Why?......I don't get your direction....you thinking the driver gets too good a deal and you want 20% of that?.....
Becoming a fleet owner
- Thread starter jewgmw4ever
- Start date
Why?......I don't get your direction....you thinking the driver gets too good a deal and you want 20% of that?.....
westmicher
Veteran Expediter
Being an owner a 1 man pony show...I don't concern myself with FSC over here...not like with E-1....as long as the TOTAL rate matches MY magic number, the FSC could be a .01 for all I care....
why complicate things?.....a straight 60/40...and 50/50 on D-Time...
Daffyduck528
Expert Expediter
I would go less than 60% to the driver if they got 100% of the fsc and that covered 100% of the fuel in the truck, however, here at FDCC fsc is around 28-32cpm. It cost around 35-42cpm to fuel this truck I'm in depending on the cost of fuel. Netting a difference of around 10cpm. With that being the case I would give the driver the additional 20% and 100% of fsc if he covered fuel. I'm undecided about tolls.
some details depends on the carrier as well...Load 1 pays 100% of tolls as well....If say Westy here supplied the EZ pass then he should get the 100% of tolls...
Daffyduck528
Expert Expediter
As a single truck owner I feel as you do. I don't really take fsc into account as much as total pay per mile. I am a couple months off from owning 2 trucks and I need to start thinking about how to handle these things. I'm really struggling with do I pay fuel or let the driver do it.
westmicher
Veteran Expediter
That's an easy question... the guy paying the fuel cares how he uses it but if a driver isn't paying for fuels he's probably tearing up the truck and blowing raw fuel out the tailpipe!
westmicher
Veteran Expediter
Westy supplies an EZpass, Espar, generator, air conditioning, and a properly insulated new van.
westmicher
Veteran Expediter
It easy to question an owner when you don't have skin in the owner game... until you've been an owner WITH drivers driving your equipment you can't really speak with experience. If you can buy trucks and give drivers a better deal, please do so!!!
So you want to keep 40% of the fsc without paying any of the fuel costs. I've been warned about contracts like that.
Round numbers for easy arithmetic $2 per loaded mile plus .40fsc
60/40... $1.60 and .80
40/20/40 $1.44 and .96
Certainly that's appealing if you are the owner and getting 96cpm without doing anything other than arithmetic to earn the extra 16cpm. It just doesn't seem fair to me just like it doesn't seem fair for the owner to keep any hand load money unless he happened to be on the same dock doing his 1/3 of the loading.
westmicher
Veteran Expediter
you arent paying attention! Read my post again!
Try 50/50 of the load THEN 100% of the FSC to whoever pays for the fuel!
Your math is like that darn Canadian!!! Exactly how is $1.60 and $0.80 equalling 60/40??? I'm stone sober and it looks like 67/33 to me!!!
60/40 of your simple $2.40 total IS $1.44/$0.96!!!
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If a team can't buy their own fuel they can't be considered as far as I'm concerned. If I pay fuel they won't care how fast they drive or how much they idle and may even offer to fill someone else's truck at a discount for cash. If there isn't foolishness involved with speed or idling etc. the 60% plus 100% fsc side can come out a little ahead usually but I'll give that up to avoid the potential big losses of paying someone else's fuel.
I was paying attention and did the arithmetic based on the total pay as per my example. $2 load pay plus 40cpm fsc is $2.40. I did make the presumption your 40/20/40 was based on the total pay, in this case $2.40. If so, it works out as the arithmetic shows. If that's not how it works you'll have to explain better.
Daffyduck528
Expert Expediter
That's my concern. I actually know a driver that did just that. He'd fill your vehicle for 1/2 the price if u let him pay with his company fuel card. He ended up getting busted for this but it costs the company thousands of dollars. I guess it's not worth the risk. Idk. I'm still a little torn on what to do. I'm nervous about the whole endeavor to begin with.
westmicher
Veteran Expediter
runrunner
Veteran Expediter
Any driver that would accept less than 60% and fuel surcharge is not going to be worth having,cause that is the going rate. Or 40% and owner pays fuel.
Wrong quote on the wrong guy there Westy....lol That is Texas math
westmicher
Veteran Expediter
Are you a fleet owner? What carrier do you work for?
Here's the math I used.
60/40 = 60% of load pay, in this case $2, plus 100% fsc., in this case .40cpm. So 60% of $2 is $1.20 plus fsc = $1.60 to the fuel side and .80 to the non-fuel side.
40/20/40 I understood to be based on total pay, in this case $2.40. That breaks down to .96/.48/.96 which is $1.44 to the fuel paying side and .96 to the non-fuel side. Just like my correct Texas math showed.
We could make it even a little bit worse by going with your last suggestion of 50/50 then add 100% of the fsc which would be $1 plus .40 for $1.40 to the fuel side and $1 to the non-fuel side.
The bottom line is that 60/40 plus fsc is not the same as 40/20/40 of total pay. The former is giving all the fuel money to the side that should receive it. The latter is taking money that's not earned or deserved. IMHO and YMMV
60/40 = 60% of load pay, in this case $2, plus 100% fsc., in this case .40cpm. So 60% of $2 is $1.20 plus fsc = $1.60 to the fuel side and .80 to the non-fuel side.
40/20/40 I understood to be based on total pay, in this case $2.40. That breaks down to .96/.48/.96 which is $1.44 to the fuel paying side and .96 to the non-fuel side. Just like my correct Texas math showed.
We could make it even a little bit worse by going with your last suggestion of 50/50 then add 100% of the fsc which would be $1 plus .40 for $1.40 to the fuel side and $1 to the non-fuel side.
The bottom line is that 60/40 plus fsc is not the same as 40/20/40 of total pay. The former is giving all the fuel money to the side that should receive it. The latter is taking money that's not earned or deserved. IMHO and YMMV