How to Figure Fuel Surcharge?
 

Is this the correct way to do this: Say you get paid 1.00 a mile and Fuel is 3.299 according to: Natural stone veneer for homes, patios, and landscape the FSC is 32.25%. Would I take the 32.25% and multiply it by 3.299 to get the FSC which would be .3386 added onto the 1.00 mile so total pay would be 1.3386 per mile? Never tried to figure FSC so this is the reason for the question.

Thanks

I come up with $1.06. (32.25 x 3.299 ) so the haul would be $2.06 per mile.

I have a paper showing our FSC based on the current fuel prices. I will post it and you can go from there..... we pay $1.25 for fuel supposedly and our FSC makes up for the higher cost as it goes.

Steel Horse Cowboy, did you post this paper yet? If so I did not see it.

So is the correct way then? 32.35 X 3.299 = 1.07 (1.0672 rounded up to 1.07) , then take the number of miles you travel and come up with it? I looked on a sheet and thought it would be .3235 X what they were paying me a mile which was 1.00 and then it would be 1.32, but I guess it would be the .3235 X the national price of Diesel, is this correct? OOIDA has a spreadsheet but that just got me more confused than anything.... doesn't take much to do this though.

FSC would be 32.25% of the linehaul rate. If the linehaul is 1.00 then the FSC would be 32.25. The FSC % is based on the current price of the fuel.

My scanner is acting up on me. I will keep trying, but for some reason I can print and fax, but the wireless wont work for scanning. And of course I bought the $300 Brother all-in-one that doesn't work as it's name implies LOL

I don't think so.

$2.06/mile pulling containers? I'll be in Memphis next week to sign up!

I'm pretty sure that it would be a percentage of linehaul rate added to the line haul rate.

Example: LIne haul $1.00/mile x .3225= $1.3225/mile

Since Papa Rick posted about the rates for pulling containers in another thread, I'll use those rates.

$1.06/mile loaded + FSC @ 32.25% = $1.40/mile loaded
$0.89/mile empty + FSC @ 32.25% = $1.18/mile empty

avg revenue would be = $1.29/mile

Kinda cheap, but container rates always have been. If it keeps you home and that is important to you, it's probably as good as it's gonna get for local work and you do have a FSC system to protect you from the fuel spikes.

Papa rick, I was told that you take the The average price of fuel in that region and minus the Benchmark price(this is $1.10- Anytime fuel is over $1.10 you should apply a fuel surcharge to cover this cost of the increase). Divided that by the miles per gallon (you average),and this gives you a surcharge rate.
Multiplied by the miles driven gives the fuel surcharge amount you should recover....

example.
Fuel is $3.30 in midwest -$1.10= $2.20/6mpg= $.3666 is your fuel surcharge rate
Lets say you have a trip of 840 miles. 840 x $.37 (rounded up)= $310 is what you should recover in fuel surcharge, Plus your mileage pay.
$1.00 PM x 840 miles = $840
$840+ $310= $1150 is what you should receive for this load all together.

Hope that helps.. This is the formula, I've been using..

Here's a quick breakdown of our FSC when the national avg is $3.00

Price FSC
3.00 .37
3.05 .38
3.10 .39
3.15 .40

and so on every .05 increase in avg price raises our FSC .01

Right now we are at .48cpm for FSC

At $5.00 National Avg it goes up tho....

5.00=1.00fsc
5.50=1.50fsc
6.00=2.00fsc