PGIACO: Marina Market today..

[phystech]

Originally Posted by parsixfarms

Based on our experience, if your horse is in training a full year, you need to earn about $45,000 to break even .

I tend to shoot for about $24k earnings to break even for a full year. Since I deal with claimers, I love those that can win an allowance race and net $12k a pop.

[pgiaco]

I probably should clarify, trainer commission is 10% of earnings first through fourth. The jock gets 10% for a win and a set fee for second through fourth depending on the purse. Parsixfarms has the estimate of about 45k per horse to break even about right.
Yes Linny "Marina" is my avatar.

[ELA]

Great discussion. I think it can educate a lot of people to a side of the business and sport they might not often see or hear about.

A couple of points of clarification -- first, here in NY (NYRA tracks), I think you will find most quality trainers will fit in the $80 and up category. In today's day and age, and due to a variety of factors, it becomes hard for a trainer to charge less. Sure, they can eliminate a person here or there, and do 50/50 deals, etc.

Second, unless there is a contract to the contrary, the schedule approved by NYRA and the Jockey's Guild -- as of April 2, 2008 -- has the jock earning 10% of the gross purse, and 5% for second and third, regardless of the purse. It is not a set fee for second and third. The set fee kicks in at fourth and it's either $100 or $105. I don't know if there has been a change since this contract was approved, but this was the case heading into the Belmont meet as per the condition book.

Third, certain trainers who charge substantially more, do so for a variety of reasons. I don't have any trainers who charge $125 or $150. I don't know what Pletcher charges. I don't know what a lot of trainers charge -- only trainers that I use or people I know, if it happens to come up in conversation. The Chief is a perfect example. One reason he charges substantially more than most -- just one reason, LOL -- is that his payroll is substantially higher than most. There is a benefit to that. Whether or not someone thinks the benefit is tangible, worth it, etc., well, that's another story. Like with any goods and services -- sometimes you get a benefit and sometimes you don't. The value is in the eye of the buyer I guess. LOL.

There are fixed costs and variable costs. The real variable cost can be the vet. Those #'s can be all over the board.

Eric