fuel surcharge

Discussion in 'Ask An Owner Operator' started by 5thwheel23, Nov 8, 2011.

  1. Nov 8, 2011 #1
    5thwheel23

    5thwheel23 Light Load Member

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    Jun 5, 2010
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    what is it. if you are brokered to a load is this money given to you for fuel or what. never been a o/o but am curious. some examples would be nice.
     
    5thwheel23, Nov 8, 2011
    5thwheel23, Nov 8, 2011
    #1
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  3. Nov 9, 2011 #2
    Allow Me.

    Allow Me. Trucker Forum STAFF Staff Member

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    For years, rates were pretty much the same, because fuel was the same, then fuel started going up/down, but usually up, and fast. Faster than the rates could be posted. If a rate was quoted 5 days ago at the then fuel price that day, fuel could jump 7-10 cents a gal by the time you were loading and then truck owner got shafted. Hence, the fuel surcharge, which varies. Fuel goes higher, FSC goes higher, so truck owner is covered.

    FSC suppose to go to truck owner 100%, however, brokers manipulate it and you see a lot of "flat rates", which means broker is taking the FSC or a good portion of it and shafting the truck owner (surprise !). They wouldn't, would they ? Any truck driver O/O needs to know this biz in order to survive. Luck to ya'......
     
    Allow Me., Nov 9, 2011
    Allow Me., Nov 9, 2011
    #2
    RickG Thanks this.
  4. Nov 9, 2011 #3
    BigBadBill

    BigBadBill Bullishly Optimistic

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    Chattanooga, TN
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    Allow me hit it on why but when booking a load for tomorrow it really doesn't matter if I have a flat rate or rate plus fsc. It is the income to the truck that matters not how you break that income down.

    But, when I bid contracts I will do it one of two ways. One customer wants to see rates stay stable so I give her a rate that covers fuel upto $4/gal. Others it is rate plus FSC. None of us can predict the fuel rates next month so why would I give you a rate on a load for the next year that couldn't account for increase in fuel.
     
    BigBadBill, Nov 9, 2011
    BigBadBill, Nov 9, 2011
    #3
    rollin coal, grizzly and SHC Thank this.
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