Owner Operator New trailer?

Skateboard puller

Well-Known Member
Thread starter #1
Been looking for a wagon off and on for awhile. I would get paid 5% more if I drug my own wagon. So for every $100,000 of gross revenue I’d earn $5000 more.

Not exactly great motivation.

BUT. Ideally, it’s mine, no more throwing tarps around from trailer to trailer. No more company driver BS, garbage in the tool boxes, lights out, air leaks, etc it’s on my shoulders and would stay neat and tidy and stay maintained.

Arguably I can potentially gross $300,000 in 12 months. For a round number. So $15,000 to go to trailer payments and maintenance. I mean if I pay cash there’s no payments but that doesn’t include a replacement fund either.

Also, disc vs drum brakes. I would lean towards speccing disc brake, the dealer in town has one with drum brakes. I’d be interested in a conversation on the ROI of the initial purchase price of discs vs the maintenance costs after. Everything I’ve read has said disc brakes, although more money up front, are a long term investment to see the return, and well worth the initial cost
 

Mike

Well-Known Member
Staff member
#2
What is the cost for a new trailer in your operation?

What is the lifespan of that trailer?
 

Skateboard puller

Well-Known Member
Thread starter #3
What is the cost for a new trailer in your operation?

What is the lifespan of that trailer?
$42,000 USD, was the quote I got today

If it’s an O/O trailer you can probably get 15-20 years from the wagon. Some of ours are 10+ years old, but definitely showing their age

The quote from today showed a coil package specced, but nothing extra for rear loading, and other than the coil package there wasn’t a lot of extras.

I would rather have chain pulls vs J hooks, for instance. Axle dumps or lifts would be nice. Built in strobes would be nice. The rear loading pack is nice to have on an all aluminum flat. I could do without the J hook tracks and wooden nailers. We don’t run coils so other than the extra crossmembers I don’t really need the coil pack. The coil pack just means it’s beefier, 60k main beams, with the ability to load 40k in 6 feet of deck
 

Mike

Well-Known Member
Staff member
#4
So, be safe and assume 10 years of life. Trailer costs you $4200/year. More if you are financing

+maintenance. Try to estimate what you are looking at there per year, for 10 years, and divide that up as well.

+ insurance

Tax deductible investment, so figure out how that affects your tax bill

You are going to earn somewhere between $10-15k additional per year

Seems like you will come out a little ahead in the end, and anything beyond 10 years of life will be icing on the cake. (with my dry van, I am currently thinking it will last me 5-7 before I sell it and buy another new one).
 

dchawk81

Well-Known Member
#5
Even if a slight loss, might be a gain in morale/peace of mind with the fewer headaches.


Eg I get to the point where I'd be willing to take a pay cut just to have my own truck.
 

Skateboard puller

Well-Known Member
Thread starter #7
So, be safe and assume 10 years of life. Trailer costs you $4200/year. More if you are financing

+maintenance. Try to estimate what you are looking at there per year, for 10 years, and divide that up as well.

+ insurance

Tax deductible investment, so figure out how that affects your tax bill

You are going to earn somewhere between $10-15k additional per year

Seems like you will come out a little ahead in the end, and anything beyond 10 years of life will be icing on the cake. (with my dry van, I am currently thinking it will last me 5-7 before I sell it and buy another new one).
I would have to find out finance charges to be able to look at those numbers

I don’t think it’s a money maker, but, depending on life usage it may make sense

I would need to chat with my accountant about it, you’re correct the tax implications are a consideration

I don’t see much money invested on repairs for 2-5 years, except possibly tires

It’s driving in $10-15K yearly but could cost that much, in licensing, insurance and maintence
 

Mike

Well-Known Member
Staff member
#8
Would you be cut out of any preloads, or do you live load everything you bring down from The Canada?
 

mndriver

curmudgeon extraordinare
Supporter
#10
Figure 8% for business rates.

Why are you paying $42,000 for a flatbed?

Can you make a 48,000# payload with something cheaper?
 
Thread starter #12
Figure 8% for business rates.

Why are you paying $42,000 for a flatbed?

