12/17/2023
Well folks, I know I don't post much here, but all the info is still relevant...
If you can't come up with a Working Break Even Number, then you don't need to be an Owner/Operator...
The info on figuring out your own personal Break Even is all here on this page, you may have to skip a few other things to find stuff, but I guess I can put it all right here again...
First cost is your Fuel, that is your #1 Expense, and to figure out your fuel mileage, or for a good average you need to track Every Fuel purchase for 3 months, along with keeping accurate mileage numbers... For Example... Last month I drove 8,892 miles on 1,335.762 Gallons of Fuel, so my Fuel milage last month was 6.565 MPG... If you do this for 3 months you can get an average that will work for you very well... Now figuring your cost per mile on Fuel is a little weird, but not terribly hard... Example 4.579 per gallon devided by 6.656 MPG Equals out to$0.69 cents per mile for your fuel cost...
Next on the list is your wages, None of us work for free, and paying yourself something is always a good idea, I normally set my base pay at $0.45 a mile
Third on this list is your Maintenance, I automatically put $0.60 a mile away for repairs, this includes tires
Fourth on that list is your truck payment, if it's a weekly payment you figure it out like this... Example, $945.00 a week Devided by 7 days, devided again by your Average Daily Milage... Again we are using an average number for your mileage, but again it is a little easier to know your Average Daily Milage Example for this number is. You are running on Average 120,000 miles a year, and you are out for 300 days for the year, that puts your Average Daily Mileage at 400 miles a day. Now take your payment, $945.00÷7=135.00 now devide that number by your daily mileage... $135.00÷400=$0.34 per mile
So let's add up where we are right now not including Health insurance, or expenses at home
$0.69+$0.45+$0.60+$0.34= $2.08 a mile just to cover the basic costs for operating your truck... Not including your Health insurance, or your bills at home...
I know this seems really difficult to sometimes understand, but I'm trying to help you understand where you need to be minimum to break even, not to turn a profit,
Please remember I can work your exact numbers for you to help you understand better, these are just examples, not actual numbers that I'm running for anyone, or a particular truck payment these are just average numbers that I know a re somewhat factual...
Please remember to like the page if you find it useful, and check back from time to time of any new information becomes a ailable...
Speed Safely, Drive SANE, and Have a Merry CHRISTmas...