owner operators over the road: is the lower fuel prices helping you out

You had to have missed the part where that driver said their fsc isn't based/controlled by national average.

 

FSC's started in the early 70's when the price doubled.

 

what do you think I was talking about? I remember getting fuel delivered to the farm and it was 10 cents a gallon. I remember buying gas on odd and even days during that time.

so my statement still stands , with cheap fuel and no surcharge we should have starved to death, the deal today with most saying I got to get two bucks a mile was once a buck a mile

 

nope, that is not what he said at all, what he said was "my fsc is not based on PUMP price", which leaves his fuel surcharge based on national average. that's was in that "explanation" that was posted.

he earlier said his surcharge wasn't based on national average but 100 per cent of what the shipper pays. so wheres the news in that? some shipper don't even pay a fuel surcharge, some pay a lesser surcharge than one figured off the national average, some pay anywhere in between, but I seriously doubt you are going to have any paying more than the fsc figured off the national avg.


most everyone gets 100 per cent of the fuel surcharge, but the question is 100 per cent of what.

following that thinking we would be tons better off with 5 or even 6 dollar a gallon fuel.

 

Sorry, i read it to mean there was no FSC then. The ICC allowed a FSC tarrif with one day notice instead of the months long approval process.

When fuel dropped down to 1.00(and lower) there were fuel rebates on the rates so i guess we should have went broke faster then.

 

sorry but your wrong in post #24 I said

the explanation I post was how THE fsc works NOT how mine works

trip I just ran
dispatched loaded miles 654.... I only get paid for the loaded
total dispatched (loaded 654 and mt 23) 677
odometer miles 719... I went out of route because I didn't want to run some state roads and I went the long way around indy because of where I wanted to eat lunch..
the fsc was $297.44
dispatched loaded miles 654 or 45.48 cpm fsc
total dispatched miles 677 or 43.93 cpm fsc
odometer miles of 719 or 41.36 cpm fsc

fuel cost was.... I don't have the exact numbers because I didn't fuel at the start and finish of the trip I fueled mid trip because of my discount but my 90 day fuel avg. is 6.58 mpg... that's all miles driven with idle fuel divided by fuel used...
719 miles / 6.58 mpg = 109.27 gl.
I paid $2.029...... 109.27 X $2.029 = $221.70.... fuel cost of 30.83 cpm or 10.52 cpm LESS than my fsc with fuel discount...... that's a extra $75.63 between fsc and fuel discount

 

perhaps you should also read the start of my second paragraph. you only read the first line then jumped.

flood you simply look at fuel surcharge as an extra bonus of some sorts, where I think the majority look at it as just part of total revenue to the truck.

I also am not looking at a load by load comparision, I am looking out a bit longer. the discounts we are getting on fuel are quite high right now, that wont last long term, those discounts now that are a buck now in Indiana were only 20 cents or so a little while back. when those discounts begin to lessen those differences will quickly dry up.

you also have to figure when fuel prices are higher, oil prices are higher, which means everything from tires, oil, and many other products used in daily life will be higher. when the discounts normalize and drop more toward the actual pump price, that extra bonus money will be gone.

over long term , lower fuel prices will mean bigger profits. again right now this week , with the discounts, and surcharge, it might be some short term profit, but Monday the steep discounts could be gone, mine change daily.

whenever I give examples its based on my situation. I wonder exactly how your 100 per cent of the customer pays is figured? are they using something different than the example of how you posted fuel surcharge is figured?

 

I remember in the days of the oil embargo gas went to 43 cents and people said the country wouldn't last another 6 months

 

I would like to see the numbers without the discount, I think the discount is actually where the extra money is. add that dollar or more discount back and its a wash with higher fuel prices.

 

As a consumer I'm loving lower fuel prices.