Some please explain Fuel Surcharge

That's pretty much it. But some carriers use 6.5 mpg, others may use 7 mpg.

Same with the base cost of fuel. Some use $1.10, some $1.15, others $1.20.

The feds do not regulate fuel surcharges, so everyone has their own slight idiocintric differences in calculationg a FSC, although basicaly the same type of formula to begin with.

 

That is 1 way to do it. If you have your own authority & it is only you... Then I don't see any problem with that.

Companies usually keep the fuel surcharge separate then the freight rate. Not that it is any different but to make it easier for O/O & L/O to see it.

 

Just wondering why someone hasn't come up with an acceptable standard that everyone goes by for setting a fuel surcharge?

 

so what price at the pump do we pay?

 

Hi, i have a question for anyone that can help. If a company says that they pay
100% fsc, what exactly does that mean?

 

Is this a real question? Or do you not know this is really only something the business owner cares about?

If it is real, it's what is says. The load pays 100% of the money it gets from charging the fsc to the truck.

 

add to that your getting your fuel at the companies DISCOUNT price.

Mine runs .35-.50 off the pump price
Yesterday the pump price was $2.67. My price was $2.15
. I get 100% of the fsc. On this load that's .34cpm

 

That was a beautiful thing you did!!! ;-D

 

You go to Yakima to buy apples for your Safeway store in Atlanta GA.

48000 pounds of apples at ...1.50 a pound.

Fuel at 9-11 was 6.00 a gallon. 2520 miles or so roughly between Shipper and your Warehouse. That truck will require right about.. oh *Figures napkin... 425 gallons to make the trip. At 6.00 a gallon that's $2550 dollars for fuel. It was 2.40 earlier that morning. Someone is going to have to make up the difference in the extra fuel cost for them apples.

Toss in about 140 gallons for reefer fuel.

Aha. The Customer will now have to pay about $1.60 for them apples red delicious at your store. You know you got em at $1.50 but the fuel probably is about .06 total across 48000 pounds of the stuff. Throw in a few cents more for your trouble.

I show up at the store and see that youre selling apples now at $1.60 I know nothing about the problems in trucking see? So I complain about something stupid like inflation, profiteering or whatever. I don't know anything. But you, the owner of that pricing gun knows.

I could be totally off base, totally wrong, totally amusing and stupid missing the mark of everything. Sue me. LOL. That was how it's explained to me. Either it's a amusing story or it's how they did it.

What people don't know back then is they could walk into Yakima WA into the shippers store and get apples at .25 a pound all they can carry.

 

fuel surcharge is carrier gets you to haul their freight and you pay