Do you have some idle cash and you need investment ideas? If YES, here is a guide on how to invest in buying a truck and rent it out for passive income.

What will the world be without passive income? I mean, who wants to work the rest of their lives without respite just so that they can earn a living? This is why people are very keen on building up streams where they can earn added revenue without them having to break their back in hard work.

Passive income has been severally described as that income that comes in on the side without you working actively to earn it. When starting out, passive income may just be an avenue to earn a little something to pay the bills, but the fact remains that a passive income source that has been meticulously grown can turn out to be a major revenue earner. One of the passive income sources that have this kind of potential is truck rental.

Trucks are heavy duty hurlers (depending on the size), and they can fetch you a lot if they are put to good use. You can buy a truck and rent it out to other drivers who would use it and then you collect payments for it without you being actively involved in the hurling business. You can lease out your truck by yourself, and they are as well online and offline platforms that can help you lease your truck for a fee.

If this kind of passive income appeals to you, and if you are able to source the finance to purchase a new truck, then it is time you learnt how to buy a truck and lease it out so you can earn some good passive income.

How to Invest in Buying a Truck

For you to lease out your truck for funds, you first of all need to own a truck. If you do not have a truck, then you need to get one, and it would be in your best interest to buy a new truck. Though doing this would be more expensive for you, but it is in your best interests.

One of the reasons for this is so that you do not spend most of your earnings in the early stage of your business catering to repairs and other things that come with it. This is one of the reasons why you need to buy a brand new truck. If you are looking to get a new truck, these are the processes on how you can go about it.

a. Look to Get a Truck Loan

Trucks are expensive, this is a fact. It is also a fact not everyone can afford to pay for a truck from their present finances, that is why they need to source for loans. So, the first step to buying a new truck is to see if you can pre-qualify for a loan through a credit union or online bank.

Before you do this, you need to have an estimate of how much your truck can bring in every month. You also need to know what type of monthly payment you will have to budget for. Doing all these would help you know what your parameters are before you go out there and fall in love with a truck that is just too expensive for your budget.

The guiding rule is usually, if you cannot afford the payment per month on a 42-month loan, you’re buying more vehicle than you can afford. Taking out a longer loan to get a more affordable payment is a big, fat warning that you’re hurting yourself, harming your finances and limiting your options in life.

Keep in mind that dealers will typically mark up a loan by about 2% on the average truck purchase if you don’t prearrange your financing elsewhere. That is why you need to secure financing on your own when looking to purchase a new truck.

b. Research Different Truck Models

Next, for each of the types of trucks you’re considering, you’ll want to check the price of the truck, reliability and the cost to insure the vehicle. You can start your research from Consumer Reports yearly auto lists or their vehicle reliability studies.

For 2022, Lexus, Mazda and Toyota all have three entries in the Top 10. You can see other nameplates that are flagged for reliability here.

Finally, when it comes to determining the cost to insure a new vehicle, most big insurance companies make auto insurance coverage calculators available on their websites. That way you can start to get an idea of what you’ll pay to protect your potential new wheels. You’ll need to factor in the cost of insurance when you are looking at what you’ll be paying monthly for your truck.

c. Compare Prices Both Online and Offline

The third step to take when you are buying a truck would be to start comparing prices. Once you’ve narrowed your search to one or two vehicles and have the approximate cost of ownership for each, you should start shopping around for price quotes.

When shopping online for vehicles, try entering different zip codes in addition to your own. If the savings are large enough elsewhere, get ready for a road trip. Today you can buy cheap one-way flights very easily. Sometimes you’ll get the best price by making your deal in advance, flying to take delivery of the vehicle and then driving it home. The savings are yours to keep and they can be huge.

