I have so much respect for you for speaking the truth. I just bought my 1st truck cash and was going to get my authority once I got done with the maintenance but with your information and 2022 fuel prices I am going to sit my truck in the yard and continue as a company driver for a while until I learn more about being an owner op. Just thinking I will make more money if I buy my own truck, it's a lot more to it than that but when I do get it on the road I'm just going to lease on to a company 1st instead of taking that big step and fail. I appreciate all the knowledge you gave. Be safe and have a good 1 driver.
I'll assume you don't have much experience running outside of Land Star. I had a truck leased on to a company for years before getting my own authority. That company charged ten percent of revenue and included dispatching, fuel discount, factoring, permits, and of course authority. Cargo and liability, occupation insurance, trailer rental and trailer insurance were the fixed costs and totaled just over five hundred dollars weekly. Of course you pay your own bobtail and physical, repairs, IFTA, highway use, and registration. Take your average $9k weekly gross and minus ten percent and the $520 fixed expenses and your left with $8500. With Land Star you're immediately down to $5,850. Absolutely INSANE
first off thats bac in tha day prolly, that company prolly outa business and what do u wan get? 90 percent of $1,200 load or 65 percent of $4,600 load🤷🏼♂️
Yeah that's all he knows !!!! I get 90% here .... we just don't have hundreds of trailers I'm under 1 trailer all the time .. and I do really good . To be at a medium size company....
Dude you hit the nail on the head with so many points. I did that own authority thing and never saw the rates landstar have on load with no broker. Insurance was 1300 a month plus that 3000 down payment. Dealing with paperwork every 3 months keeping up with milage everywhere you went to take 3 to 4 hours every 3 months to do ifta tax papers. Never got any fuel discount or tires or parts discount. Man I'll take landstar any day. Got companies wanting to pay you . 90 to 1.15 a mile plus fuel surcharge with bs loads.
Ok, First I'll say I worked at Landstar for a while until I left to start my own authority that I'm still doing. So I have seen both sides. And here's what I can tell you about that 35%. If you do the math you will find they get a about a 3rd of the money, the fuel is a 3rd of the money, which leaves you with about a 3rd, and your truck payments, Insurance, permits, plates, IFTA, and other miscellaneous fees and that NET profit you mentioned are taken out of the 3rd that was left over. So Landstar actually makes more from that load than you do. So if you got $70 thousand NET profit that year, then that means Landstar made about $75 thousand from you that year. Now, ask yourself, knowing that you still have to pay for fuel, insurance, truck payments, trailer payments, plates EVERYTHING you would have to pay under you own authority, do you really think that extra would add up to $75 thousand Dollars ? Because when I did the math on mine I pay less than $16 thousand extra above what i paid Landstar to run my own authority. Now there is something to be said about the safety being leased to a big carrier, but is it worth that extra $ 75 thousand dollars ?
Lets see your costs, how much they went up, and how many hours you spend doing that work yourself. Not doubting you, would just like to see someone post real numbers to show the difference.
@@emrwtf my numbers wouldn't do anyone any good. I only work 6 months a year now. But My insurance with landstar was $550 a month for a 2015 T680, now I pay $950 a month for a 2005 Pete 379 including my 2017 Trailer. Everything else you pay is the same. IFTA is the same NY HUT is the same NM, KY weight permits are the same Alcohol permits are the same Literally everything "except" for Insurance is the same. However like I said, you do have more security working for a large carrier like landstar that I wouldn't have, like people to help you out when in a bind , for example a Broker or shipper changing an appointment and telling you have to wait 8 days to deliver. You shouldn't have problems like that with Landstar, they would just have you drop the trailer and go somewhere else and get an empty. But I get discounts on fuel and services, tires ect. like Landstar. And I can also carry for ANYONE I want including Landstar, so my load board is as big as I want it to be. I do miss the ability to drop and hook and call someone up when an agent is trying to screw me over and the huge network they have, but the potential that I have is a million times better now. Oh , you ask for numbers, last month I was out 3 weeks "ish" and grossed a little over $25k.from 9/14/21 until 10/7/21, 24 days total.
@@skyeram Honestly you explained it perfectly. Most guys are so stuck on the incorrect information or "what a friend of theirs told them, that they dont understand the money aspect fully. •You can get your own authority and STILL get huge fuel discounts. Apply for a loves fuel card, Axle aka flying j card, or get a NASTC card (which most companies use). •Even at the megas, you factor..What do you think escrow is for?? •Tire discounts can be obtained too. Most fuel cards have maintenance options as well. •Someone said in the comments that cargo insurance was almost 2k a month...No most new ventures pay an average of 2300-2500 in insurance. That's TOTAL insurance. After your 1st yr, that number will decrease. •At its absolute highest, the spot market outperforms megas leased rates consistently. At its lowest they're about average. •Ppl think they're not paying for anything outside of insurance when leasing onto a carrier. That 35% is the payment for everything! You're not getting anything for free. Leasing on has its benefits. Not doing IFTA and personally not having to collect on loads (and other back office things). Less responsibility (headache for those new to running a business). Drop and hooks are meh bc there is an abundance of power only freight on the spot market. Honestly its a simple numbers game. How much do you value the added responsibility? Would you be willing to give up 35-28%?..
Actually they don’t take 35% it’s about 33% because the fuel surcharge formula is 100% to the truck. Another perk is after you have established yourself at Landstar they will ( even with no voluntary maintenance account ever set up) front you repair loan money. You put in a request, say you have an unexpected breakdown, repair bill of $6,000.00 and you don’t have it. You can call in, put in a request for a repair loan and usually you will get it approved the same day, they will get you to sign a promissory note and they will pay the bill and set up reasonable, low, low interest weekly payments deducted from your settlements until repaid. They will take into account whether you have an existing truck payment or not and will spread it out over multiple weeks ( $6,000 loan as example ) probably 16-20 weeks . If your Independent with own authority, well…I hope you got it handy or can get a loan somewhere. All in all a very well done video. I have 33 yrs OTR and have been with Landstar since Oct 2009.
