Dumb Fuel Surcharge question:
#1
04-11-2008, 02:06 PM
Dumb Fuel Surcharge question:
My uncle just bought a truck and knows absolutley nothing about the trucking industry, so he got me helping him a little bit... :roll:
Anyway, Landstars info concerning fuel surcharge states "100% to the truck" Does this mean they pay all fuel??
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Mama cooks the chicken fried in bacon grease, Down the road, Down the road, Down the road a'piece!! Adapt and overcome.
#2
04-11-2008, 02:10 PM
Re: Dumb Fuel Surcharge question:
Originally Posted by Jimbpard
My uncle just bought a truck and knows absolutley nothing about the trucking industry, so he got me helping him a little bit... :roll:
Anyway, Landstars info concerning fuel surcharge states "100% to the truck" Does this mean they pay all fuel?? 100% to the truck would mean that the fuel surcharge paid by the shipper is passed on fully to the O/O.
#3
04-11-2008, 02:11 PM
Senior Board Member
Join Date: Jan 2005
Location: The Great State of Texas - Seguin
Posts: 741
No, it means that whatever fuel surcharge is paid by the customer, will be passed on to the owner of the truck!
Many agents/brokers/ and companies will keep a percentage of the fuel surcharge, although illegal, there is no way to enforce it! Landstar claims to pass it all through without any deductions, so! If the Average Price of fuel is $4.00/gallon The FSC Base is (was) $1.25/gallon <<< depends on the company and region >>> And figured on an average of 6 mpg Then: $4.00 - 1.25 = $2.75/gallon $2.75 / 6 = .458 cents/mile will be paid to the truck, so in reality, the trucks owner is only paying $1.25/gallon, before any negotiated or cash discounts at the pump! Hope this helps!
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#4
04-11-2008, 02:13 PM
Re: Dumb Fuel Surcharge question:
Originally Posted by Jimbpard
My uncle just bought a truck and knows absolutley nothing about the trucking industry, so he got me helping him a little bit... :roll:
Anyway, Landstars info concerning fuel surcharge states "100% to the truck" Does this mean they pay all fuel??
#5
04-11-2008, 02:26 PM
Re: Dumb Fuel Surcharge question:
Originally Posted by Fredog
no offense but buying a truck with no knowledge of the industry, he is destined to fail..
He was originally thinking about only hauling junk cars, scrap, etc, but now he's talking about leasing onto companies and such. Worst case scenerio is, he dont make any profit with fuel being out the roof, sell the truck as he paid cash for it and owes nothing (96 freightliner), and take a little bit of a loss in what he paid out in insurance and other costs... We'll see what happens! :shock:
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Mama cooks the chicken fried in bacon grease, Down the road, Down the road, Down the road a'piece!! Adapt and overcome.
#6
04-11-2008, 03:11 PM
Hate to keep posting on my own thread, but 1 more question for now.
Assuming you want your own authority, what numbers do you need and how do ya go about getting them what is the cost and how long of a wait? PUC #, IFTA sticker, MC #, DOT # ??????
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Mama cooks the chicken fried in bacon grease, Down the road, Down the road, Down the road a'piece!! Adapt and overcome.
#7
04-11-2008, 03:44 PM
Senior Board Member
Join Date: Jan 2005
Location: East Central IL between the corn and the beans
Posts: 4,977
Originally Posted by Jimbpard
Hate to keep posting on my own thread, but 1 more question for now.
Assuming you want your own authority, what numbers do you need and how do ya go about getting them what is the cost and how long of a wait? PUC #, IFTA sticker, MC #, DOT # ?????? That right there should tell you most if not everything you want/need to know.
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