Can a Cargo Van Team make a living?

Turtle · Jan 13, 2012

The FSC can either be static (Structured) or Variable. The Structured is based on the national average, and for cargo vans it's whatever the National Average is, less $1.35, then divided by 11 MPG. Top of the page at the time of this writing show a National Average of $3.82. Less $1.25 is $2.57. Divided by 11 gives you 23 cents per gallon, unless they've changed the formula.

The variable can be well above or well below the Structured FSC, but in my experience, over the long run, it was higher. That is, until they started paying a Structured rate for DH miles, and then my Variable rate FSC started varying only at the Structured rate downward - never above it. Clearly, any FSC money in excess of the Structured rate was being transferred to cover the cost of the new DH pay.

Like flipping a light switch, just that quickly my pay for all-miles dropped 4.2 cents a mile when they introduced the additional "raise" for DH Pay. I no longer am leased to Panther.

cableguymn · Jan 13, 2012

Turtle said:
The FSC can either be static (Structured) or Variable. The Structured is based on the national average, and for cargo vans it's whatever the National Average is, less $1.35, then divided by 11 MPG. Top of the page at the time of this writing show a National Average of $3.82. Less $1.25 is $2.57. Divided by 11 gives you 23 cents per gallon, unless they've changed the formula.

The variable can be well above or well below the Structured FSC, but in my experience, over the long run, it was higher. That is, until they started paying a Structured rate for DH miles, and then my Variable rate FSC started varying only at the Structured rate downward - never above it. Clearly, any FSC money in excess of the Structured rate was being transferred to cover the cost of the new DH pay.

Like flipping a light switch, just that quickly my pay for all-miles dropped 4.2 cents a mile when they introduced the additional "raise" for DH Pay. I no longer am leased to Panther.

Wow... Should i get the bug to go back OTR.. I think I'll avoid panther.

BillChaffey · Jan 14, 2012

Mr. SMBIHM,
why not go solo in a Straight truck and take your Bride with you. She can see what's going on, get some wheel time in open parking lots.

smbihm · Jan 14, 2012

Thanks for all the advise, ladies and gentlemen. Its a lot to think about. Everyones got to get into something new at the ground floor. We are just trying to decide if theres a floor to step on!! We r still considering all options and not to make a hasty and detrimental mistake. Thanks for the last option of driving solo in straight truck with her, we didnt think of that!! We still apreciate all comments and advise..

BigCat · Jan 14, 2012

Panther currently advertises for $1.00 loaded mile in Expedite Now.

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I am here: http://maps.google.com/maps?ll=35.000342,-80.976836

smbihm · Jan 14, 2012

Thanks for the info Jake. Is that $1.00 a mile for cargo vans? I have seen ads on here where certain companys advertise $ per mile, but only for S/T or T/T. Were can i find that breakdown from Panther that includes cargo vans? Thanks

BigCat · Jan 14, 2012

Here ya go sir!

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I am here: http://maps.google.com/maps?ll=35.000342,-80.976836

xiggi · Jan 14, 2012

The only time they get to one dollar a mile is with fsc.

BigCat · Jan 14, 2012

xiggi said:
The only time they get to one dollar a mile is with fsc.

Well even then that's better than the $.80 a mile I'm seeing with other carriers.

Newtothis · Jan 14, 2012

That's if you get miles too. They've been hard to come by personally speaking last few weeks. Take in consideration insurance deductions and also escrow if driving for an owner.

bluefish55 · Jan 15, 2012

A new owner just put on 1 sprinter van with Panther in November. No hazmat, no passport, no cdl. .71 to .73 plus fsc. Offer from owner to a new solo driver was 40%, owner keeps fsc, owner pays for fuel, tolls to be approved first. 20% to driver on comdata card for fuel only, at pickup to cover run. ?? Wait 3 weeks to get 1st pay, then paid every 2 weeks. 1 driver quit and left the van in SC. another driver quit and left the van in Miss. Owner lives in Kan. and had to go pick up van both times. ???

OntarioVanMan · Jan 15, 2012

bluefish55 said:
A new owner just put on 1 sprinter van with Panther in November. No hazmat, no passport, no cdl. .71 to .73 plus fsc. Offer from owner to a new solo driver was 40%, owner keeps fsc, owner pays for fuel, tolls to be approved first. 20% to driver on comdata card for fuel only, at pickup to cover run. ?? Wait 3 weeks to get 1st pay, then paid every 2 weeks. 1 driver quit and left the van in SC. another driver quit and left the van in Miss. Owner lives in Kan. and had to go pick up van both times. ???