Nice video. I've been with Landstar for about 9 years now and I have a reason why I'm still with them. I have my own trailer and use Landstar cargo insurance for $2 million for free! Secondly, my average payment for fuel per gallon here in the Midwest over the last few months has been between 1.50 to 1.80 cents per gallon. I know that many truck owners paid between $ 2 and $ 2.40 a gallon after their fuel discount. That means I get $ 0.50 to $ 0.70 cents per gallon cheaper fuel. The drivers I know also don't have a tire discount. They get 88% of the revenue, but also they pay $ 1,000 a month for cargo insurance. With 100k miles of driving a year with only the better fuel discount, I got $ 7,000 more money. In addition, I pay $ 12,000 less per year for cargo insurance. Now I have 19,000 better salaries per year for equal miles of driving. Mileage rates are much higher on the Landstar load board than any other online load boards in the United States. Dispatchers of these companies usually receive a percentage depending on how much less money they pay drivers from the actual real price. And I know this fact because I know some drivers who have worked as dispatchers for such trucking companies. The tire discount gives me, even more, earning per year then the drivers who don't have such a discount. Landstar's best safety score is another reason I stay with them. The big picture shows me that there are a lot of unknown and risky things out there, and Landstar is the safest place I can count on. This is the company that gives me complete freedom and peace of mind, which at least for me is one of the biggest factors that matter. In most companies, for example, if you do not take the load that the dispatcher offers you, hard times await you! Landstar is also the company in which it depends on you how successful you will be without the role of other side factors that would affect your success. In other words, your success depends entirely on yourself! Finally, for people who are interested in their own trailer in Landstar, I will say that after all the costs of it plus the investment for the trailer the real income is from 2000 to 4000 dollars better per year. This difference can be equalized if we consider the large selection of loads with the Landstar company trailers like the drop and hook loads. Good Luck everybody!
@@AC-ir3od You will need to call the Landstar processing center in order to register your truck with Landstar. A good person to call is Jodi her phone is 877 616 0097 x 301, FAX 888 902 8818, Email - jody@ilinkls.net
@@berezoffski If you get a vacation for more than 3 weeks or 21 days somebody will come to get your trailer. For 2 weeks only nobody will get your trailer. If you have your own trailer nobody can get the trailer :). Of course, you pay expenses for the 2 weeks off and they will hold it from your next paycheck. If you got your own authority you pay all expenses one time here is easier for you Landstar will hold a small amount every week until you pay off all permits and once per month for your bobtail and liability insurance.
I'm glad to hear this. I have been driving since 1994, my kids are grown, I am planning on buying my first truck. My plan has been to get with a company like Landstar. Let them do the headaches, I'll do the driving.
Hi Sean my name is Chris Jones I am a Recruiter for the GAD agency at Landstar. I would love to answer any questions that you have about us and get you an email packet sent over with everything you need to know about Landstar. Give me a call @ 256-442-4266.
I got a insurance quote for 24k a year. And 8300 down payment with 1900.00 amonth and I'd just rather pay 35% to land star and run for 3 to 4 years before doing my own authority. Stick with power only for a year or 2 then buy your trailer cash,then build your own fuel cash .baby steps is key in trucking.NOTHING HAPPENS FAST IN TRUCKING BESIDES A WRECK,AND GOING BROKE.
I was Leased On to Landstar and at the Time it Was 67% to truck from 2007-2014 and Have no regrets they were awesome made Between 100k-150k every yr Im from the Northeast,Great video
Good job with the explanation. I currently run my own numbers, but I've been courting with the idea for a number of years trying Landstar out. I hope drivers, through you explanation, realize the Real costs of running a trucking company. Good job !👍
Very well put. I’ve been with Landstar 3 years now. I pull nothing for less than $3.00 mi gross. Ever..more often than not, nowadays, it’s $3.50 and up. I clear, in my bank account, after fuel, $2.06 a mi for all miles in 2020 at $185,000 net. In 2019 it was $1.78, at $167,000. In 2021 so far I’m averaging $2.18 at $176,000 net so far. And I can prove it. I could give a flying shit less about the BS affiliated with having my own authority. I could’nt average any better per mile with all the red tape with my own authority. Have been there and done that too from 2003-2009. I LOVE me some LANDSTAR!! Wish I’d came here years ago.. And really don’t care what anybody thinks about it. They aren’t paying my bills. Some guys just don’t know what good freight, and good freight lanes are, therefore they’ll will go broke anyway.
They hear about these carriers that promise to pay 80 to 85% but they don’t read the fine print where they tell you that you have to rent a trailer or you get your own plates or permits or fuel tax and by the time your done your lucky if your making 60% and they never really tell you what your getting 85% of what
he is completely correct. insurance is gonna want 4500 down. i went to mercer just to save 20k a year on insurance. the bad thing is when you go into a dot office and get any violations it really hurts your company score.
Long as billy bob is on top of his game he doesn’t have to worry about dot . It’s important to keep up with your truck bc there’s your life at stake and families driving around you . Be safe truckers and good luck and prosper in life .
Breaking it down Factoring = 2-5% Trailer (cost & maintenance)= 7% Plates & Permits = 3-8% (depending on earnings) Insurance = 5 - 15% That's just the highlights. Even if you take the lowest numbers, its still 17%. And you STILL have to do all the legwork/paperwork. Landstars discounts are worth about 7% for me. Minimum. There is a lot of value in a Landstar lease that people tend to overlook. My actual share of each load is closer to 69% after we seperate fuel and accessories. Add those massive discounts and support, and you can see it's a good deal.
I appreceiate your video. I have been 1 of those guys who were just sick to hear that Landstar charges 35%. I have an uncle who has been with them for over 7 years. For the last 3 weeks ive been in the process to get my own authority. Hmmmmmmm. The idea to sign on with Landstar NOW doesn't seem so bad. Lol. Thanks for the time you took to make this video.
Watching this video makes me realize how much I'm getting screwed over, im paying 20% off the top then a 4% dispatch fee, then all my permits insurances ifta even lettering, then truck maintenance, then trailer rental plus I'm responsible for trailer maintenance... Then fuel.. No wonder im going broke I'm basically a single truck owner operator who is paying 24% of my pay to rent a dot number, with all of the other expenses. I need to just get my own authority and keep that percentage
Wow, excellent video you broke it down very well, I am also a Landstar Driver, I’ve been with the company for almost 2 years, I have been a driver for a long time but was always a company driver, it’s not easy things are tough right now, but I love the way you broke it down, we do get a lot of services , I just subscribed to your channel, God bless
I normally don't post a comment when I hear someone talking about landstar. But you hit the nail on the head. Thanks for the great information. Some people think that 35 percent is too much but they don't see the benefits because of greed. They can over pay for a used truck but don't want to pay to keep working. Landstar is a great place to lease on. This is working smart not hard. Thanks and stay safe.
I got told when i was a kid that in business, 'It matters not how much money you have coming in....its how much you get to keep for yourself that matters'
Anytime you lease on with a company like Landstar, Prime, or any other major company it gives you a chance to build your own company without all the risk. Plus they can keep you running, while if you are a single guy trying to do it on your own this can be harder due to having to book loads and negotiate. There is a female leased on with FedEx she is slowly buying her own trucks and leasing them on with FedEx.
Great Video! I was leased to Landstar, got ill, and ultimately left while getting treatment. When I came back to the industry - 5 months later, I did it with my own trailer and authority. Just the insurance aspect is murderous as an independent. Thinking very hard about returning to Landstar. Your video is definitely persuasive.
