Maintaining Equity

Your business will incur debts and it needs to do so in order to run smoothly.  An important consideration is that your debts shouldn't outweigh your income.  The equipment you use shouldn't cost more than its worth.  The equipment should also be able to be sold at a profit or at a reasonable rate so that if you need to sell everything, you can pocket some money and not just break even.

New trucks are appealing because they have a warranty and they meet all of the latest regulations such as the C.A.R.B. regulations in California.  Since they are new, they are less prone to failure due to simply being old.  Older trucks' components wear out.  The plastic and rubber dries out.  The wiring becomes more corroded.  As soon as the truck rolls of the assembly line it starts to age.

Used trucks can be a great deal if they're in good condition or have been maintained.  Even if the used truck hasn't been maintained properly, a skilled mechanic or someone who is mechanically inclined can bring the equipment back up to speed.

The point here is that the value of the equipment should exceed the amount owed on it.  The condition of the equipment is important because the more you keep up with the maintenance and keep records of the repairs, the more value there is when it comes time to sell.  These days where the aerodynamics and fuel efficiency of the truck play a major role in the truck's value, it pays to know when to sell what you have and buy new.

There is also a strategy that is popular where you buy equipment and use it until its at its sell point, then sell it and pocket the money.  Next you buy the equipment with financing to replace your sold equipment and make payments on it while the funds you brought in from your recently sold equipment collects interest in a retirement account.

You can buy and sell trucks, trailers, tools, and anything else your business needs keeping in mind that you should only own so long as there's value.  As long as the value is there, your business will stay in the black.  The best situation to be in is to have a piece of equipment that you can pay off quickly and use for years to come with small payments and little maintenance.  In this scenario, you would buy a new truck at a discount or a used truck for a reasonable price.

You would either make the payments on the new truck or pay the used truck off quickly.  The truck would then be used for several years past its payoff date and the maintenance would be a priority so as not to trump the equipment's former payment amount per month.  It's important to keep on top of the maintenance.  The older the truck, the more attention it needs.

Texting While Driving Is Now A Nationwide Epidemic


This video was shot by the non-driving co driver of the semi-truck.  On this day approximately 30 other vehicle drivers where also witnessed texting behind the wheel of a moving vehicle from passenger cars to commuter bus drivers.  It's everyone!  Anyone with a cell phone can be doing this in any vehicle at any time.  It's more dangerous than drunk driving.  

Oh Yeah!!



A Lighter Ed




It’s very easy to pack on the pounds while at the wheel of a semi-truck.  Amazingly though, there's a way to lose the weight almost as fast as you put it on.  It depends on your bodily make-up, but for me it works.  In the past I’d lose weight with exercise.  I’d put on a few pounds and then start my running routine.  In a couple of weeks, the weight would fall off.  
 
As I grow older, it seems this approach doesn’t work for a couple of reasons:  First, the more you exercise, the hungrier you are and the more you eat.  Second, the added food doesn’t burn off as it did when you were in your teens, 20’s and early 30’s.  

Salena has been barking in my ear for a few years now that exercise isn’t necessary to lose weight.  She has said repeatedly that simply counting calories will do the trick.  She is right about that, but I’ve found that if I count calories, I’m hungry!  Her approach is tried and true.  No matter what you eat, it’s ok, so long as you keep the calories down.  



Recently there was a campaign started to pinpoint the foods we eat that cause obesity.  For me, this was an epiphany.  I can eat all that I want and lose weight without counting calories.  I have combined my past experience, the new science that exists, and Salena’s recommendations to pattern a new lifestyle that so far has involved zero exercise.  Since May 15th,2014 I’ve lost 17 pounds.  My heart rate and pulse is normal, and my energy levels are through the roof.  

The recent campaign called “FedUp” gave me the idea to stop eating bread and sugar.  So I cut them out completely.  Mainly my source of bread and sugar has been fast food.  It seems as if they are putting sugar in everything!  If you go to McDonalds and order a BigMac with cheese and fries with a Diet Coke, you are eating a LOT of bread, sugar, and crap!  Sure it’s delicious, but you WILL pay the price for that meal.


I cut out red meat, pasta, and all fried foods.  If I eat at McDonalds, I have the salad, or if they are out of salad, I get the grilled chicken wrap and if they are out of the wraps, I get the grilled chicken sandwich and throw the bun away.  I might even eat 2 grilled chicken sandwiches without the bun.  I don’t eat fries, but the apple pieces are good as a side.  I’ve found that if I’m not hungry, I don’t crave anything so my goal is to not be hungry.  

If you are carrying a 40 quart cooler around with you in your truck, you can go to the grocery store and load up on green leaf lettuce, radishes, pickles, jalapenos, olives, sliced almonds, sunflower seeds, cherries, bananas, oranges, peaches, apples, carrots, celery, instant oatmeal (only original, no flavors) blueberries, strawberries, chick peas, hardboiled eggs, deli turkey, snap peas, green beans, bell peppers, and whatever else you can fit into your cooler and truck’s cabinet. 



