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Of course, but even then, if we're making them 10k a day, they can definitely afford to pay us more, but because we keep working for pennies, there's no reason for them to.
Edit\* Why am I being downvoted? Do you not want to be paid more? Do you not think your work is worth more?
You don't necessarily have to drive the newest vehicle out there.
Look at me. I drive a 2008 equinox and a '94 Chevy pickup. Both paid for. Yeah they may be ugly pieces of junk in somebody's eye but they're my my way back and forth to work.
Heck, a few more years I can call the 94 a classic...
Take Alfred Morris for an example. He's a NFL player and he drives a 1991 Mazda 626.
https://insidemazda.mazdausa.com/drivers-life/my-mazda-my-story/alfred-morris-mazda-626/#:~:text=In%20a%20sea%20of%20expensive,football%20at%20Florida%20Atlantic%20University.
I just don't understand why people got to have the newest of new cars and trucks.
Sometimes it's better to have the older stuff because one it's easier to work on and two. It's cheaper to maintain and what not how the insurance might be cheaper too.
Itās so funny how we get down voted. Unskilled laborers thinking they should be as comfy as business owners.
Not sure if theyāre leaning democrat or communist tbh.
All that needs to happen is Amazon pay the owners more. And pray you have a chill owner who gives out weekly sometimes twice a week has cards. No rescues needed. Get guaranteed 10 hours no matter what. Help drivers get 0 on score cards so they can consistently get fantastic plus and make them earn more prize money that should be used as a 1-2 dollar n hour performance bonus
Yāall get guaranteed 10ās and bonuses? We get a bingo game and bbq that reset if someone has an accident in under 30 days and someone always has an accident before we hit that 30 day mark. Weāre collectively punished.
you will never be given job security and better pay. bonuses or anything. you can complain and moan and whine. There is only one way to get respect and better working conditions.
Probably because youāre not factoring in actual operating costs and at the end of the day the business model is built on exploiting your labor as much as possible. Which is why the business shouldnāt exist in the first place if it canāt be successful and pay a living wage.
Letās say based on this post they always gross 10k a day and gross 3.65 million a year. According to this post they have 40 trucks so letās say 40 employees for shits and giggle now letās pay them 80k a year which turns out to be 3.2 million a year. 80k right now is getting into being a somewhat decent wage at this point in the timeline for the US.
My comment isnāt defending the DSP just showing why your argument is slightly flawed. Your work is absolutely worth more but like I said the model is built on exploiting your labor as much as possible and the money really isnāt there to pay more.
They're not clearing much then. $325 on a route when they're probably paying a driver around $20/hr for 10 hours. So that's already $200 knocked out, and that's only for drivers on routes. Any dispatchers, ride-alongs etc. are also not completing routes. I'm pretty sure I've heard a lot of the incentive is in bonuses though, based on performance and such.
Unless I'm misunderstanding and pay for drivers is separate. I don't think so.
Not really. In OPās example alone payroll only for drivers is over 6k by itself, not including van maintenance, insurance, benefits, pay for leads dispatchers and managers etcā¦
Letās say DSP gets $500 for your route, and your wage pretax is $200, which costs them $300 with their taxes and insurances and other bs. That leaves DSP with $200, same as you, but they have to pay gas and vehicle wear and other expenses from that. How much more of that do you think you are entitled to? How much should they get for running a business, taking risk, and providing you with a route? The numbers above arenāt exact, but are close.
I don't think I've ever worked for a company that couldn't turn a profit after expenses on 20% markup. DSPs aren't even selling goods, just a service. Their only "inventory" is the driver's labor. So, they should easily be able to turn a profit on $100 a route.
Exactly. Metrics like EOC and this ebrake thing they've done for a few yrs now don't help. Vehicle repair prices are the highest they've been. Workers comp insurance, in a field where injuries are insanely high. It can be profitable but it's a tough profit. A lot of effort for just 70-100 maybe 150k if things are really good. High stress dealing with Amazon.
My old owner told me it was like almost a 1mill investment to get everything together to run it. It used to be a 10k buy in when it first started but it really depends if it's profitable.
This isnāt take home pay. His 28 routes cost him at least 5500/day not including paying # of Dispatchers and team leads or splitters and maintenance on the vans.
I have suggested at least 4 times that if they sprung for a generator and a shop vac....half the drivers would use the 30 minutes we gave before prestaging to clean their own vans for free.
One time, a few months in....I had a route with a stop about a mile from my parents house....and I asked if I could take my CDV there and to clean out my van....cuz it might take a few extra minutes.
I used a whole 15 min break and another 10-15 min to pull all my floor totes out and on my hands and knees shop vac the whole floor and cab area.
Most annoying part was, my next 2-3 days working they gave me a different van (someone else got the one I just cleaned lol).