I’m not even a trucker, but this is the best video I have seen explaining the difference between owner/operator and working for a mega carrier. You’re absolutely right. However, we are living in a world where people think they can get something for free lol. These are all facts.
I looked into my own authority, there are agencies out there that will do all that work for a price. I looked into and it was about 6 or half a dozen in the end. I think most guys are better running under somebody else's authority. Insurance is much better and fuel discounts are big. The one thing that stuck with me was trailer rental, $200 a week seems steep for that. Your pretty much right good video. The only way it pays to get your own authority is if you enter into a contract to haul for somebody exclusive and the rates are outrageously good, then you almost have to get one. 35% is pretty much industry standard.
Get your authority use a dispatch company that takes 7-12% and never go home for a year or two... stack paper and get more tucks and drivers and then just keep trucking. after a few years you will make good $.
WOW!!! You articulated so well. You have no idea how many times I've heard drivers complain about the 28%. They fail to see the benefits and perks that come with that 28% . Or the peace of mind that comes by having the blue star on the side of the truck. I do have my own authority but prefer to use Landstar authority . Too many head aches and every thing costs more.
About to buy my first truck, and yes I will be leasing to Landstar for awhile while I'm still sucking up knowledge like a sponge! BUT, I will totally be going out on my own after a year or 2. But you did make a great video! Very informative!
You, sir, should be writing a book on economics because what you describe for the trucking industry can be modeled to be utilized in other business ventures.
One other thing to ask is percentage of what? Some places pay numbers like 75% of 98%. Some places have a brokerage that takes money off the top, brokers the load to the carrier the truck is leased to and then the truck gets the percentage. Some places don’t have the contracts or reach to get to better paying loads so you may get 80% of $1000 vs 65% $1300. Some carriers require you to rent a trailer. When comparing companies, make sure you fully understand what you’re actually comparing. Last note. I have this thing that I call the “pain in the butt factor”. Not only my time but how much stress is it causing me. The more painful it is, the more it costs. It’s not tangible but it’s something to consider.
Incredibly informative video. I learned so much that it feels like I skipped a few levels about the O/O side to trucking. Thank you for explaining it in fine detail and also in contrast to having your own authority. This definitely educated me on the subject. New sub!
Amen brother 🙏. This is the same argument I have with people who talk about fleece purchase programs. People need to learn that the direct owner operator way.....isn't the only valid way.
It's 11/23 and im considering leasing on to Landstar. It's a totally different time now compared to 3yrs ago when you made this video. If you're still with them would love an updated video. Thanks for the great info regardless brother!!! Stay safe
The only reason I'm saving for a trailer now at Landstar is because more that 60% of the loads I've pulled so far were live loads/unloads and when you drop and hook you never know what shape the next trailer will be in. Even with the 35% they take If you're not making money here it's honestly on you
@@yeb7997 I'm staying afloat. Could be much better if I went up north, but I'm waiting for the snow to stop. I plan on buying chains during the summer so I'm prepared for next winter.
@@MinnieDeborah oh okay I see. It's not bad in Ohio since I work for a company based out there. The roads are always clear if you ever get a load from there and I heard one of the things they ask is if you drove in snow before.. so how would they know if you have some experience on that or not?
At first I didn't think this video was going to be helpful, started listening and from doing my own extensive research this Driver is absolutely correct..I'm running for a company now making positive cash flow aside from paying down credit cards from a lease purchase during covid...I Got extremely lucky and I'm one of those drivers that made $$ and got my Title for my cab after all said and done..now I'm just saving every penny while my truck is parked and I do heavy maintenance on it..I'm getting it lined out to lease to LANDSTAR by End of summer or Fall...Thanks for this Video %100
A point I may add they will help you with repairs depending on your income. Not many companies will do that. They give away a couple trucks a year. I mean you can’t beat it
I just came across your channel and I have no choice but to subscribe. You explain in such great details and calmness that even if I couldn't understand a word in English, I'd still get the message. Thank you Sir.
You have a lot of good points but something you have to consider is when Landstar is slow, or if you're stuck in a certain area, and you are restricted to Landstar Load boards, in this you will lose in the wage comparison. There are a ton of companies out there that will allow you to use any load board. And if the rates drop or you are in a bad area and cannot get out then having other load boards as an option is a tremendous advantage. Landstar has some great brokers but they are still insignificant to the huge pool of brokers available on other load boards. And on top of this while leasing under someone other than Landstar you can still use Landstar Load Board. My best advice is to try to find a carrier that has many of the advantages that Landstar has but also will allow you to is any load board that you want.
@@BlueRibbonLogistics That's not the point I'm trying to make here. The ability to call other Brokers to pick and choose a load for you is pretty Universal no matter where you go.
I can not find anyone on youtube making videos that show what you are talking about. These companies must be well kept secrets in the industry as nobody talks about where to find them or shows any numbers. This isn't 100% sarcasm, i'd love to find these videos and go somewhere I can make 2x as much and get the same services for 10% vs 35%
This insight is what I call Common Sense knowledge. Most that "fail" (learn the hard way) are individuals who refuse to do their homework prior to and during their journey. They have high overhead expenses (business and home included), and then you factor those in with some of them being lazy. Some are getting trucks for the "praise" of being an O/O from whomever, but don't respect or understand business.
I have my own authority and I pay a group of ladies at nationwide truckers permit service 150 a month to take care of all my permits/Ifta and keep me compliant. But let’s get it right it is my money if I haul the load. I have zero issues paying people for their services. I can tell you the costs of permits,Ifta etc is less than 5 % annually
Amazingly good video. Very informative, well thought out, and communicated with intelligence... I believe that people need to be more thankful for the blessings that we have and the people that God uses to bless us. God bless you my friend and God bless Landstar Because they have been an instrument of blessing to my household and my family and as always God bless America!
Smart guy, lots of valid points. I'm saving up to buy a truck this late fall and am considering land star to at least get my feet wet as a o.o. but wish they did tanker loads.
This was a very good video. Very informative to the point and unbiased. You knew you were a smart guy when I had the chance to meet you at MATS last year at dinner with Larry, but you just blew my mind. Def subscribed to you and will share your video with others.
Ripoff, especially owning your own truck. You are doing all the heavy works; driving different times of the day, truck breakdowns is on you and the extra fees that landstar charge that he does not mention. The goal owning your own truck is to keep as much as possible by getting your own authority.
Man thank you for creating this video...so much knowledge in a short amount of time. I personally agreed with every single world you said... this video is by far the best one when it comes to information about landstar and the exchange of services for that 35% so thanks again for taking the time out to make this vid👏👏
So just 21% to have an incorporated business center doing all that work for you, that's pretty good and frees you up to work harder and make even more money.
