Wow, trucking expenses can really add up. As an owner-operator or fleet manager, there always seems to be someone to pay, another fee, bills, and more! This is really tough in the beginning when you’re busting your butt trucking just to break even.
However, if you develop a good business plan and create a trucking budget you’ll quickly discover ways to cut costs and increase your revenue per mile. Check out a few ways to save and make money trucking.
Four Trucking Expense Hacks To Improve Profit Per Mile
1. Improve Employee Management
As a fleet manager, you’re a leader. How you act will influence your employees. You’ll profit if they do a better trucking job. Be sure to use positive reinforcement and to make time to listen to your employees. Learn their names and a little about them, so they won’t feel replaceable. The cost of finding new employees is much higher than retaining them.
Also, you can grow your employees to move up in your operation. For example, provide them with educational materials and give them a shot at working in other areas. For example, if a trucker gets tired of driving, see if they want to be a trainer or dispatcher. Don’t limit their potential.
Be sure to promote safety practices and lead a lot of safety exercises. If your drivers are safer, the number of accidents your trucks are involved in will become reduced. With safer drivers, you’ll have better insurance rates and can avoid the costs of repairing or purchasing new trucks.
2. See if Some Projects can be Outsourced
Every time you need to build a website, increase your SEO, recruit drivers, or handle human resources, you don’t have to bring in a new professional. You can simply pay a freelancer, independent contractor, or company to handle the project.
By outsourcing these tasks you won’t have to pay someone a salary or offer them benefits. You will simply pay them for the project or service performed.
3. Save on Miles
Fuel is the number one trucking expense, so you’ll want to save as much as possible. Use a routing program like ProMiles to find direct routes, specifically for trucks. This way you can avoid downtown areas and driving out of the way.
Other ways to save include slowing down. Going 65 mph instead of 75 will save 27% of fuel. Also, reduce idling time and drive less aggressively. Try to come to smooth stops, and slowly accelerate instead of mashing the pedal and slamming the breaks.
4. Get the right truck dispatch software
Don’t pay tons out of pocket for complicated trucking software that doesn’t have the tools you need. Use a cost-effective business management program like TruckLogics. TruckLogics won’t break the bank and makes it easy to track, analyze, and improve your business online.
While on the road you can view reports like the Profit and Loss report to review how your business is doing, use expense tracking to see where your money is going, create professional invoices to get your money, and much, MUCH more!
Sign up for your free TruckLogics trial now to learn how you can save time and money with the market-leading online trucking business management program! Please don’t hesitate to contact our amazing, live support team if you need any assistance.