If you prefer not to buy online, use the online price quotes you’ve gotten as a guideline. Then call around to local dealers to see if they’ll match the price. You can also avoid dealing with salespeople in person by emailing the internet department at a dealership and negotiating with them over the computer.

d. Evaluate Truck Payment Methods

Gather information on dealer financing programs, financing through your bank or credit union and third-party financing plans. If you would prefer to pay cash, ask the dealer if he can offer a discount for reduced paperwork and processing time. Finally, consider a leasing program, if that would suit your purposes.

e. Get Some One-on-One Time With Your New Truck Before Buying It

Remember that it’s important for you to feel comfortable with what is bound to be a very large purchase. One way to do this is to look at trucks when a dealership is closed, so there’s no salesperson to pressure you. Another way is to set up your own zero-pressure test drive.

The best way to test-drive a car is to rent it for a day or two, if you can afford to. Whatever you do, don’t skip this critical step. It’s an important part of learning the best way to buy a new truck — especially if you are doing almost all of the buying process online.

f. Make your Payments

When you go into the dealer to sign the paperwork, make sure that what’s on the purchase agreement is what you’ve agreed to previously by phone or email.

If it’s not the same, do not go through with the deal. The best way to protect yourself in a dealership is to be willing to walk out. Check your financing one last time. If the dealership can beat the lowest rate you’ve already secured on your own and all the other loan terms remain the same, go with the dealer’s financing.

Consider skipping the extended warranty. Trucks are built so much more reliably today than they were a generation ago, which means you should be able to skip the extended warranty. But not everyone feels comfortable doing this, but the fact remains that there is nothing wrong with it.

The deal here is, if you can afford the potential cost of repairs, you should never buy an extended warranty. If, however, you can’t afford the cost of potential repairs, you may want to consider buying the vehicle manufacturer’s warranty.

Never buy an extended auto warranty from a third-party. If trouble happens, the manufacturer is probably going to be there to stand behind its warranty. A third-party company may not.

Watch out for last-minute junk fees. These so-called “packs” can include phony add-on fees for documents, vehicle etching, fabric treatments and things of that nature. It may sound silly, but could be charged $300 or more just for doing the paperwork on your vehicle or spraying some stuff on your car seats. Push back on anything that seems outrageous and ask to have it removed.

How to Rent Out Your Truck for Passive Income

Now that you have purchased a truck, it is now time to think of how to rent it out for passive income. There are a number of websites that can help you facilitate renting out your truck by giving you a free marketplace to list your wheels. A couple of the most popular websites are and

You’ll need to first apply by sharing the make/model of your truck, proof of ownership, and a schedule of when you won’t be needing your truck. Typically the companies will not allow you to list your truck if is in poor condition or older than 10 years old.

Once you are accepted, the rental companies do all the marketing and leg work. Each company is a little different when it comes to exchanging the keys, but some of them even install electronic devices that allow the renter access to your truck after they have made payment online and signed a rental agreement.

Aside from listing your truck on online renter sites, you can as well make your own rental arrangements. You can start from you immediate community and look out for people that want to go into hauling businesses but do not have their own trucks.

You can also take your search online to your social media sites. But know that you will be running some risk doing this. To reduce your risks considerably, you need to prepare your paperwork and get it notarized legally, but in such a way that you would not be accused by the state of running a business without the proper requirements.

How Much Can You Make Renting Out Your Truck?

Companies like HyreCar estimate that you can earn more than $14,000/year by renting your truck out for 10 hours a week. This number may indeed be large, but if you live in a large city with millions of potential renters, that could be a real possibility. However, even if you’re only earning a few thousand bucks, it’s certainly would make a good enough passive income.

The amount that your truck will earn per hour will largely depend on the type of truck and its age. If your truck is of good quality and it is new, you can get a good listing price per hour.

There’s never any cash exchanged between the renter and the car owner. The companies act like a middle man by collecting the cash and sending you a paycheck. By doing this, you basically do not have much to worry about. Your own is to make the truck available and be at hand to receive it back.

Let’s talk about the Risks of Renting Out Your Truck

Letting a friend drive your car is enough to make anyone nervous, let alone entrusting a complete stranger with your truck. Many of the rental companies available do take that concern to heart when crafting their rental agreements. To start – renters are required to buy large insurance policies, often in excess of $500,000, before renting your truck.

