Rate quoting formulae

Length of haul......and how long you are tying the truck up. Can burn up time in a hurry loading / unloading multiple times on short hauls and need to realistically charge what you need.

 

I only take into consideration what the market rate for the lane is. I do not play games with figuring out exactly what the fuel cost is, what the tolls are, if there is a hill I must go over, etc. I will also take into consideration if I have to hang onto the load for an extra day, also what the commodity is. Another thing I take into consideration is how quickly I am paid, but this has more of a decision as to if I will take the load or not. Slow pay me and I have to track down my money? You will not be near the top of my list of places to work with. It is cool even if I know you will send the check 30 days from the receipt of paperwork. However, the biggest factor is where it is coming from and going to and what it is.

 

I don't really have a formula. I usually look at recent rate history to see what I can get and go from there. This is what I consider and none of it is etched in stone:

Market rate and conditions, fuel cost above average (California), who is the shipper and receiver (I have several on the list who I automatically charge an extra $100 because they are slow and difficult), revenue per day (I try to average $1000 a day unless it's very short haul work where my variable cost are minimal).

 

I care nothing about market rate. My rate is cost plus $75/hr that I am working or driving. Minimum rate is $1,000 over cost. Only extra thing I consider is risk (over size load, PU or DEL downtown, crane appointments etc), Detention is $75/hr for driver+truck+trailer.