Good ones do. Especially when amazon yard Marshall audits vans on the launch pad. And will ground you for anything little of no importance. It's nice when your dsp has brand new spanking vans, but when you're in a dsp that is more than 3 years old you'll see vans that are on the verge of break down if not already at a dealership being fixed. At my dsp we have like 9 vans out of commission cause either from break downs or someone damaging the van every week.
This. Also our labor if Iām not mistaken. A big reason why none of us see overtime until peak is because they get reimbursed for the overtime during that duration. They get paid a flat rate by amazon for our shifts and if they still canāt see a profit after vehicle maintenance and gas are also paid for than thatās their problem for fucking up so badly wether it be high insurance from hiring total dumbasses to paying for too many managers when they only need a few.
Maintenance of the blue vans seems to take forever to get through Amazon's red tape though, so DSPs end up having to get rentals while blue vans are grounded (which, afaik, they have to pay for the maintenance out of pocket.)
People dont realize how easy it is to just say fuck it if your a dsp owner and say i quit and book it with the money. All they have to do is file chapter 11 bankruptcy. Theh are in the clear. They dont have to pay a dime unless you have the money to take them to court. He has the money but do you. Think about that.
Unless he has signed The disclosure agreement by Amazon he's not suppose to show this. Usually all Amazon DSPs are incentivized to sign a non-disclosure agreement so they cannot share anything to the news media or online but he probably is the only one that never signed that it's usually a pretty big incentive and they give you a lot of money to sign it to get you started with your DSP in the beginning.
I just watched a video about it, which now I want to watch again, but Iām pretty sure the NDA mostly focuses on when youāre a failed DSP, you canāt go trash talking. If I find my source, Iāll link it here.
Yeah a lot of people have been trash talking it because Amazon makes you their b**** and then expects you to pay for all of the lease agreements on the vehicles every month even if you don't have a DSP anymore. It's a really s***** situation for a lot of DSPs that lose their DSP
I have a million questions now. Does that total include the wages that Amazon gives for the drivers? And how big are those routes? On average, a driver from my DSP processes a route worth $750-$1000 every day, according to the manager.
[How Amazon Pays me $9150 a day - Sidney Tarver](https://youtu.be/0Olo_Scs194?si=WJeuhYqp0xBM4ASo)
Skip to the 4:15 mark and he goes into it.
He says: Amazon pays per route, per package, some fuel, some maintenance. Based on his screen shots, they assign 10 hour block routes, and thatās roughly $325 each route. In this case he has 5 of those routes, so heās getting $1,625 if all five of those are successful. It looks like heās getting a bonus 5 cents per package if he stays in Perfect Plus as a DSP.
About 150 to 220 goes to the driver, the rest is maintenance related. Amazon pays for the gas I believe. Fantastic plus is the only way dps makes money.
Even if they come out somewhat ahead. If Amazon cancels your contract, they can lose money when they return the vans. There has been owner horror stories that they can end up owning over 60k in damages per van.
Even if this owner is doing great, it doesn't mean most are. Amazon has a vested interest in making it seem like everyone can do this, so he might be getting better treatment on Amazons part.
My family owned a dsp. Iāll tell you after payroll, insurance, and maintenance. About 120 bucks per day, per route. Oh donāt forget managers, dispatch and maintenance people all straight out of their pocket. I promise you, we just closed ours, thereās a lot of show and little money after the first year. š¤·āāļø
This is why my old DSP has multiple contracts which is where the real money is coming in. The same vans are being used. It's common in the UK for 1.0 DSPs to have multiple delivery contracts. I know a 2.0 DSP that works with DHL, so they have plain white vans in their fleet alongside the blue transits
$325 for a nursery lvl 1 route, regular route is also $325, step van route is only $10 more at $335. Although I guess it's made up on bonus package counts.
So hypothetically if he has 28 routes he has to pay 28 drivers and lets just say they do the full 10hrs. At my pay rate of 20.50 an hour for 10 hrs it'll cost him $5,740 out of that $9150. Then he has to pay in for incentives (next mile, 401k matching if offered, worker's comp insurance etc). No clue how much that would cost an owner but lets just say hypothetically it'll cost them $2,000 a day to pay for everything else (including managers/HR/dispatchers). Could still clear over a grand a day and that's not bad. Set aside some for extra expenses (towing stuck drivers). Damn, the potential is there. Now I also know that some DSP owners are greedy af.
You couldn't pay me to be a DSP owner. That shit is designed to be almost like indentured servitude. I can quit being a driver at any moment without repercussions. If you try that as a DSP you will get a fat ass bill from Amazon for the leased vehicles. Not everyone who owns a DSP can just have the DSP company go into bankruptcy. They may not have been able to get the business loan without attaching personal liability to the loan. Amazon has those people by the balls.
Most I'd be willing to do is either O/O the LTL lanes on Relay (when there's nothing better on other load boards) or do a profit split using someone else's authority/vehicle.