Thank You for putting the truth out there. This isn't unique to trucking. People always want more money without understanding where the remainder of the money goes. Like you said with Landstar, you are getting alot af services for that money. If I had to handle all of that, I would have zero income, because I would be on the phone and handling paperwork instead of driving.
Really appreciate this video and cleared up a lot of stuff that I had in my mind about the 35%, now I see more value the main part of landstar thank you sir
My husband and I have our own authority and I drive AND do the "35%" that y'all say landstar takes but I 100% agree with everything you said! Different strokes for different folks! What works for us may not work for even someone else with their authority so who's to say which approach is better! Great video even tho I'm a year late lol
I’ve come to a greater realization since I made this video. After seeing all the people that fail at Landstar because they won’t do the work, there is NO WAY they could make it with an authority doing what you do. Here, it’s all done for them and they still screw it up.
@@BlueRibbonLogistics I was shaking my head in agreement as soon as you started mentioning all that and especially the guy with go fund me! I'm looking like 12k!??! Yeah he definitely don't know how this works lol
That gofundme guy is clueless.... you need 6 months to a year cash “CASH” reserves to start any business. If he can’t make it at Landstar he’s not going to make it on his own.
you have a lot of valid points however as an independent carrier I have had my authority for 6 years and I've never once thought of going to landstar I applied the landstar when I first started my authority I had my authority by the time landstar go back to me I never looked back and no regrets I would rather work in the Free world did work inside of a pool that is controlled
Just pay someone to do that for you the companies that offer it are the same ones that help you with your permits and authority go lease onto a company that gives you 85/15 or 90/10 dispatch yourself or hire a dispatcher that takes 5 or less % get your eld keep trucking and they have the info of the miles for IFTA and not having to factor is preety good if landstar does it and tire discount u can buy off Mega Carriers like CR England but you have a good point actually you might save at landstar in the end most likely you will, but most people are willing to take those responsibilities themselves and if they can thats better but for those that dont want the headache landstar can work for you
$ 12000 wont cover his insurance, if he can’t make it Leased to Landstar he’s either lazy or he don’t know what the hell he’s doing, sounds like one of those guys that got a couple decent settlements with Landstar and went out and bought a new boat or a new $70000 pickup truck
Yes sir. It's a total different ballpark. I was an owner operator for years. It's very expensive and you open yourself to an audit by the FMCSA. If you don't have all your ducks in a row as far as book keeping and believe me they will go over it with a fine tooth come and if you fail they will shut down your USDOT number and leave you with a big fine. Never happened to me but I know other that this happen to. Fines can be up to 20.000. The FMCSA like any government organizations is hurting for money.
Do the math.... you gross $300,000 to the truck a year, LS takes 35% from there. That's $105,000. You spend about $60,000 on fuel after driving about 100,000 miles a year. What do you have left, from $135,000 left you have to pay for all the rest to include the truck cost, maintenance and insurance. How much do you have left for yourself after all the expense. Leasing onto a carrier is a failed strategy from get go. If you can't run with your own authority, it's better for you to be a company driver.
Preach… it makes no sense whatsoever. I would think buying your own truck would mean that you are ready to get your own authority period. If not, run as a company driver until you are ready to be your own boss. Putting your own truck under a company that’s charging 35% of the gross without the extra expenses is nothing but a glorified company driver.
I have so much respect for you for speaking the truth. I just bought my 1st truck cash and was going to get my authority once I got done with the maintenance but with your information and 2022 fuel prices I am going to sit my truck in the yard and continue as a company driver for a while until I learn more about being an owner op. Just thinking I will make more money if I buy my own truck, it's a lot more to it than that but when I do get it on the road I'm just going to lease on to a company 1st instead of taking that big step and fail. I appreciate all the knowledge you gave. Be safe and have a good 1 driver.
You need to holler at us when you're ready. We have a mentoring program for people like you. send me an email chris@blueribbonlogistics.com
@@BlueRibbonLogistics yes sir. Reading about Blue Ribbon on the link now.
You don’t fail you learn . Don’t be scared to learn
Did you ever sign on???
I'll assume you don't have much experience running outside of Land Star. I had a truck leased on to a company for years before getting my own authority. That company charged ten percent of revenue and included dispatching, fuel discount, factoring, permits, and of course authority. Cargo and liability, occupation insurance, trailer rental and trailer insurance were the fixed costs and totaled just over five hundred dollars weekly.
Of course you pay your own bobtail and physical, repairs, IFTA, highway use, and registration.
Take your average $9k weekly gross and minus ten percent and the $520 fixed expenses and your left with $8500. With Land Star you're immediately down to $5,850.
Absolutely INSANE
first off thats bac in tha day prolly, that company prolly outa business and what do u wan get? 90 percent of $1,200 load or 65 percent of $4,600 load🤷🏼♂️
Yeah that's all he knows !!!! I get 90% here .... we just don't have hundreds of trailers I'm under 1 trailer all the time .. and I do really good . To be at a medium size company....
Thank you!! For taking the time to inform the uninformed drivers. This was one of best video on RUclips with real info. Again thank you.
Billy bobs trucking 😂...
I agree… most definitely 🙏
....but they will still pretend, to not understand!
Dude you hit the nail on the head with so many points. I did that own authority thing and never saw the rates landstar have on load with no broker. Insurance was 1300 a month plus that 3000 down payment. Dealing with paperwork every 3 months keeping up with milage everywhere you went to take 3 to 4 hours every 3 months to do ifta tax papers. Never got any fuel discount or tires or parts discount. Man I'll take landstar any day. Got companies wanting to pay you . 90 to 1.15 a mile plus fuel surcharge with bs loads.
My truck isn’t moving for less than 2.00 a mile
Ok, First I'll say I worked at Landstar for a while until I left to start my own authority that I'm still doing. So I have seen both sides. And here's what I can tell you about that 35%. If you do the math you will find they get a about a 3rd of the money, the fuel is a 3rd of the money, which leaves you with about a 3rd, and your truck payments, Insurance, permits, plates, IFTA, and other miscellaneous fees and that NET profit you mentioned are taken out of the 3rd that was left over. So Landstar actually makes more from that load than you do. So if you got $70 thousand NET profit that year, then that means Landstar made about $75 thousand from you that year. Now, ask yourself, knowing that you still have to pay for fuel, insurance, truck payments, trailer payments, plates EVERYTHING you would have to pay under you own authority, do you really think that extra would add up to $75 thousand Dollars ? Because when I did the math on mine I pay less than $16 thousand extra above what i paid Landstar to run my own authority. Now there is something to be said about the safety being leased to a big carrier, but is it worth that extra $ 75 thousand dollars ?