Can you make a 48,000# payload with something cheaper?
It’s actually pretty hard to find 53’ flats or steps for sale, at any price

I honestly don’t want 48000 on the deck. Usually, heavy means cheap. I don’t want cheap freight
 

dave350

Well-Known Member
#13
I would look at the used market as an option also.
I’ve been keeping an eye on used flats and have spotted a couple nice trailers for a decent price.

Fight for the interest rate. I agree with the 8% business rate. I think I was told seven +/- when I was talking with a trailer dealer last summer. IMO, the rate is just as important as the trailer cost and deserves as much attention. How much wiggle room will depend on your credit rating also.

Maybe look at leasing as well to see what you come up. Even it’s just for comparison.
 
Thread starter #14
Would you be cut out of any preloads, or do you live load everything you bring down from The Canada?
That’s a seperate issue, I may get suckered into dragging company wagons once in a blue moon. But, yes, it could create issues when the shipper needs a step and i have a flat.

We typically try not to live load, on outbound freight.
 
Thread starter #15
I would look at the used market as an option also.
I’ve been keeping an eye on used flats and have spotted a couple nice trailers for a decent price.

Fight for the interest rate. I agree with the 8% business rate. I think I was told seven +/- when I was talking with a trailer dealer last summer. IMO, the rate is just as important as the trailer cost and deserves as much attention. How much wiggle room will depend on your credit rating also.

Maybe look at leasing as well to see what you come up. Even it’s just for comparison.
Leasing versus financing is a great argument. My little trailer is leased, and is a 100% write off. My pickup is financed and I can only write off the depreciation

Why the difference? I don’t fully understand it, but that’s why they went to accounting school and I’m driving a truck

Solid advice! Used trailers were around $30,000 when I looked in the spring. Not a huge savings, and you’re getting someone’s junk they don’t want. In my opinion
 

dave350

Well-Known Member
#16
and you’re getting someone’s junk they don’t want. In my opinion
I agree to a point. If your going to look on the used market it can take time to come across a decent deal. If you can capitalize on someone’s else’s rush or need to sell you can pick up a bargain.
 

ironpony

Professional Pot-Stirrer
Supporter
#17
Leasing versus financing is a great argument. My little trailer is leased, and is a 100% write off. My pickup is financed and I can only write off the depreciation

Why the difference? I don’t fully understand it, but that’s why they went to accounting school and I’m driving a truck

Solid advice! Used trailers were around $30,000 when I looked in the spring. Not a huge savings, and you’re getting someone’s junk they don’t want. In my opinion
While lease payments are deductible in the tax year that they are paid, depreciation is scheduled over a period. Under US tax law, trailers are classified as "highway equipment," and are depreciated on a 5-year schedule... OR, can be fully deducted an expense in the year they are placed into service under section 179.

The major difference is that under a lease, you're renting an asset that you have no claim in ownership, vs buying an asset that you own.
 

KVA36

New Member
#18
It’s actually pretty hard to find 53’ flats or steps for sale, at any price

I honestly don’t want 48000 on the deck. Usually, heavy means cheap. I don’t want cheap freight

TRAILERS FOR SALE It doesnt have to hard to find what you are really looking for. Feel free to reach out of you need anything when to comes to searching for a new or used trailers. Dry or flat

kyle.vanartsen@mktruck.com
 

mndriver

curmudgeon extraordinare
Supporter
#19
It’s actually pretty hard to find 53’ flats or steps for sale, at any price
Seriously?

I can walk into a couple different dealers today and roll out with a brand new 53' sliding and fixed axle spread.

For under $40,000.
 

mndriver

curmudgeon extraordinare
Supporter
#20
I honestly don’t want 48000 on the deck. Usually, heavy means cheap. I don’t want cheap freight
I mention the 48,000 pound load not because you are expected to haul them, but because that's kind of what the industry expects.

48k for flats, 46k for steps, 44-45k for reefer and 46-47k for dry van.

It's what most consider a "truckload."

So yeah it's cool having the ability to scale 52,000.

But it's not the normal load.

If you can make a 48,000 load work on a combo trailer and it's $15,000 cheaper, then buy the combo.

Or really save some money and buy a traditional steel/wood if you can make it work.

But that's against your driver stature ain't it to not have a hood and all aluminum spread axle shiney rig now ain't it there driva.
 
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