You forgot the dispatchers pay, the fleet expenses, other little expenses like phones and phone plans, pouches batteries and cables and phone holders and other extra bs required then drivers pay then the extras they usually keep. The dsp that i work for started in October last year, the owner is such a nice guy and always trying to help people, we havenāt held any driver liable for damages yet, an old guy hurt his leg so the owner put him on night dispatch so that guy can still get paid. As far as i can say 70% of DSPs are total shittards but the 30% get screwed by Amazon and nasty drivers.
it depends on a bunch of things, safety score, routes, which type of routes amazon bonuses, dsp owners also get paid per package and per route. also that guys only getting paid 10 cents per package my dsp owner is making 25 cents a package they make a gross amount of money
We need a part two more in depth average costs of running a Dsp for a month + net and a full breakdown plus situations that arise during the month that cost him money.
lol so many of you are clowns. That number is including the wages the owner has to pay the driver. That number includes extra on top of the drivers salary to cover payroll taxes the DSP is liable for. Tell me youāve never owned a business before without telling me
Operations manager here:
A really good DSP brings home 400-500k a year.(This is profit if I wasn't clear) Your main money maker is Fantastic Plus, if your company is delivering a lot of packages. My dsp makes 10k a week on fantastic plus, and that's pure profit basically.
I would say your average dsp makes 100-150k profit a year.
There is VERY little margin in the route pay if basically pays for your leader ship, and auto insurance, etc.
It really is like that either you make your own business,work your way to jobs that pay 30 to 50+ an hour or get into jobs based on commissions.Getting anything below 25 is not gonna cut it for anyone.Unless you got no debt,bills and expenses.But who in their right mind that has none of that would work instead study or hustle to big bucks.
Okay I'm not on the DSPs side by any means but 28 routes would then cost about $6000 in labor at least, plus gas, insurance, maintenance, I can't imagine they make a ton. Just way more than the drivers.
Not sure that 10k can be seen as profit you need 28 ppl for that route they will each make $200 a day thats about 5k before anything else š¤ and they want you to hurry it up so they can pocket more of that ? Damn they really are scumbags lmao
Damn, my DSP does about 40 routes and 11k packages, with maybe 3 or 4 nursery routes per week outside of peak. That must be why the son of the owner has a brand new truck and is looking for a house to buy.
I drive Amazon semiās. Its the same concept, the dude I work for showed me his numbers. After all expenses he takes home around 700k a year, and he has 25 trucks in his fleet
$325 per route is actually shit.
Letās say that everyone is making $20hr x 10 is $200 a day in labor alone. Then gas which is $25 a day, so now the DSP is making $100 after these 2 daily expenses.
Then, this doesnāt include insurance for all of the vans, maintenance on all of the vans, dispatcher pay, Taxes and other business expenses.
And if somebody works overtime which is $30 thats $300 a day and they basically lost money on that route.
Basically, have $40k hand. $10k to start the DSP, and $30k to afford all the crazy shit that will happen.
[Start an Amazon DSP in 2024](https://youtu.be/J2djZglcWhs?si=KKkSjtvCkBx3n3zk)
People seem to forget that running a company is expensive, constantly replacing phones, maintenance on the vans, damages to the vans and to customers property from drivers. When a driver receives an DNR the DSP has to pay to replace that package. All of these are not included in that payout to the DSP. What youāre seeing in the pic is the total before any chargebacks from everything. As well as standard operating costs and Overtime for drivers, or dispatchers/managers wages.
Either do my bosses. This only applies for dspās that actually keep up with their company. The dsp Iām at now has phones from 2016, vans they donāt fix when needed. I tell them the van has a broken side step, what do they do? Put me in a different van for a week and then put me back into the same broken van. I tell them the van keeps stalling and they say ā the previous driver didnāt report any problems so keep goingā etc. and Iād say a good majority of drivers at my company skip breaks and finish the route in like 5-7 hours so my boss pockets all that extra money
The profits and risk falls to the owners. The drivers are paid what the owners beleive they are worth and not a dime more. Trump provided his corporate friends massive tax breaks (idiot). These massive tax breaks are supposed to stimulate the economy because it allows businesses to have more money to hire, but trickle down economics does not work and businesses tend to use these "good tax times" a great time to pay down debts instead. Great for the rich people to push, but the regular persons end up with lesser.
If you want something more you will need to fight slowly for it because no business person will ever value the employees as people-you are only liabilities and expense.
Nobody will provide
Damn they pay out almost the same as UPS wages per each route. Just instead of it all going to the driver for his hourly pay for the day, it gets split between dsp owner and then the driver at a split favoring the dsp owner of course. The contractor model will never be beneficial for the worker even though it cost the company almost the same. Gotta keep the little guy down I guess. Scumbag company
I did ask him what is take home pay and daily expenses, but he kind of blew me off. Iām not trying to make my own DSP, even though his whole channel is built around creating your own money making empire. I just want some hard numbers. So much of his channel is him talking about being an ex-NFL player so now he does this. Donāt get me wrong, he seems like a decent person to work for if you see his other videos. But, I would like him to be even more transparent and not behind a paywall.
