Do you actually pass along the cost of it to the consumer

pay for your fuel; or merely pass along the cost of it to the consumer as part of what you charge to haul a load?

Premise:

Companies in this country do NOT actually pay taxes or other operating expenses: They pass that cost onto the consumer.

Query:

Do O/O do the same for their recurring expenses on fuel?

I know it comes out of your pocket up front when you fill the tanks, but to you just "eat" that expense or pass it along?

 

Lol you eat it, if the load pays 4500 and you put 1800 in your tanks I don't really see that as passing it along to the customer.

 

Thanks for the response.

As an O/O, can you write off part of it as a tax deduction as an operating expense?

 

Ideally, the rate should account for ALL costs of operation, with a little bit left over for profit. With fuel prices varying as much as they do, that is what the fuel surcharge is for. The rate is based upon your cost of operation at a given fuel price, and the fuel surcharge is supposed to cover the increased expense incurred when fuel prices are higher.

So yes, it IS passed on. Companies which "eat" the extra cost by digging into their already slim profits do so at their own peril.

 

Any and every expense required to run your business gets deducted, whether you are a truck O/O or a banker or any other profession.

 

Thanks.

I kinda figured a large portion of those costs were factored in and passed on.

Otherwise it would be pointless to even be a O/O.

 

Thanks again.

 

So when the cost of fuel goes up, how does it effect your bottom line, if you are either bumping your charge to haul the load or writing it off as an operating expense?

 

I know I'm in a little different business than you, but I set my own rates. When fuel went to $5.00 a gallon I raised my rates.. And ####, I forgot to lower them back down...

For me fuel is an expense that come directly out of profit.. It's a great tax right off.

 

You filthy capitalist pig.

LOL