Was reading this thread http://www.thetruckersreport.com/tr...146514-some-misleading-info-other-l-os-2.html
And when fr8monkey brought up the art of fueling it made me think...
Superficially, it appears that always filling your tank at the cheapest rate available within current range of your rig and on your route makes the most sense. Assuming that you will never sit long between loads and that you are not so heavy that you need to run half tanks, that is.
But I had a guy swear up and down (and he is a successful o/o for 5 years with Swift and 3 years company before that) that unless it is the first day or two after payday that he never puts more in the tank than necessary until he gets a new load. To me, it seemed that what you spend now simply does not need to be spent later and vise versa.
Isn't simply getting the best fuel rate possible money in your wallet in the long term? Or am I missing something?
Fr8monkey and others, would you care to elaborate on the "art of fueling" and how to do it best?
Fr8monkeys art (or science?) of fueling...
Discussion in 'Swift' started by Giorgio, Jun 22, 2011.
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There is an art to it. I tried different things like only buying enough to complete each load (load paid for the fuel and truck payment then me), and putting in enough fuel to finish current load and part or all of the next load. It doesn't matter, whatever amount of fuel you buy and don't burn on this load will be burned on the next load. Where the fine tuning comes in is trying not to buy so much fuel that your paycheck is close to zero or less.
Buying the fuel in the terminals saves about $100 bucks a
week more or less that will be reflected on one's paycheck rather than going into the tanks. Light loads with a following wind with plenty of time to run 54 miles per hour are again money in do pocket. Today I took a load 300 miles starting with a quarter tank, coulda made it but risky so I put in only 30 gallons to finish the load, have a little left over for potential idling in the heat of Los Angeles and keep the expense down because this is the last load of the pay period and didn't want to cut into my paycheck next week.
Swift's Fuel Optimizer to me is an oxymoron. Oftentimes they will say go to fuelstop first, fillup, then go to shipper, but in the next message say 'don't show up with more than 1/2 tanks. As a company driver I dutifully did whatever the fuel optimizer said in that regard and was shortchanged the free showers because I would often run several days of short loads on that full tanks.After a while I would only put in enough to finish the loads like 70 gallons might get me to 5/8ths which is enough to run 11 hours and idle plus get to the next fuel stop.
As a lease operator I take into consideration
- Price
- Weight
- Distance
- Fuel Taxes
- Fuel Card Points Promotions
I'm still learning. -
Scottie, thanks for the detailed post. One thing that is confusing. I would have thought fueling in SC would be better than NC as fuel is (or was last weekend) cheaper by several cents. So are you saying there is a benefit to paying equal or even more total per gallon if the taxes are higher than another location? Does that not simply take money and defer it to tax time instead of now?
Weight could be an issue, especially if one has 125-150 gallon tanks, but even with a pair of 100 gallon tanks, on a really heavy load. But, aside from that, assuming that someone has enough money to last through a tiny paycheck or three, is it not the most beneficial to by as much fuel as possible at the best possible price?
Or, maybe, stopping a couple of times a day and buying 100 gallons each time at good prices so you can also get more shower credits (if you are not on a really tight schedule) may be better yet. A free shower is money in the bank all else equal unless a guy doesn't like showers. I do.
But, overall, is always buying at the best price within your route simply the best way to do it so long as you look at the big picture and not just the weekly check?
If you care to, please elaborate more. Injun and others, please give your opinions, too. Thanks! -
It is an art because what is it that you want to accomplish? I said in an earlier post,I try to keep my taxes low and put money away in my maintenance account.
I think what scottied said was pretty right on and just provide evidence that we got a pretty sharp bunch here on the forum.
The last couple trips I have been concentrating on a couple things. 1. zero out or get a refund on my monthly IFTA taxes.You pay state tax in most states at the pump thats IFTA. 2.lower my overall income taxes.
So the science part is knowing what each state charges per gallon.Hmmmm how do i do this? well its right there in your rand mcnally!
The reason scottied bought fuel in NC instead of SC is "real cost of fuel"
in that nc has a much higher state tax that goes towards your ifta taxes monthly. these are just examples from my last couple fuelings.
Bought 75 gals in illinois at some dump i would never reasonably ever stay at at 3.899 a gal. Ill charges 37.5 cents a gallon so the "real" cost was 3.525 a gal. find a better real cost of fuel? Bought fuel in nebraska at sapp bros 3.919 ne charges 23 cents a gal so real cost was 3.689 That was one of the best real costs out west.
What about a shower? well could have showered there when fuel was bought,it would have been free.Or buy one later down the road.But fr8t why,oh why would you pay for that shower,are you a sapp!
I saved more money by really paying attention to were i fuel ( the are limitless deals) to more than cover what i eat and showers,but a shower i pay cash for is tax deductible,and helps me accomplish goal #2.
And if you really look at it (when you have the time,don't always have that) there are numerous ways to really drill down on your business.
Those are just a small example of fueling as an art,but I have 9-10 hrs a day to think about this crap everyday,and it goes on,and on,and on........ -
The art is the learning ... then it becomes science ... if you can avoid it never fuel in IN, WY, GA, CO and especially OR. Hunt for bargains and fuel in IL, NE, NC. If you are going through OH and PA, fuel in PA. Fuel at the terminal or Sapps in UT - check the price sometimes Sapps is cheaper. Never fuel at the Lathrop, Joes down the street will always be cheaper. If you are going up the I5 into OR from CA - fill up up in CA at Corning.
I try to make myself end the week with a dry tank. -
Explored the forum about IFTA and came across the very nice explanation that Injun did a couple months ago.
Comdata charges an additional fee, right? Is using ones own Visa or M/C cheaper than Comdata?
And when they say cash price is cheaper than credit, usually about 4-5 cents on the sign, do they mean cold hard cash in a roll? Or do they also include checks or what? Carrying thousands in cash seems dubious... -
There are other things, but the rack price is the cost of fuel and taxes are added. I think it may be OK to buy in some of the lowere taxed states as long as the rack price per gallon is less than someone else charges.
IN is competitive right now with IL and OH, but it changes, another dynamic is a new supplier moving into an area, and shaking up the old boys network by offering fuel across the road for less. Price wars are real.Giorgio Thanks this. -
And to further confuse things......some Fleet Cards, like Fleet One that I use a lot, gets you the cash price at the pump, but also gets additional discounts that vary by the truckstop chain.
My truck can hold 300 gallons, but I seldom fill up, as I really don't need to haul around all that extra weight. -
Pretty much what everyone else said. I to try and fuel at terminals when I can. An example, last week in Denver, Pilot and J and TA, fuel was up around $3.95. Terminal $3.75. As far as price wars, yes. Crossed into GA yesterday, and was seeing $3,83, saw a small mom and pop, new place, 3.73. Today I will fill up here, only because I know what I have left for the week. Will need to purchase another 50 before get home. WHen I get home, tanks will be almost bone dry. I also start the week with full tanks, then play the game.
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Giorgio Thanks this.
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