I see no problem with that.....the owner holding back 2 weeks pay.....you see it'll cover his expenses to go and retrieve them deserted vans from irresponsible drivers

More owners should get some kind of escrow or deposit on their equipment..the hold back makes it possible for the driver to start right away...

Rocketman · Jan 15, 2012

bluefish55 said:
A new owner just put on 1 sprinter van with Panther in November. No hazmat, no passport, no cdl. .71 to .73 plus fsc. Offer from owner to a new solo driver was 40%, owner keeps fsc, owner pays for fuel, tolls to be approved first. 20% to driver on comdata card for fuel only, at pickup to cover run. ?? Wait 3 weeks to get 1st pay, then paid every 2 weeks. 1 driver quit and left the van in SC. another driver quit and left the van in Miss. Owner lives in Kan. and had to go pick up van both times. ???

That sounds like a good contract as long as he pays when he is supposed to. If he has the Sprinter in good condition and set up properly, it's up to the driver to make it happen.

OntarioVanMan · Jan 15, 2012

There are 2 kinds of people in this business....

Floaters and Stickers.....which are you?...

bluefish55 · Jan 15, 2012

Rocketman said:
That sounds like a good contract as long as he pays when he is supposed to. If he has the Sprinter in good condition and set up properly, it's up to the driver to make it happen.

I guess what I was trying to say was, that I, as a possible driver for the owner, I would never abandon the owners sprinter van anywhere. He was having a hard time trusting anyone. I consider myself a professional driver and business person. Other owners have told me the 20% would not cover all the fuel on some trips.

BigCat · Jan 15, 2012

Bluefish55 I have seen multiple posts about panther in a negative post. Have you ever driven for panther? I have been for 6 months and yes at times I am fed up with them but they do treat you right and one of the best most fair pay scales IMHO.

2 week hold? That has to be the owner. Yes I had a 3 week hold but I am paid every week now.

The drivers you described had no credentials other than knowing how to operate a sprinter so why would they be paid same as a hazmat,Canada approved and dod cleared driver?

OntarioVanMan · Jan 15, 2012

bluefish55 said:
I guess what I was trying to say was, that I, as a possible driver for the owner, I would never abandon the owners sprinter van anywhere. He was having a hard time trusting anyone. I consider myself a professional driver and business person. Other owners have told me the 20% would not cover all the fuel on some trips.

20% would on MOST trips IF driven properly....like 65 mph....my fuel NEVER exceeds 20% of the load...
ONE question the 20% is calculated on what Total....?
20% of line haul?
20% of FSC?
20% of TOTAL run?

blizzard2014 · Jan 15, 2012

BigCat said:
Well even then that's better than the $.80 a mile I'm seeing with other carriers.

It is better than the straight up 80 to 85 cents per mile that you see with the other carriers (the smaller lease on with multiple carrier carriers out there) but there is a lot of stuff that you have to deal with. You have to get personal, injury insurance, pay 35 dollars a week for Qualcomm (whether you run a load or not) get vehicle inspections, DOT physical even though your truck is not regulated, have a 2005 or newer truck, and put up with only being able to drive 16 hours a day.

Also, you have to put your entire financial future and earnings potential into the hands of one company. I'm not so sure a lot of guys out here can do that with the way things have become for vanners. I myself would only go back to this sort of structure in 1 of 2 scenarios. First scenario I can become a Landstar vanner or second scenario, I become a Load One Vanner! Other than that i'll keep things the way they are right now.

blizzard2014 · Jan 15, 2012

OntarioVanMan said:
20% would on MOST trips IF driven properly....like 65 mph....my fuel NEVER exceeds 20% of the load...
ONE question the 20% is calculated on what Total....?
20% of line haul?
20% of FSC?
20% of TOTAL run?

Or you can work for a certain carrier that we both know of and receive a lower fuel surcharge than every other carrier out there! I myself prefer the all inclusive method. I just take the total amount of money i'm being paid for the load, deduct fuel, and then ask myself if i'm alright with driving 1500 miles and making 1100 bucks and I move forward from there. All this FSC talk is just mumbo-jumbo. It's the total rate that matters.

OntarioVanMan · Jan 15, 2012

blizzard said:
Or you can work for a certain carrier that we both know of and receive a lower fuel surcharge than every other carrier out there! I myself prefer the all inclusive method. I just take the total amount of money i'm being paid for the load, deduct fuel, and then ask myself if i'm alright with driving 1500 miles and making 1100 bucks and I move forward from there. All this FSC talk is just mumbo-jumbo. It's the total rate that matters.

I know Bliz what you are saying....but the FSC and linehaul rate are a sticking point with % drivers...