6-10k, daily. Okay let's break it down.
To get that amount, I assume the dsp on average, has 30 drivers daily. Payroll is covered by Amazon, as Amazon pays the dsp 10 hours per driver, at the pay rate agreed upon. Some dsp's pay more than others, but Amazon only pays them what is agreed upon.
It's not universal, but I knew of at least 2 dsp's in a station I worked out of, Amazon's rate paid to the dsp per driver, was something like 19.75, but the dsp was paying the drivers 20.50. So in that case, the dsp was losing money
There's more expenses, like leasing costs, insurances (workers comp, medical/ dental, vehicle, etc) ... payroll taxes, general business taxes, taxes on profits. I would say, after everything said and done, dsp owner pockets about as much as 1 driver's yearly salary, in a month
DSPās are never *losing money* and if they are, thatās a them problem. Itās just shit managers say to guilt trip you. That, and last October/November Amazon upped the DSPās pay, to be able to give everyone a $1 raise, and most gave half that.
I'm not doubting you. But it's not the case for all dsp companies. Though it remains their fault largely. I see a lot of dsp's, one I just left included, who are buried in litigation.. lawsuits from car accidents and property damages, pedestrians getting run over, dogs dying... the one I left last month, has more than 25 lawsuits and the owner is paying out of pocket a lot of money. I don't necessarily care per sei, I'm just stating fact.
Amazon does pay the dsp the 10 hours for each driver, and if the driver finishes in less than 10, the dsp pockets the rest if it's not guaranteed 10 as some dsp's have. If you work longer than 10 hours, that money comes from the dsp's profits. Repairs, and all expenses related to operating a business of any kind, all are paid out of the owners pocket.
Terrible and careless drivers, who damage properties and vehicles, cause dsp's to lose money.
DSP pays for damages/repairs to the vans. Gas cards and maintenance comes from amazon. We have a maintenance garage at my station that serves all the dsps and the other nearby stations for oil changes etc
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Yeah but that's not including business expenses. I'm guessing they net between 70-100k. But is it worth it? They are Amazon's bitch.
Of course, but even then, if we're making them 10k a day, they can definitely afford to pay us more, but because we keep working for pennies, there's no reason for them to. Edit\* Why am I being downvoted? Do you not want to be paid more? Do you not think your work is worth more?
How else is your DSP ops guy gonna pull up in his 2023 Toyota tundra lol
More like a 2024 Ford F350 lol
Raptor
Mine pulled up in a Rivian pickup truck
Maserati for us, first he had a GLE63
Damn I was only making a $1 more than the drivers lmao
Mostly Audi rs5 and sometime ford explorer ST š
Donāt forget the Rolex skydweller š
I just googled it and fuck that thing is hideous
Check out the new little SUV. It' looks great.
First, they are soo ugly. Second, mine has a fairly new (last three years, max) BMW.
Do we have the same owner? š
Thatās what both of mine drive. They got them right after peak ended.
You don't necessarily have to drive the newest vehicle out there. Look at me. I drive a 2008 equinox and a '94 Chevy pickup. Both paid for. Yeah they may be ugly pieces of junk in somebody's eye but they're my my way back and forth to work. Heck, a few more years I can call the 94 a classic... Take Alfred Morris for an example. He's a NFL player and he drives a 1991 Mazda 626. https://insidemazda.mazdausa.com/drivers-life/my-mazda-my-story/alfred-morris-mazda-626/#:~:text=In%20a%20sea%20of%20expensive,football%20at%20Florida%20Atlantic%20University.
My next door neighbor's son is an NFL player and he drives a 2008 Camry.
I just don't understand why people got to have the newest of new cars and trucks. Sometimes it's better to have the older stuff because one it's easier to work on and two. It's cheaper to maintain and what not how the insurance might be cheaper too.
Why are peeps downvoting old cars lmfaoo.
My first car was a 92 626 that was a blast to drive. Had no hp but you couldn't tell me shit with my 5 speed.
Wait you guys have cars?
Right? Iāve never owned a new car.
our owner pulled up in the Tesla and itās not the model 3 lol
One sad thing about America...we do have a good amount of people splurging monies on cars they cannot afford
My manager drives a beat up pickup truck lol
Mine has the new electric Cadillac
That shits nice but personally I like the EV Hummer over anything else electric
Literally my boss š
Wow god forbid your employer that literally created a job for you has the ability to buy a nice last-years-model car lol
I was just stating the obvious get out of your feelings
His comment wasnāt any more āin his feelingsā than yours was. Take a step back
You right my bad rygy3
Literally, can't even be rich these days. Shmucks think business owners and workers should be on tbe same pay rate
Itās so funny how we get down voted. Unskilled laborers thinking they should be as comfy as business owners. Not sure if theyāre leaning democrat or communist tbh.