Are you getting rates as good on your own than you did with Landstar?
Lets see your costs, how much they went up, and how many hours you spend doing that work yourself. Not doubting you, would just like to see someone post real numbers to show the difference.
@@michaelwebster273 well hell yeah, Better because Nobody takes 35% out of I agreed to.
@@emrwtf my numbers wouldn't do anyone any good. I only work 6 months a year now.
But
My insurance with landstar was $550 a month for a 2015 T680, now I pay $950 a month for a 2005 Pete 379 including my 2017 Trailer.
Everything else you pay is the same.
IFTA is the same
NY HUT is the same
NM, KY weight permits are the same
Alcohol permits are the same
Literally everything "except" for Insurance is the same.
However like I said, you do have more security working for a large carrier like landstar that I wouldn't have, like people to help you out when in a bind , for example a Broker or shipper changing an appointment and telling you have to wait 8 days to deliver. You shouldn't have problems like that with Landstar, they would just have you drop the trailer and go somewhere else and get an empty.
But I get discounts on fuel and services, tires ect. like Landstar.
And I can also carry for ANYONE I want including Landstar, so my load board is as big as I want it to be.
I do miss the ability to drop and hook and call someone up when an agent is trying to screw me over and the huge network they have, but the potential that I have is a million times better now.
Oh , you ask for numbers, last month I was out 3 weeks "ish" and grossed a little over $25k.from 9/14/21 until 10/7/21, 24 days total.
@@skyeram Honestly you explained it perfectly. Most guys are so stuck on the incorrect information or "what a friend of theirs told them, that they dont understand the money aspect fully.
•You can get your own authority and STILL get huge fuel discounts. Apply for a loves fuel card, Axle aka flying j card, or get a NASTC card (which most companies use).
•Even at the megas, you factor..What do you think escrow is for??
•Tire discounts can be obtained too. Most fuel cards have maintenance options as well.
•Someone said in the comments that cargo insurance was almost 2k a month...No most new ventures pay an average of 2300-2500 in insurance. That's TOTAL insurance. After your 1st yr, that number will decrease.
•At its absolute highest, the spot market outperforms megas leased rates consistently. At its lowest they're about average.
•Ppl think they're not paying for anything outside of insurance when leasing onto a carrier. That 35% is the payment for everything! You're not getting anything for free.
Leasing on has its benefits.
Not doing IFTA and personally not having to collect on loads (and other back office things).
Less responsibility (headache for those new to running a business).
Drop and hooks are meh bc there is an abundance of power only freight on the spot market.
Honestly its a simple numbers game. How much do you value the added responsibility? Would you be willing to give up 35-28%?..
Sir, I am a Landstar prospect. I gotta say, you broke it down like no one else has... thanks...
Mitchell Bryan Same here.
Actually they don’t take 35% it’s about 33% because the fuel surcharge formula is 100% to the truck. Another perk is after you have established yourself at Landstar they will ( even with no voluntary maintenance account ever set up) front you repair loan money. You put in a request, say you have an unexpected breakdown, repair bill of $6,000.00 and you don’t have it. You can call in, put in a request for a repair loan and usually you will get it approved the same day, they will get you to sign a promissory note and they will pay the bill and set up reasonable, low, low interest weekly payments deducted from your settlements until repaid. They will take into account whether you have an existing truck payment or not and will spread it out over multiple weeks ( $6,000 loan as example ) probably 16-20 weeks . If your Independent with own authority, well…I hope you got it handy or can get a loan somewhere. All in all a very well done video. I have 33 yrs OTR and have been with Landstar since Oct 2009.
Nice video. I've been with Landstar for about 9 years now and I have a reason why I'm still with them. I have my own trailer and use Landstar cargo insurance for $2 million for free! Secondly, my average payment for fuel per gallon here in the Midwest over the last few months has been between 1.50 to 1.80 cents per gallon. I know that many truck owners paid between $ 2 and $ 2.40 a gallon after their fuel discount. That means I get $ 0.50 to $ 0.70 cents per gallon cheaper fuel. The drivers I know also don't have a tire discount. They get 88% of the revenue, but also they pay $ 1,000 a month for cargo insurance. With 100k miles of driving a year with only the better fuel discount, I got $ 7,000 more money. In addition, I pay $ 12,000 less per year for cargo insurance. Now I have 19,000 better salaries per year for equal miles of driving. Mileage rates are much higher on the Landstar load board than any other online load boards in the United States. Dispatchers of these companies usually receive a percentage depending on how much less money they pay drivers from the actual real price. And I know this fact because I know some drivers who have worked as dispatchers for such trucking companies. The tire discount gives me, even more, earning per year then the drivers who don't have such a discount. Landstar's best safety score is another reason I stay with them. The big picture shows me that there are a lot of unknown and risky things out there, and Landstar is the safest place I can count on. This is the company that gives me complete freedom and peace of mind, which at least for me is one of the biggest factors that matter. In most companies, for example, if you do not take the load that the dispatcher offers you, hard times await you! Landstar is also the company in which it depends on you how successful you will be without the role of other side factors that would affect your success. In other words, your success depends entirely on yourself!
Finally, for people who are interested in their own trailer in Landstar, I will say that after all the costs of it plus the investment for the trailer the real income is from 2000 to 4000 dollars better per year. This difference can be equalized if we consider the large selection of loads with the Landstar company trailers like the drop and hook loads. Good Luck everybody!
kirostar12 Great information. I’m awaiting approval from Landstar. Who would you recommend as a mentor(contact) in Landstar ?
@@AC-ir3od You will need to call the Landstar processing center in order to register your truck with Landstar. A good person to call is Jodi her phone is 877 616 0097 x 301, FAX 888 902 8818, Email - jody@ilinkls.net
What if I want to take 2 weeks of vacation? They take the trailer? Are there still some expenses even during the week you are off?
@@berezoffski If you get a vacation for more than 3 weeks or 21 days somebody will come to get your trailer. For 2 weeks only nobody will get your trailer. If you have your own trailer nobody can get the trailer :). Of course, you pay expenses for the 2 weeks off and they will hold it from your next paycheck. If you got your own authority you pay all expenses one time here is easier for you Landstar will hold a small amount every week until you pay off all permits and once per month for your bobtail and liability insurance.
@@berezoffski Please can someone provide feedback on this question???
I'm glad to hear this. I have been driving since 1994, my kids are grown, I am planning on buying my first truck. My plan has been to get with a company like Landstar. Let them do the headaches, I'll do the driving.
Hi Sean my name is Chris Jones I am a Recruiter for the GAD agency at Landstar. I would love to answer any questions that you have about us and get you an email packet sent over with everything you need to know about Landstar. Give me a call @ 256-442-4266.