If you report that any damage has been done to your car, the renter is charged a deductible and the rental company sees that your car is fixed promptly by their insurance policy.

Renters who smoke in the truck or leave it dirty are also charged a fee to have your truck cleaned and detailed. In fact, it seems like most of the companies are hypersensitive to protecting truck owners from negative repercussions. So, relax, you are in good hands.

Frequently Asked Questions

  1. Can You Lease Your Semi Truck To A Company?

Yes, whether you run your own authority or lease to another carrier, you are in business for yourself.

  1. How Does Leasing A Semi Truck Work?

Note that you will have to pay a monthly fee to whoever owns the truck you drive, and part of that fee will go toward its purchase price. At the end of the lease term there’s a final balloon payment, sometimes $10,000 or more, that you’ll have to pay before the truck is yours.

  1. What Does Semi Truck Leasing Entail?

Semi truck leasing is more like getting a truck temporarily from a company for a stipulated period. Although the truck does not belong to you after the lease term has ended, you have the option of buying the truck outright based on a predetermined price.

  1. How Much Can You Make If You Own Your Own Semi Truck?

As of Apr 8, 2022, the average annual pay for an Owner Operator Truck Driver in the United States is $199,616 a year. Note that this works out to be approximately $95.97 an hour. This is the equivalent of $3,839/week or $16,635/month.

  1. Who Is A Trucking Lease Operator?

A trucking lease operator is more or less a company driver with all of the expenses of an owner operator. They pay all related costs for the leased truck, including payments, fuel, repairs, maintenance, fuel tax etc.

  1. Can You Make Money Leasing A Truck?

Yes, and you can even run this business alongside other businesses or as an extra source of income to supplement your paid employment. You wouldn’t have to worry about repairing the vehicle, monitoring the drivers or even searching for contracts; everything would be worked out and handled for you.

  1. How Much Can You Make Renting Out Your Truck?

Companies like HyreCar estimate that you can earn more than $14,000/year by renting your truck out for 10 hours a week

  1. How Much Does It Cost To Lease A Semi Truck?

The average cost to lease a semi truck is around $1,600 to $2,500 per month for new trucks. Used trucks average $800 to $1,600 per month. However, note that you will likely still need to pay a down payment if you’re leasing from a dealer.

  1. What Credit Score Do You Need To Buy A Semi Truck?

660 or higher

  1. Is Leasing A Truck Tax Deductible?

Yes, but note that you can only deduct the part of your lease payments that are for the business use of the vehicle.

  1. You Have An 18 Wheeler, How Can You Lease Your Truck To A Company?

To lease your 18 wheeler to a company, you don’t need your own operating authority. However, if you have it and your own insurance, the trucking company will sometimes give you a larger percentage of the pay.

  1. How Much Does A Lease Purchase Truck Driver Make?

As of Apr 8, 2022, the average annual pay for a Lease Purchase Truck Driver in the United States is $110,447 a year, and this works out to be approximately $53.10 an hour. This is the equivalent of $2,124/week or $9,204/month.

  1. What Should I Look For In A Truck Leasing Agreement?
  • Monthly Budget
  • Down Payment
  • Insurance
  • Mileage
  • Fuel Policy
  • Wear and Tear
  • Maintenance
  • Accessible Service Centres
  1. How Much Does It Cost To Lease A Semi Truck From Ryder?


  1. Should I Lease Or Buy A Truck For My Business?

The determination to purchase or lease a truck will lie mainly on each individual small business, and their current cash balance and year-to-date Profitability. Unlike buying a vehicle, leasing doesn’t involve hidden costs, such as taxes, towing, overhead and other expenses. Besides having to make large up-front costs, truck owners are also required to cover finance charges and pay a sales tax.

