Fuel Surcharge 50% of Fuel Costs?

What?

 

It been a while since I had my own truck. The fuel surcharge used to be base on about $1.40 a gallon. And something like 6MPG. If someone was getting above 6MPG thy actually made more money as fuel went up. If they got 5MPG or less then 6MPG they would lose more money because the fuel surcharge would not keep up because their truck got low MPG.

I don't know the numbers they are using today but I think their was a government or national average they should be using

 

Years ago, we took fuel increases in the shorts,,

 

I suppose it depends on your situation. If you are running independent I wouldn't even worry about fuel surcharge, just negotiate a good rate. If you are running for someone else for a flat rate then yeah I'd think fuel surcharge should follow fuel price on a regular basis, weekly, monthly or maybe quarterly. But that should be spelled out in your carrier agreement.

I bill weekly and use the previous weeks fuel price for my area

 

Depends on your situation - at LS they follow the national weekly FSC table and it's applied. If the load is $1,000 then instead of LS getting their cut of 27% of the $1,000 - FSC , say $200 is paid 100% to the driver, and LS only gets the 27% cut out of $800.

The FSC would cover the cost of the fuel if I was getting 8-9 mpg, but obviously I don't.

If you run your own numbers - you get the full $1,000 and the FSC is irrelevant . Just want to make sure you're only accepting freight at a rate that covers the increased fuel cost of late.

 

Well, he is a company hand - sometimes you just smile and nod.

 

company drivers that dont know what the hell they are talking about. the fuel surcharge i got when leased to DSV was around 35% of my actual fuel costs.

 

Go independent, and you just negotiate. Too easy