Welder Dave
Senior Member
If fuel is paid by the hirer could be a major factor the larger the machine.
Well,that’s a tough one to answer if my business was based solely on the purchase of a new D8/D9 and expecting to put it to work 2000 hours a year on a hire basis only.I’ve never done that,so I can’t answer that sorry.Just curious, how long do you figure it takes to pay for and operate, along with your other long term obligations involved to keep working..a machine that costs 1/2 to 3/4 of a million dollars like the machines you run? at the rates you quote?
That’s sounding more in the UK rates Check.The readers have to remember that I’m quoting off in GBP (Great British pound Sterling) and I’m guessing some of you lads are going off American,or Canadian dollers and perhaps Aus coin too.You're not going to see that over here either Nicky. You may bid a job with a D8 and wind up making $300/hr, but that's not a rental rate. It's equipment plus profit. Many states publish their rental rates. One of the first that came up was the CalTrans rate sheet. Up to March of 2022, they were paying $178 for a D8R and $223 for a D8T, which is more in line with what I was thinking. As for paying off a $1,000K machine, that's where your brain comes in. If you bid a job and use your head, there's new equipment in your future. If you screw up, it might be the Ritchie Bros auction.
Thanks anyway, I wasn't meaning to hijack this thread, I was thinking it was a part of the process of what was being discussed. Now back to the OP.Well,that’s a tough one to answer if my business was based solely on the purchase of a new D8/D9 and expecting to put it to work 2000 hours a year on a hire basis only.I’ve never done that,so I can’t answer that sorry.
I totally agree with you Mcrafty,when people ask questions or advice on these threads,it’s often necessary to go off the track abit (excuse the pun) to help explain the answers we give.Thanks anyway, I wasn't meaning to hijack this thread, I was thinking it was a part of the process of what was being discussed. Now back to the OP.
I charge around 25-30k for 1,000-1,500cuyd. Dozer pushes 300-400cuyd an hour. 4,000cuyd 40-50k. 8,000cuyd 80k. I mean whaaa?Shimmy,although you are correct in wanting $3000 for every 10 hours that D8R runs,I’m afraid we’ll never see that here in the UK for hire work .
Here in the UK,I can get around £120 per hour max for an older D9T and £110 per hour max (and that’s almost unheard of,££90 more on the mark for my young D8T ripping).The hirer pays the fuel,cutting edges and ripper tips) owner pays the driver.
In some very rare circumstances,the hirer may pay for a percentage of undercarriage wear too.
It’s an unfortunate fact of life here.If I were to charge £2500/€3000/$3000 a day for a D8,I would never work again and possibly be blacklisted from every job in the country.
On the other hand,if you’re on a price per ton for rip and crush and stock operations etc,you may be in with a chance of earning that sort of money with a D8
Came from a private seller who brought the machine down from Canadian pipeline.IIRC, and I’m too lazy to look at the first threads posted by the OP regarding this particular tractor because they go back a couple of years at least, that’s where it originally came from.
Yeah I appreciate people's helpful opinions but I think they're a little out of touch on how much a d8r is to rent. Where I'm at, my 55klb excavator is 7k a month. I can't find any d8's that allow people to operate them. It always comes with operator. $2,000 a day.That's cheap. I paid $15K a month back in 2004 for a D8R but it was a newer machine at the time.
Yes I do per job and move dirt. Unless I'm waiting on import, each job takes 2-10 days and ranges from 25-80k or more.The thread has devolved into something useful finally.
Rental rates in this area are done by the eight hour day, weekly and monthly. Four days equal a week, three weeks equals a month. The longer you have the machine, the less it costs to rent it. Renter also pays for machine transportation. Rents are always deductible as a straight expense. Leases may be deductible depending on the structure of the lease and ownership has to be written down on a depreciation schedule. Those schedules are subject to political manipulation so I usually see a lot of trade in business at the end of each year, until this year. Rental rates are determined by the capital costs of the machine and are a percentage of those costs also based on the projected rental life of the machine. New machines increase in cost so rental rates will always go up.
Machines are always for sale while still in the rental fleets so there is a lot of moving parts when a rented machine is sold and another machine has to be switched out on a rental customer.
Rentals from a franchised dealer only include the machine. Insurance can be purchased from the dealer but is usually covered on the renter's own insurance policy. Proof of insurance is required before the machine leaves. Renter is responsible for the operator, all fuel, maintenance and any damage repairs. The Cat house tried to make a surcharge on undercarriage some years ago but found they didn't have a mechanism to measure the undercarriage every time the machine went out and came back in on rent. The other problem is that a lot of machines go out and never come back to the dealer's lot until it is sold. They just leap frog from renter to renter.
Nicky's operation is different in that he is supplying machines more in the vain of a contractor here hired to move dirt. We have several contractors here who do that but all work on a bid basis for a complete job. I have a sometime client that does dirt and utilities work for new school sites, running 631 scrapers, excavators and dozers who works more like Nicky and every penny is squeezed tightly.