  1. What Are The Benefits Of Leasing A Truck?
  • More Affordable and Better Profits for Your Business.
  • No Depreciation Costs.
  • Less Maintenance and Repair Costs.
  • Relieves You of Issues Linked with Vehicle Ownership.
  • More Flexibility.
  • 24/7 Emergency Roadside Breakdown Assistance
  1. Does It Make Sense To Lease A Truck?

If you do a lot of time-restricted projects, or if your business is seasonal, it makes sense to lease a truck instead of having to buy a vehicle that can mean making expensive maintenance costs. Leasing is usually the best choice if you’re not sure you’ll be driving your commercial truck for at least three years.

  1. How Much Does It Cost To Rent Or Lease A Semi Truck?

While the average semi truck lease payment runs $800 to $2,500 per month on average, semi truck rentals average $170 to $215 dollars per day or roughly $5,100 to $6,450 per month.

  1. Is It Better To Own Your Own Semi Truck?

Yes, owning your own truck is almost every trucker’s dream. You have more independence as you’re essentially your own boss. Owner operator trucking rates per mile are generally much higher than company employed drivers because they can run for longer and they control their own fuel standards.

  1. Should I Lease Or Purchase A Truck?

Rather than buy a commercial truck, you could lease one just as many business owners are doing today. As prices on new vehicles continue to increase, leasing becomes a more preferred option.

  1. What Are The Basics Of Commercial Trucking Insurance?

Here are some of the primary types of commercial truck insurance.

  • Truckers’ Primary Auto Liability Coverage
  • Physical Damage Coverage
  • Motor Truck Cargo Coverage
  • Trailer Interchange
  • Uninsured and Underinsured Driver
  1. How Much Does It Cost To Lease A Commercial Truck?

Leasing a new semi-truck costs an average of $1,600 to $2,000 per month. For used semi-trucks, the average cost is $800 to $1,600. If you lease from a dealer, you may also have a down payment of around $1,000

  1. What Is Leased Operator Semi Insurance?

If you’re an independent semi owner operator leased to a motor carrier they likely will provide you with the majority of your liability insurance coverage. However, it’s usually in your best interest to buy your own non-trucking liability, physical damage and occupational accident insurance. This is known as Leased Operator Semi Insurance.

  1. Is It Better To Lease Or Buy Semi Truck?

Leasing a semi truck instead of buying your own is financially less of a risk. You’ll know the set amount every month you’re expected to pay when you lease and it offers you more flexibility in years to come rather than purchasing and owning a truck.

  1. How Do You Get Leased Operator Truck Insurance and How Much Will It Cost?

While most motor carriers will offer you additional insurance coverage, as detailed above, you can get a better deal if you buy it yourself. The best way to do that is to get a quote from an insurance company that specializes in big rig insurance.

  1. How Much Do Independent Truckers Make Per Mile?

Often, there is no simple answer to this question since the charge for load tends to differ by region and pricing model. However, on average, drivers (with some experience) are paid between $0.28 and $0.40 per mile.

  1. What If Your Truck Is Damaged Or Stolen?

The Best thing is to call your insurance agent and file a claim. Depending on your coverage, you will either feel a sense of relief or added distress. However, always remember that general liability insurance will not cover these situations, which is why you need your own tractor trailer insurance.

  1. How Much Do Amazon CDL Truck Drivers Make?

As of Apr 8, 2022, the average annual pay for an Amazon CDL Truck Driver in the United States is $48,804 a year, and this works out to be approximately $23.46 an hour. This is the equivalent of $939/week or $4,067/month.

  1. How Can An Owner Operator Get The Best Deal Possible On Truck Insurance?

The only way an owner operator can get the best deal possible in truck insurance is by working with the best agent. Only work with one or two quality insurance agents or producers.

  1. Can You Make 100k Driving A Truck?

A truck driver can rarely make $100,000 annually, but it happens occasionally especially with experience and the determination to find the right positions. However, an owner operator can absolutely make that much, depending on good freight, good maintenance, and good dispatch.

  1. What Type Of Lease Is A Walk Away Lease?

A walk-away lease is a common type of car lease which releases the lessee from any financial obligations at the end of the lease, as long as they have satisfied the maintenance and mileage requirements of the lease agreement.

