are assuming diesel at $1.30 per gallon. (100,000 annual miles. $20,700 annual fuel cost. If you figure 6.5 mpg, it works to $1.30 per gallon.)

OOIDA shows $0.00 for a lot of things: trailer payment, cargo insurance, return on investment, legal fees, fines, workman's compensation, etc. They also assume driver's income to be $31,131 annually.

Replied on Wed, Oct 26, 2016 at 05:40 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. Its possible, i actually do it. I have this shipper that run 3 loads a week for, its 62 miles one way and he pays me $375 every run. Load weigh 39000, and theres no hills, been doing it for a yes so far. Be on time and never sell yourself short on a load lol it works for me. Rep/ good old school equipment is pretty much everything in this business.

Replied on Wed, Oct 26, 2016 at 05:43 PM CST
Posted by a private BulkLoads.com member.	Posted by a private BulkLoads.com member. I run chicken loads, also too lol