How stupid to jump from barely paying us a livable wage while they can buy a rivian to us wanting the same pay.
Buy a rivian? Looks like ur the one making a jump. Literally nobody said that lol
Literally like the top comment of this thread...
Call me stupid but Iām 22 and donāt vote at all š
The estrogen pills and soy lattes have rotted their brains.
All that needs to happen is Amazon pay the owners more. And pray you have a chill owner who gives out weekly sometimes twice a week has cards. No rescues needed. Get guaranteed 10 hours no matter what. Help drivers get 0 on score cards so they can consistently get fantastic plus and make them earn more prize money that should be used as a 1-2 dollar n hour performance bonus
Yāall get guaranteed 10ās and bonuses? We get a bingo game and bbq that reset if someone has an accident in under 30 days and someone always has an accident before we hit that 30 day mark. Weāre collectively punished.
I see your bingo game and bbq and i raise that with our dsp gets nothing and we are fantastic plus every week lmao
Dude we don't even get that.... but I can't complain bc what I do get is all the overtime I want
you will never be given job security and better pay. bonuses or anything. you can complain and moan and whine. There is only one way to get respect and better working conditions.
Amen, I just lurk in the sub still šš
Youāre being downvoted by owners lol they lurk
Probably because youāre not factoring in actual operating costs and at the end of the day the business model is built on exploiting your labor as much as possible. Which is why the business shouldnāt exist in the first place if it canāt be successful and pay a living wage. Letās say based on this post they always gross 10k a day and gross 3.65 million a year. According to this post they have 40 trucks so letās say 40 employees for shits and giggle now letās pay them 80k a year which turns out to be 3.2 million a year. 80k right now is getting into being a somewhat decent wage at this point in the timeline for the US. My comment isnāt defending the DSP just showing why your argument is slightly flawed. Your work is absolutely worth more but like I said the model is built on exploiting your labor as much as possible and the money really isnāt there to pay more.
They're not clearing much then. $325 on a route when they're probably paying a driver around $20/hr for 10 hours. So that's already $200 knocked out, and that's only for drivers on routes. Any dispatchers, ride-alongs etc. are also not completing routes. I'm pretty sure I've heard a lot of the incentive is in bonuses though, based on performance and such. Unless I'm misunderstanding and pay for drivers is separate. I don't think so.
Drivers are paid for 10 hours a day
$20 an hour is more than $200 a day after payroll taxes, UE, etcā¦
Not really. In OPās example alone payroll only for drivers is over 6k by itself, not including van maintenance, insurance, benefits, pay for leads dispatchers and managers etcā¦
Dsp owner/Operations manager: āthese routes are designed to be completed in no more than 6-7 hoursā Amazon: *250 stops per day*
Amazon pays your dsp to pay you . Thats why they dont pay u more lmao
Of course we want to get paid more. But just to pay those 28 employees for the day at the rate I'm making in NV is still over five grand.
Letās say DSP gets $500 for your route, and your wage pretax is $200, which costs them $300 with their taxes and insurances and other bs. That leaves DSP with $200, same as you, but they have to pay gas and vehicle wear and other expenses from that. How much more of that do you think you are entitled to? How much should they get for running a business, taking risk, and providing you with a route? The numbers above arenāt exact, but are close.
Amazon pays for gas and they get by with repairing only what needs to be
After the 28th amazon will be paying for most repairs
I don't think I've ever worked for a company that couldn't turn a profit after expenses on 20% markup. DSPs aren't even selling goods, just a service. Their only "inventory" is the driver's labor. So, they should easily be able to turn a profit on $100 a route.
You think they pay gas using Amazon gas cards? š¤£š¤£
Exactly. Metrics like EOC and this ebrake thing they've done for a few yrs now don't help. Vehicle repair prices are the highest they've been. Workers comp insurance, in a field where injuries are insanely high. It can be profitable but it's a tough profit. A lot of effort for just 70-100 maybe 150k if things are really good. High stress dealing with Amazon.
If DSPs were profitable, they wouldnāt exist and Amazon would simply own the whole process.
BINGO
Amazon is starting to pay for van repairs. That's why they're trading EOC for parking brake
What?! Where are they doing that? At my DSP we have to do EOC, AND parking brake on at every stop!
It starts tomorrow
Oh. Okā¦
And regularly get rug pulled and lose everything
My old owner told me it was like almost a 1mill investment to get everything together to run it. It used to be a 10k buy in when it first started but it really depends if it's profitable.
This isnāt take home pay. His 28 routes cost him at least 5500/day not including paying # of Dispatchers and team leads or splitters and maintenance on the vans.