You can chop the vegetables up and store them in a ziplock in the cooler so that you can mix up a fresh salad for lunch.  Eat all that you want of the vegetables!  There is a low calorie organic salad dressing that you can get and all you need is a couple of table spoons of that to lightly coat your salad.  The salads at Wendy’s are great also.  If I am extra hungry and eat a salad at Wendy’s, I get the plain baked potato.  I go ahead and put butter, sour cream, and chives on it.  I’ve become very aware of all the garbage that is for sale on the shelves at truck stops and in convenience stores.  If I need a snack, I eat some carrots and some pistachios, but I don’t have more than about a ¼ cup of pistachios.  I don't count calories except when I am eating pecans, walnuts, pistachios, and peanuts.

For breakfast, I’ll have an egg omelet with ham and cheese or oatmeal with strawberries and blueberries with chopped pecans and for a drink a cup of coffee.



For lunch a huge salad with everything I can pile on with a glass of iced tea or water.  (no sugary drinks or sugar substitutes such as Splenda) 



For dinner, I’ll have either baked fish, scallops, or grilled chicken with a small salad and fresh steamed vegetables with a glass of iced tea or water (no sugary drinks of any kind and this includes Splenda)



For dessert, it’s a chopped fruit salad such as bananas, blueberries, strawberries, peaches, and apples all mixed together and for a drink, a cup of coffee.



Basically I eat whole fresh foods as much as possible.  No artificial ingredients, no fried foods, no bread, no red meat, and no sugar.  

I don’t skimp on the amount of food, though.  I eat until I’m full so I eat a HUGE bowl of salad or for dinner, I eat a couple of chicken breasts and a bowl of vegetables with a large salad.  

I will eat a cheeseburger or some steak tips or even pizza and a piece of cheesecake, but only once a week and only small portions.  As soon as my weight is exactly where I want it, I can tailor what and how much I eat to how much I want to weigh.  

Not exercising is helping to stave off food cravings.  The more I exercise, the hungrier I am.  Keeping food cravings down has been great way to eat less and stay full after a meal.  The main thing to keep in mind is that you don’t want to be hungry and when you are, you should know what not to eat to keep the weight off. 

When I started driving a truck at the ripe old age of 21, I could not put weight on regardless of what I ate, but at the age of 39, I’ve found that it’s getting harder to keep the pounds off.  As of June, 2014, I’ve driven a truck approximately 2.6 million miles and I’ve lived through stressful situations and all of the lifestyle choices that cause weight gain.  Since getting behind the wheel, I’ve put on about 60 pounds of unwanted weight.  

I know how hard it is to lose weight and I know how easy it is to put on the pounds.  I’ve lived it.  The fact is that being heavy will shorten your life and cause problems.  Incorporating diet and exercise doesn’t have to be a miserable campaign.  You can lose weight, strengthen muscles and have fun without being hungry.  You just have to keep trying until you find what your body responds to.  We are all different and what works for me, may not work for you, and vice versa.  

If you love trucking, then you need to care for your body.  When the day comes that you park the truck and go on a vacation, or quit trucking altogether, your body shouldn’t have suffered the consequences of an unhealthy lifestyle such as high blood pressure, heart disease, and diabetes.

You want to park the truck and enjoy your time seeing the sights and walking anywhere you want to go.  Take care of yourself and have a great life!


The Investment Game

Who wants to invest money in this stock market?  I know what you're thinking,  "Ed?  Are you seriously going to give investing advice?"

    No, not really.  I'm never giving anyone ANY advice when it comes to investing so don't start calling me E.F. Hutton.  You weren't going to anyway?  Right. I thought so.

    The strategy I've been told works by the wealthy folks I've had the pleasure of meeting, is about compounding interest over time.  It's interesting how things come together.  As you start establishing yourself as a person who's able to wear many hats, you find yourself around like minded people.

    The military is similar because as you advance in rank, you find yourself around veterans who have achieved success in their fields.  Well actually, that's just life.  It doesn't matter which path you choose, right?  As you stick to it and become an expert or authority, you will find others who have pursued a similar path to find similar success.

    The point of this post is to highlight that when you are working for yourself, you have to invest in your own retirement.  You need to be thinking long term.  When I started trucking at 21, retirement was a long way off.  If you started at 21 like me, you're not going to be touching that money for 30, 40, or even 50 years.  That's the beauty of compounding interest and mutual funds.
 
    The earlier you start, the more you'll have when you aren't able to work anymore.  In fact, if you start in your teens, you can put minimal money away every year and by the time you are 30, provided you've picked the right funds and management, you don't ever have to put in another dime.  The money will grow throughout the long time period between when you started and retirement.

    The earlier, the better, when it comes to mutual funds and IRAs.  As an employee, you can contribute to a 401K, and you can also do so as a small business owner.  You can contribute to an IRA, a SEP IRA, an HSA, and a solo 401K, and there are Roth versions of the IRA and the 401K so that you won't pay taxes on the money when you retire.

    The good ole IRS has set up their system to allow you to pick how you set up a retirement plan.  You should tailor your plan to maximize saving money both for yourself and your business.  What most people don't understand is that the IRS wants US citizens to work in this country thereby generating revenue, paying taxes, and both taking and putting back into the system. 

    They don't want to tax you to death, because then people wont support the system.  This system has flaws, and I'm not interested in getting into this here, but for the purpose of this blog, I'll just say that you should know what is taxed, and what is not taxed so that you can navigate the system with some success.

    A good accountant can help you with the taxes, but unless you can afford a financial adviser, you'll be your own financial adviser.  When you're investing in your retirement, it may be that you can't afford not to have a financial adviser, but the important thing is to put something away regardless of how you do it.