Penske truck leasing

Including tires (and if yes, what tires)?

you’re paying 100K, almost, to run a truck 500K, including registration. $0.20 per mile.

If the truck is 140K new and has a residual value of 40K, it would be a good deal.

I suspect if you bought the trucks outright, your purchase price would be higher and your residual would be lower.

 

Can't see what you are going to do with them, I mean roughly at the end of three years you will $287k into just the lease and estimated miles.

 

Times 2.

 

You can write the whole thing off on taxes and never have to worry about maintenance or repairs or down time.

Would be a big plus if you can walk away at any time without penalty.

 

You could lease 2 right now from KW or Freightliner or Volvo to purchase for about that same money, with a 500K warranty.

And still own the trucks.

Probably even less from Volvo.

Still boils down to just under 30 cents a mile for 500K miles, plus insurance.

 

What about the tax savings, does that come into play at all?

 

You get the same tax rates no matter who the lease is through.

That's the advantage of leasing, it's all an expense.

The leasing company depreciates the equipment, and takes that expense.

 

What I was asking is it better for tax purposes to lease a truck or depreciate the purchase of a truck.

Seems like writing off the total expense of the lease would be better than depreciation of the truck.