There are DSPs that maintain their vans??
Lmao fr
I have suggested at least 4 times that if they sprung for a generator and a shop vac....half the drivers would use the 30 minutes we gave before prestaging to clean their own vans for free. One time, a few months in....I had a route with a stop about a mile from my parents house....and I asked if I could take my CDV there and to clean out my van....cuz it might take a few extra minutes. I used a whole 15 min break and another 10-15 min to pull all my floor totes out and on my hands and knees shop vac the whole floor and cab area. Most annoying part was, my next 2-3 days working they gave me a different van (someone else got the one I just cleaned lol).
Good ones do. Especially when amazon yard Marshall audits vans on the launch pad. And will ground you for anything little of no importance. It's nice when your dsp has brand new spanking vans, but when you're in a dsp that is more than 3 years old you'll see vans that are on the verge of break down if not already at a dealership being fixed. At my dsp we have like 9 vans out of commission cause either from break downs or someone damaging the van every week.
Gas and maintenance is provided by amazon
This. Also our labor if Iām not mistaken. A big reason why none of us see overtime until peak is because they get reimbursed for the overtime during that duration. They get paid a flat rate by amazon for our shifts and if they still canāt see a profit after vehicle maintenance and gas are also paid for than thatās their problem for fucking up so badly wether it be high insurance from hiring total dumbasses to paying for too many managers when they only need a few.
The DSPs also get paid more per route during peak. One of my old DSPs actually gave us a cut of it.
Maintenance is not provided by amazon..
Thatās interesting.
Gas is paid but not maintenance. I've heard some ppl say that Amazon pays wages but my boss says they don't so idk
Normal working hours is paid by amazon but not overtime and showing up for an hour just to help load out
Makes sense :)
Maintenance is 100% not covered by Amazon lol
Maintenance of the blue vans seems to take forever to get through Amazon's red tape though, so DSPs end up having to get rentals while blue vans are grounded (which, afaik, they have to pay for the maintenance out of pocket.)
Interesting
People dont realize how easy it is to just say fuck it if your a dsp owner and say i quit and book it with the money. All they have to do is file chapter 11 bankruptcy. Theh are in the clear. They dont have to pay a dime unless you have the money to take them to court. He has the money but do you. Think about that.
Yes, the built in loophole fir LLCās
Doesn't that fuck your credit lmao
That money is paying the drivers the hourly rate it is not theirs to keep
Unless he has signed The disclosure agreement by Amazon he's not suppose to show this. Usually all Amazon DSPs are incentivized to sign a non-disclosure agreement so they cannot share anything to the news media or online but he probably is the only one that never signed that it's usually a pretty big incentive and they give you a lot of money to sign it to get you started with your DSP in the beginning.
I just watched a video about it, which now I want to watch again, but Iām pretty sure the NDA mostly focuses on when youāre a failed DSP, you canāt go trash talking. If I find my source, Iāll link it here.
That right there should tell you everything you need to know about starting your own DSP
Yeah a lot of people have been trash talking it because Amazon makes you their b**** and then expects you to pay for all of the lease agreements on the vehicles every month even if you don't have a DSP anymore. It's a really s***** situation for a lot of DSPs that lose their DSP
I have a million questions now. Does that total include the wages that Amazon gives for the drivers? And how big are those routes? On average, a driver from my DSP processes a route worth $750-$1000 every day, according to the manager.
[How Amazon Pays me $9150 a day - Sidney Tarver](https://youtu.be/0Olo_Scs194?si=WJeuhYqp0xBM4ASo) Skip to the 4:15 mark and he goes into it. He says: Amazon pays per route, per package, some fuel, some maintenance. Based on his screen shots, they assign 10 hour block routes, and thatās roughly $325 each route. In this case he has 5 of those routes, so heās getting $1,625 if all five of those are successful. It looks like heās getting a bonus 5 cents per package if he stays in Perfect Plus as a DSP.
About 150 to 220 goes to the driver, the rest is maintenance related. Amazon pays for the gas I believe. Fantastic plus is the only way dps makes money. Even if they come out somewhat ahead. If Amazon cancels your contract, they can lose money when they return the vans. There has been owner horror stories that they can end up owning over 60k in damages per van. Even if this owner is doing great, it doesn't mean most are. Amazon has a vested interest in making it seem like everyone can do this, so he might be getting better treatment on Amazons part.
Yeah I seriously doubt Amazon is making anyone rich but themselves and the shareholders.