I got a insurance quote for 24k a year. And 8300 down payment with 1900.00 amonth and I'd just rather pay 35% to land star and run for 3 to 4 years before doing my own authority. Stick with power only for a year or 2 then buy your trailer cash,then build your own fuel cash .baby steps is key in trucking.NOTHING HAPPENS FAST IN TRUCKING BESIDES A WRECK,AND GOING BROKE.
😂😂🤣🤣 sorry for laughing but when you say drive into the sale house with billy bod on your truck you will see.. Very Very Good video 👍
I was Leased On to Landstar and at the Time it Was 67% to truck from 2007-2014 and Have no regrets they were awesome made Between 100k-150k every yr Im from the Northeast,Great video
Was this after expenses though?
p
Most of us do not think critically before talking but talk because we have mouth. Good analysis, bro.
Freedom doesn't have price
Good job with the explanation. I currently run my own numbers, but I've been courting with the idea for a number of years trying Landstar out. I hope drivers, through you explanation, realize the Real costs of running a trucking company. Good job !👍
You taught me too much in such a short time. Thank you for the knowledge
Very well put. I’ve been with Landstar 3 years now. I pull nothing for less than $3.00 mi gross. Ever..more often than not, nowadays, it’s $3.50 and up. I clear, in my bank account, after fuel, $2.06 a mi for all miles in 2020 at $185,000 net. In 2019 it was $1.78, at $167,000. In 2021 so far I’m averaging $2.18 at $176,000 net so far. And I can prove it. I could give a flying shit less about the BS affiliated with having my own authority. I could’nt average any better per mile with all the red tape with my own authority. Have been there and done that too from 2003-2009. I LOVE me some LANDSTAR!! Wish I’d came here years ago..
And really don’t care what anybody thinks about it. They aren’t paying my bills. Some guys just don’t know what good freight, and good freight lanes are, therefore they’ll will go broke anyway.
So no deductions 35%
They hear about these carriers that promise to pay 80 to 85% but they don’t read the fine print where they tell you that you have to rent a trailer or you get your own plates or permits or fuel tax and by the time your done your lucky if your making 60% and they never really tell you what your getting 85% of what
he is completely correct. insurance is gonna want 4500 down. i went to mercer just to save 20k a year on insurance. the bad thing is when you go into a dot office and get any violations it really hurts your company score.
Long as billy bob is on top of his game he doesn’t have to worry about dot . It’s important to keep up with your truck bc there’s your life at stake and families driving around you . Be safe truckers and good luck and prosper in life .
Breaking it down
Factoring = 2-5%
Trailer (cost & maintenance)= 7%
Plates & Permits = 3-8% (depending on earnings)
Insurance = 5 - 15%
That's just the highlights. Even if you take the lowest numbers, its still 17%. And you STILL have to do all the legwork/paperwork.
Landstars discounts are worth about 7% for me. Minimum.
There is a lot of value in a Landstar lease that people tend to overlook.
My actual share of each load is closer to 69% after we seperate fuel and accessories. Add those massive discounts and support, and you can see it's a good deal.
I appreceiate your video. I have been 1 of those guys who were just sick to hear that Landstar charges 35%. I have an uncle who has been with them for over 7 years. For the last 3 weeks ive been in the process to get my own authority. Hmmmmmmm. The idea to sign on with Landstar NOW doesn't seem so bad. Lol. Thanks for the time you took to make this video.
Well said...agreed
Watching this video makes me realize how much I'm getting screwed over, im paying 20% off the top then a 4% dispatch fee, then all my permits insurances ifta even lettering, then truck maintenance, then trailer rental plus I'm responsible for trailer maintenance... Then fuel.. No wonder im going broke I'm basically a single truck owner operator who is paying 24% of my pay to rent a dot number, with all of the other expenses. I need to just get my own authority and keep that percentage
I hope you did it!
Wow, excellent video you broke it down very well, I am also a Landstar Driver, I’ve been with the company for almost 2 years, I have been a driver for a long time but was always a company driver, it’s not easy things are tough right now, but I love the way you broke it down, we do get a lot of services , I just subscribed to your channel, God bless
I normally don't post a comment when I hear someone talking about landstar. But you hit the nail on the head. Thanks for the great information. Some people think that 35 percent is too much but they don't see the benefits because of greed. They can over pay for a used truck but don't want to pay to keep working. Landstar is a great place to lease on. This is working smart not hard. Thanks and stay safe.
I got told when i was a kid that in business, 'It matters not how much money you have coming in....its how much you get to keep for yourself that matters'
Anytime you lease on with a company like Landstar, Prime, or any other major company it gives you a chance to build your own company without all the risk. Plus they can keep you running, while if you are a single guy trying to do it on your own this can be harder due to having to book loads and negotiate. There is a female leased on with FedEx she is slowly buying her own trucks and leasing them on with FedEx.
How can you get in with fed ex express?
Great Video! I was leased to Landstar, got ill, and ultimately left while getting treatment. When I came back to the industry - 5 months later, I did it with my own trailer and authority. Just the insurance aspect is murderous as an independent. Thinking very hard about returning to Landstar. Your video is definitely persuasive.
How much was the difference between Landstar insurance and going independent?
I’m not even a trucker, but this is the best video I have seen explaining the difference between owner/operator and working for a mega carrier. You’re absolutely right. However, we are living in a world where people think they can get something for free lol. These are all facts.
You've, basically, explained that Landstar provides a "back office" and for the function of said "office" they have to be compensated.
I looked into my own authority, there are agencies out there that will do all that work for a price. I looked into and it was about 6 or half a dozen in the end. I think most guys are better running under somebody else's authority. Insurance is much better and fuel discounts are big. The one thing that stuck with me was trailer rental, $200 a week seems steep for that. Your pretty much right good video. The only way it pays to get your own authority is if you enter into a contract to haul for somebody exclusive and the rates are outrageously good, then you almost have to get one. 35% is pretty much industry standard.
Nah. You can do just fine running the spot market .
This made the most sense to me, you’ve never gave bad advice bro thank you….
Get your authority use a dispatch company that takes 7-12% and never go home for a year or two... stack paper and get more tucks and drivers and then just keep trucking. after a few years you will make good $.
One of blue ribbons videos says a good dispatcher will take 2-5%. 12% sounds a little high to me.
@@emrwtf I hire my own independent dispatcher and I pay 5%
@@Flipping_Assets same.
WOW!!! You articulated so well. You have no idea how many times I've heard drivers complain about the 28%. They fail to see the benefits and perks that come with that 28% . Or the peace of mind that comes by having the blue star on the side of the truck. I do have my own authority but prefer to use Landstar authority . Too many head aches and every thing costs more.
I’m at a carrier for 90%
Landstar is babbys first 1099.