  1. How Much Is Commercial Vehicle Insurance?
  • Commercial truck insurance cost: $800 to $2,000
  • Commercial tractor trailer insurance cost: $2,500+
  1. How Much Is Insurance For A Semi?

According to reports, the average semi truck insurance costs between $3,000 and $5,000 a year for owner operators that lease on to a motor carrier. For an owner operator with their own authority, the average cost is $9,000-$12,000 per truck.

  1. Who Is The Number One Trucking Company?

UPS Inc.

  1. How Much Do Lease Owner Operators Make?

As of Apr 8, 2022, the average weekly pay for a Lease Owner Operator in the United States is $2,124 a week, and that amounts to $110,447 /year and $53 /hour.

  1. What Is The Best Trucking Company To Lease From?

Swift Transportation, and with offices in 42 states plus the District of Columbia, Swift Transportation is local to the majority of drivers in the United States.

  1. Do Truck Drivers Cheat A Lot?

No, many truckers are 100% faithful to their significant other. This is because they know and understand how to communicate, they understand the seriousness of their relationship, and they not only have a mutual understanding but a complete and monogamous relationship that is their only drive for sanity.

  1. How Do Owner Operators Find Work?

Owner-operators who are not looking to lease-on with a trucking company tend to turn to a freight broker to find loads for them. Freight brokers do most of the leg work for owner-operators – from connecting them to shippers to determining loads’ rates, times and locations

  1. Is Truck Driving A Stressful Job?

Yes, from making sure that your truck is in top shape, to managing hours correctly, making deadlines, getting enough sleep, safely operating the truck, and navigating legal and regulatory hurdles, truck driving can be about as stressful a job as there is.

  1. What Taxes Do Owner Operators Pay?

According to, owner operators pay self-employment tax, and the rate is 15.3% (12.4% for social security and 2.9% for Medicare).

  1. What Is A Tanker Endorsement and How Much Does It Cost?

Getting a tanker endorsement is a simple way to expand your load-carrying options so you can haul more and take on better-paying loads. Drivers who are tanker endorsed are expected to have a current CDL and pass the Tanker Endorsement Knowledge Test. Once you pass your test, you will be able to carry liquid cargo for vehicles that require a Class A, B, or C CDL.

To get the endorsement, simply go to your state’s Department of Motor Vehicles (DMV), request the Tanker Endorsement Knowledge Once you have your CDL, additional endorsements range from $10 to $50 depending on the state you live in.

  1. What If Your Cargo Is Damaged Or Stolen?

The outcome of this situation will depend on if you are driving under your own authority and if you have adequate insurance. Trucking companies, not the individual driver, are indeed responsible for safe delivery of their cargo.

Their responsibility would be defined in the bill of lading, a contract of carriage that the shipper agrees to with the carrier. The risk of the carrier assumed in the bill of lading is most often insured with a cargo insurance policy.

  1. Why Do Owner Operators Fail?
  • Poor Money Management
  • Not Making Enough
  • Laziness
  • Rule-Breaking
  • Lack of experience
  1. What Is The Highest Paying Truck Driver Job?
  • Ice road trucking.
  • Hazmat hauling.
  • Tanker hauling.
  • Oversized load hauling.
  • Luxury car hauling.
  • Team driving.
  • Owner-operator jobs.
  • Private fleets.
  1. What Kind Of Liabilities Are Sole Proprietors Subjected To?

Note that Sole proprietors are subject to all kinds of liabilities since they face unlimited personal liability. They are expected to be fully and personally responsible for all their business debts, like loans used to purchase physical capital.

  1. How Much Do Owner Operators Make Per Mile 2020?
  • Flat bed trucks: $1.75 to $1.95 per mile
  • Waste disposal trucks: $.85 to $1 per mile
  • General goods truck: $2 to $2.24 per mile
  • Container truck: $2.50 to $3 per mile
  1. How Do Owner Operators Succeed?