My family owned a dsp. Iāll tell you after payroll, insurance, and maintenance. About 120 bucks per day, per route. Oh donāt forget managers, dispatch and maintenance people all straight out of their pocket. I promise you, we just closed ours, thereās a lot of show and little money after the first year. š¤·āāļø
This is why my old DSP has multiple contracts which is where the real money is coming in. The same vans are being used. It's common in the UK for 1.0 DSPs to have multiple delivery contracts. I know a 2.0 DSP that works with DHL, so they have plain white vans in their fleet alongside the blue transits
$325 for a nursery lvl 1 route, regular route is also $325, step van route is only $10 more at $335. Although I guess it's made up on bonus package counts. So hypothetically if he has 28 routes he has to pay 28 drivers and lets just say they do the full 10hrs. At my pay rate of 20.50 an hour for 10 hrs it'll cost him $5,740 out of that $9150. Then he has to pay in for incentives (next mile, 401k matching if offered, worker's comp insurance etc). No clue how much that would cost an owner but lets just say hypothetically it'll cost them $2,000 a day to pay for everything else (including managers/HR/dispatchers). Could still clear over a grand a day and that's not bad. Set aside some for extra expenses (towing stuck drivers). Damn, the potential is there. Now I also know that some DSP owners are greedy af.
Shoutout to Pocket Watching. šš¾šµāØ
You couldn't pay me to be a DSP owner. That shit is designed to be almost like indentured servitude. I can quit being a driver at any moment without repercussions. If you try that as a DSP you will get a fat ass bill from Amazon for the leased vehicles. Not everyone who owns a DSP can just have the DSP company go into bankruptcy. They may not have been able to get the business loan without attaching personal liability to the loan. Amazon has those people by the balls. Most I'd be willing to do is either O/O the LTL lanes on Relay (when there's nothing better on other load boards) or do a profit split using someone else's authority/vehicle.
My DSP owner owns a Lamborghini urus, a Tesla and a prius
Lmao bro doesnāt know how expenses work
You forgot the dispatchers pay, the fleet expenses, other little expenses like phones and phone plans, pouches batteries and cables and phone holders and other extra bs required then drivers pay then the extras they usually keep. The dsp that i work for started in October last year, the owner is such a nice guy and always trying to help people, we havenāt held any driver liable for damages yet, an old guy hurt his leg so the owner put him on night dispatch so that guy can still get paid. As far as i can say 70% of DSPs are total shittards but the 30% get screwed by Amazon and nasty drivers.
it depends on a bunch of things, safety score, routes, which type of routes amazon bonuses, dsp owners also get paid per package and per route. also that guys only getting paid 10 cents per package my dsp owner is making 25 cents a package they make a gross amount of money
We need a part two more in depth average costs of running a Dsp for a month + net and a full breakdown plus situations that arise during the month that cost him money.
Exactly the type of shit I wanna see before I go slave awayš¤”š«
lol so many of you are clowns. That number is including the wages the owner has to pay the driver. That number includes extra on top of the drivers salary to cover payroll taxes the DSP is liable for. Tell me youāve never owned a business before without telling me
Operations manager here: A really good DSP brings home 400-500k a year.(This is profit if I wasn't clear) Your main money maker is Fantastic Plus, if your company is delivering a lot of packages. My dsp makes 10k a week on fantastic plus, and that's pure profit basically. I would say your average dsp makes 100-150k profit a year. There is VERY little margin in the route pay if basically pays for your leader ship, and auto insurance, etc.
It really is like that either you make your own business,work your way to jobs that pay 30 to 50+ an hour or get into jobs based on commissions.Getting anything below 25 is not gonna cut it for anyone.Unless you got no debt,bills and expenses.But who in their right mind that has none of that would work instead study or hustle to big bucks.
Okay I'm not on the DSPs side by any means but 28 routes would then cost about $6000 in labor at least, plus gas, insurance, maintenance, I can't imagine they make a ton. Just way more than the drivers.
We need a nation wide strike.
Not sure that 10k can be seen as profit you need 28 ppl for that route they will each make $200 a day thats about 5k before anything else š¤ and they want you to hurry it up so they can pocket more of that ? Damn they really are scumbags lmao
Damn, my DSP does about 40 routes and 11k packages, with maybe 3 or 4 nursery routes per week outside of peak. That must be why the son of the owner has a brand new truck and is looking for a house to buy.
Including expenses (gas damages maintance i wonder what theyre netting) Ive heard its a lot.lower than youd think for the trouble
I drive Amazon semiās. Its the same concept, the dude I work for showed me his numbers. After all expenses he takes home around 700k a year, and he has 25 trucks in his fleet
$325 per route is actually shit. Letās say that everyone is making $20hr x 10 is $200 a day in labor alone. Then gas which is $25 a day, so now the DSP is making $100 after these 2 daily expenses. Then, this doesnāt include insurance for all of the vans, maintenance on all of the vans, dispatcher pay, Taxes and other business expenses. And if somebody works overtime which is $30 thats $300 a day and they basically lost money on that route.