I’m glad Larry told me about this podcast. These are so educational. Much appreciated that you both share your knowledge with the rest of us!
Thanks for educating me bro!! I’ll keep that in mind once I’m ready to do a lease operator!!
I’m a new subscriber!!
I’m planning to come to Landstar as soon as I can be in a position to buy a truck.
About to buy my first truck, and yes I will be leasing to Landstar for awhile while I'm still sucking up knowledge like a sponge! BUT, I will totally be going out on my own after a year or 2.
But you did make a great video! Very informative!
This man is speaking facts 100% as a former O/O with own authority.
You, sir, should be writing a book on economics because what you describe for the trucking industry can be modeled to be utilized in other business ventures.
One other thing to ask is percentage of what?
Some places pay numbers like 75% of 98%.
Some places have a brokerage that takes money off the top, brokers the load to the carrier the truck is leased to and then the truck gets the percentage.
Some places don’t have the contracts or reach to get to better paying loads so you may get 80% of $1000 vs 65% $1300.
Some carriers require you to rent a trailer.
When comparing companies, make sure you fully understand what you’re actually comparing.
Last note. I have this thing that I call the “pain in the butt factor”. Not only my time but how much stress is it causing me. The more painful it is, the more it costs. It’s not tangible but it’s something to consider.
Incredibly informative video. I learned so much that it feels like I skipped a few levels about the O/O side to trucking. Thank you for explaining it in fine detail and also in contrast to having your own authority. This definitely educated me on the subject. New sub!
Great video man! I'm always running into guys saying landstar takes too big of a %. I just agree with them cause I figure they don't know numbers.
This video is one man's *opinion*
God bless you you’re 100% right a lot of people didn’t think about it that way and you spoken with the truth stay safe my friend
Amen brother 🙏. This is the same argument I have with people who talk about fleece purchase programs. People need to learn that the direct owner operator way.....isn't the only valid way.
It's 11/23 and im considering leasing on to Landstar. It's a totally different time now compared to 3yrs ago when you made this video. If you're still with them would love an updated video. Thanks for the great info regardless brother!!! Stay safe
Nothing has changed. If you know how to focus on customers, manage your expenses and have a low cost of operation, you will be fine.
Thank you!
You are 100% right and I have never heard anyone break it down like you have done.
Great job explaining this...
The only reason I'm saving for a trailer now at Landstar is because more that 60% of the loads I've pulled so far were live loads/unloads and when you drop and hook you never know what shape the next trailer will be in. Even with the 35% they take If you're not making money here it's honestly on you
But if you get your own trailer wouldn’t you miss out on drop/hook loads? Cuz you can’t drop your trailer and let someone else use it
@@abetilahun497 I've honestly only done 2 or 3 drop and hook since I started. Wouldn't be missing out on much
cliff giordane ok, how often you run hazmat loads?
@@abetilahun497 a decent amount I would say 1/3 loads have been hazmat
cliff giordane ok, appreciate the info bro✊🏿
Thanks for taking the time to do this video. I've been driving 3 yrs, and started with Landstar in October 2019. This was very informative!! 💯❤
How's the business going so far?
@@yeb7997 it's good being that I'm staying in the south a lot.
@@MinnieDeborah so sounds like your making it out there in regards to rates etc...
@@yeb7997 I'm staying afloat. Could be much better if I went up north, but I'm waiting for the snow to stop. I plan on buying chains during the summer so I'm prepared for next winter.
@@MinnieDeborah oh okay I see. It's not bad in Ohio since I work for a company based out there. The roads are always clear if you ever get a load from there and I heard one of the things they ask is if you drove in snow before.. so how would they know if you have some experience on that or not?
The lowest percentage I've been paid was 67%, and the best has been 80%. In both cases I was pulling there trailer.
At first I didn't think this video was going to be helpful, started listening and from doing my own extensive research this Driver is absolutely correct..I'm running for a company now making positive cash flow aside from paying down credit cards from a lease purchase during covid...I Got extremely lucky and I'm one of those drivers that made $$ and got my Title for my cab after all said and done..now I'm just saving every penny while my truck is parked and I do heavy maintenance on it..I'm getting it lined out to lease to LANDSTAR by End of summer or Fall...Thanks for this Video %100
Thanks for sharing! This has to be the most analytical and reasonable video BY FAR on this topic on RUclips. Great objective perspective.
Boy, when i tell you you opened my eyes, you opened my eyes! You argued this point dang good. Bravo!! TY
Thanks!
A point I may add they will help you with repairs depending on your income. Not many companies will do that. They give away a couple trucks a year. I mean you can’t beat it
The more I do the numbers the worse this deal sounds
I just came across your channel and I have no choice but to subscribe. You explain in such great details and calmness that even if I couldn't understand a word in English, I'd still get the message. Thank you Sir.
You have a lot of good points but something you have to consider is when Landstar is slow, or if you're stuck in a certain area, and you are restricted to Landstar Load boards, in this you will lose in the wage comparison. There are a ton of companies out there that will allow you to use any load board. And if the rates drop or you are in a bad area and cannot get out then having other load boards as an option is a tremendous advantage. Landstar has some great brokers but they are still insignificant to the huge pool of brokers available on other load boards. And on top of this while leasing under someone other than Landstar you can still use Landstar Load Board. My best advice is to try to find a carrier that has many of the advantages that Landstar has but also will allow you to is any load board that you want.
That’s nonsense. I have access to “any load board” through the Landstar agents. Probably 50% of the loads on the Landstar board ARE outside brokers.
@@BlueRibbonLogistics That's not the point I'm trying to make here. The ability to call other Brokers to pick and choose a load for you is pretty Universal no matter where you go.
I can not find anyone on youtube making videos that show what you are talking about. These companies must be well kept secrets in the industry as nobody talks about where to find them or shows any numbers.
This isn't 100% sarcasm, i'd love to find these videos and go somewhere I can make 2x as much and get the same services for 10% vs 35%
@@emrwtf Take a look at Jones Motor or Admiral Merchants and there are others probably better than these two.
This insight is what I call Common Sense knowledge. Most that "fail" (learn the hard way) are individuals who refuse to do their homework prior to and during their journey. They have high overhead expenses (business and home included), and then you factor those in with some of them being lazy. Some are getting trucks for the "praise" of being an O/O from whomever, but don't respect or understand business.
Think Land Star needs to hire you. Outstanding video with valuable information
I have my own authority and I pay a group of ladies at nationwide truckers permit service 150 a month to take care of all my permits/Ifta and keep me compliant. But let’s get it right it is my money if I haul the load. I have zero issues paying people for their services. I can tell you the costs of permits,Ifta etc is less than 5 % annually
Amazingly good video. Very informative, well thought out, and communicated with intelligence... I believe that people need to be more thankful for the blessings that we have and the people that God uses to bless us. God bless you my friend and God bless Landstar Because they have been an instrument of blessing to my household and my family and as always God bless America!