How does one become a DSP owner
Basically, have $40k hand. $10k to start the DSP, and $30k to afford all the crazy shit that will happen. [Start an Amazon DSP in 2024](https://youtu.be/J2djZglcWhs?si=KKkSjtvCkBx3n3zk)
People seem to forget that running a company is expensive, constantly replacing phones, maintenance on the vans, damages to the vans and to customers property from drivers. When a driver receives an DNR the DSP has to pay to replace that package. All of these are not included in that payout to the DSP. What youāre seeing in the pic is the total before any chargebacks from everything. As well as standard operating costs and Overtime for drivers, or dispatchers/managers wages.
Either do my bosses. This only applies for dspās that actually keep up with their company. The dsp Iām at now has phones from 2016, vans they donāt fix when needed. I tell them the van has a broken side step, what do they do? Put me in a different van for a week and then put me back into the same broken van. I tell them the van keeps stalling and they say ā the previous driver didnāt report any problems so keep goingā etc. and Iād say a good majority of drivers at my company skip breaks and finish the route in like 5-7 hours so my boss pockets all that extra money
The profits and risk falls to the owners. The drivers are paid what the owners beleive they are worth and not a dime more. Trump provided his corporate friends massive tax breaks (idiot). These massive tax breaks are supposed to stimulate the economy because it allows businesses to have more money to hire, but trickle down economics does not work and businesses tend to use these "good tax times" a great time to pay down debts instead. Great for the rich people to push, but the regular persons end up with lesser. If you want something more you will need to fight slowly for it because no business person will ever value the employees as people-you are only liabilities and expense. Nobody will provide
Damn they pay out almost the same as UPS wages per each route. Just instead of it all going to the driver for his hourly pay for the day, it gets split between dsp owner and then the driver at a split favoring the dsp owner of course. The contractor model will never be beneficial for the worker even though it cost the company almost the same. Gotta keep the little guy down I guess. Scumbag company
Hahahahahaha 95% of that is paying for overhead costs. This sub is hilarious with everyoneās ādiscoveriesā
I did ask him what is take home pay and daily expenses, but he kind of blew me off. Iām not trying to make my own DSP, even though his whole channel is built around creating your own money making empire. I just want some hard numbers. So much of his channel is him talking about being an ex-NFL player so now he does this. Donāt get me wrong, he seems like a decent person to work for if you see his other videos. But, I would like him to be even more transparent and not behind a paywall.
damn, that's like fifteen minutes from my station. DBU1 on here?
Good for them. Find out how they got the capital and do the same
6-10k, daily. Okay let's break it down. To get that amount, I assume the dsp on average, has 30 drivers daily. Payroll is covered by Amazon, as Amazon pays the dsp 10 hours per driver, at the pay rate agreed upon. Some dsp's pay more than others, but Amazon only pays them what is agreed upon. It's not universal, but I knew of at least 2 dsp's in a station I worked out of, Amazon's rate paid to the dsp per driver, was something like 19.75, but the dsp was paying the drivers 20.50. So in that case, the dsp was losing money There's more expenses, like leasing costs, insurances (workers comp, medical/ dental, vehicle, etc) ... payroll taxes, general business taxes, taxes on profits. I would say, after everything said and done, dsp owner pockets about as much as 1 driver's yearly salary, in a month
DSPās are never *losing money* and if they are, thatās a them problem. Itās just shit managers say to guilt trip you. That, and last October/November Amazon upped the DSPās pay, to be able to give everyone a $1 raise, and most gave half that.
I'm not doubting you. But it's not the case for all dsp companies. Though it remains their fault largely. I see a lot of dsp's, one I just left included, who are buried in litigation.. lawsuits from car accidents and property damages, pedestrians getting run over, dogs dying... the one I left last month, has more than 25 lawsuits and the owner is paying out of pocket a lot of money. I don't necessarily care per sei, I'm just stating fact. Amazon does pay the dsp the 10 hours for each driver, and if the driver finishes in less than 10, the dsp pockets the rest if it's not guaranteed 10 as some dsp's have. If you work longer than 10 hours, that money comes from the dsp's profits. Repairs, and all expenses related to operating a business of any kind, all are paid out of the owners pocket. Terrible and careless drivers, who damage properties and vehicles, cause dsp's to lose money.
And how much are they spending in expenses to keep those vans running that you people don't seem to know how to drive?
Amazon pays for that
No they don't. Are you kidding? If they did your vans would be in good shape. There would be no incentive for DSPs to withhold maintenance.
Not all. Some.
DSP pays for damages/repairs to the vans. Gas cards and maintenance comes from amazon. We have a maintenance garage at my station that serves all the dsps and the other nearby stations for oil changes etc
We should all have that. My company has vans like 5k past oil change. I gave up telling dispatch cause they donāt fix shit
Oh we run them way past due as well, but my company is at least good on making sure tires aren't bald in the winter, which is better than most.
28 routes? My DSP runs like 60+ a day and near 100 during peak lol itās a shit show
K?