Preach Brother! Let those who think that 35% is too much for probably close to 50% work value learn the hard way!
So no deductions 35% sir
Smart guy, lots of valid points. I'm saving up to buy a truck this late fall and am considering land star to at least get my feet wet as a o.o. but wish they did tanker loads.
Best video ever on how things actually work. Glad I subscribed to this channel.
This was a very good video. Very informative to the point and unbiased. You knew you were a smart guy when I had the chance to meet you at MATS last year at dinner with Larry, but you just blew my mind. Def subscribed to you and will share your video with others.
I don’t care the way you cut it my friend 35% is way too much money. You know that.
Ripoff, especially owning your own truck. You are doing all the heavy works; driving different times of the day, truck breakdowns is on you and the extra fees that landstar charge that he does not mention. The goal owning your own truck is to keep as much as possible by getting your own authority.
Man thank you for creating this video...so much knowledge in a short amount of time. I personally agreed with every single world you said... this video is by far the best one when it comes to information about landstar and the exchange of services for that 35% so thanks again for taking the time out to make this vid👏👏
So just 21% to have an incorporated business center doing all that work for you, that's pretty good and frees you up to work harder and make even more money.
Over my 40 years I’ve been company,contractor and independent. Landstar was my worst profit 6 months lease ever. You must be a fairly newbie.
Thank You for putting the truth out there. This isn't unique to trucking. People always want more money without understanding where the remainder of the money goes. Like you said with Landstar, you are getting alot af services for that money. If I had to handle all of that, I would have zero income, because I would be on the phone and handling paperwork instead of driving.
Really appreciate this video and cleared up a lot of stuff that I had in my mind about the 35%, now I see more value the main part of landstar thank you sir
So no deductions 35% sir
My husband and I have our own authority and I drive AND do the "35%" that y'all say landstar takes but I 100% agree with everything you said! Different strokes for different folks! What works for us may not work for even someone else with their authority so who's to say which approach is better! Great video even tho I'm a year late lol
I’ve come to a greater realization since I made this video. After seeing all the people that fail at Landstar because they won’t do the work, there is NO WAY they could make it with an authority doing what you do. Here, it’s all done for them and they still screw it up.
@@BlueRibbonLogistics I was shaking my head in agreement as soon as you started mentioning all that and especially the guy with go fund me! I'm looking like 12k!??! Yeah he definitely don't know how this works lol
@@BlueRibbonLogistics for you not to have your authority you are very informative!
If you make $20,000. for a month 35% would be about $6,700.
Not necessarily, because Landstar takes the 28% after the fuel surcharge. That'll roughly be and extra $1200 to the driver in a month.
FACTS!!! Well spoken and explained.... Good talk ...
I agree with a lot of this other than the DOT is out to get the small owner op.
That gofundme guy is clueless.... you need 6 months to a year cash “CASH” reserves to start any business. If he can’t make it at Landstar he’s not going to make it on his own.
Mag carriers beats Landstar by a long shot and there are many more carriers that offer just as good benefits and they don’t charge you 35%
Lets see a numbers breakdown. Not doubting, just want to see to compare.
Most people fail going from company driver to owner operator. The 15% that make it 5 years 90% own a fleet of leased on trucks and company vehicles
you have a lot of valid points however as an independent carrier I have had my authority for 6 years and I've never once thought of going to landstar I applied the landstar when I first started my authority I had my authority by the time landstar go back to me I never looked back and no regrets I would rather work in the Free world did work inside of a pool that is controlled
Just pay someone to do that for you the companies that offer it are the same ones that help you with your permits and authority go lease onto a company that gives you 85/15 or 90/10 dispatch yourself or hire a dispatcher that takes 5 or less % get your eld keep trucking and they have the info of the miles for IFTA and not having to factor is preety good if landstar does it and tire discount u can buy off Mega Carriers like CR England but you have a good point actually you might save at landstar in the end most likely you will, but most people are willing to take those responsibilities themselves and if they can thats better but for those that dont want the headache landstar can work for you
$ 12000 wont cover his insurance, if he can’t make it Leased to Landstar he’s either lazy or he don’t know what the hell he’s doing, sounds like one of those guys that got a couple decent settlements with Landstar and went out and bought a new boat or a new $70000 pickup truck
Exactly
You are so on it I try to tell guys who want to come over to agree on what you are saying
It's an amazing video, Sir! Thank you so much, very well explained!!! 🙏🙏🙏
Yes sir. It's a total different ballpark. I was an owner operator for years. It's very expensive and you open yourself to an audit by the FMCSA. If you don't have all your ducks in a row as far as book keeping and believe me they will go over it with a fine tooth come and if you fail they will shut down your USDOT number and leave you with a big fine. Never happened to me but I know other that this happen to. Fines can be up to 20.000. The FMCSA like any government organizations is hurting for money.
This dude preaching wish I would’ve watched this vid before having my own authority
I’m doing 65/35 with ats and this is a really good point I didn’t consider this.
Oh, when i was with landstar, it was a better percentage 82%
Only an inexperienced fool would do 65%, talk about laughing all the way to the bank😂
You jus made me make my mind up about coming to landstar thks
ELD (approx) $950.00 8 wks $118.75
Escrow $1000.00 16 wks $62.50
Insurance (approx) $50.00 weekly $50.00
ELD air time $28.00 per mo weekly $7.00
Prepass $2.00 weekly $2.00
This man speaks the truth.
We have been with landstar 12 years.they always have our back when needed.😁
That’s a great breakdown and explanation of numbers and information. I appreciate it and be safe.
Do the math.... you gross $300,000 to the truck a year, LS takes 35% from there. That's $105,000.
You spend about $60,000 on fuel after driving about 100,000 miles a year. What do you have left, from $135,000 left you have to pay for all the rest to include the truck cost, maintenance and insurance. How much do you have left for yourself after all the expense.
Leasing onto a carrier is a failed strategy from get go. If you can't run with your own authority, it's better for you to be a company driver.
Preach… it makes no sense whatsoever. I would think buying your own truck would mean that you are ready to get your own authority period. If not, run as a company driver until you are ready to be your own boss. Putting your own truck under a company that’s charging 35% of the gross without the extra expenses is nothing but a glorified company driver.
Interesting to hear that running my own authority is like brain surgery. Hmmm
Well said man.I will be reaching out to landstar here soon thank you for the good content
do they include the insurance on the 35%??
Thanks for sharing your thoughts.
I know its been awhile but where they under bidding freight?
But let's face it insurance prices are insane . Should be a bit more reasonable.