Cargo van in TN

Wanderlust

Seasoned Expediter
I bought a 1992 Ford E-150 van. I may get an offer to pick up on-call frieght 2 or 3 times aweek. One way trip miles may be about 200. I am wondering if I need to get my own authority to haul this freight. I only have liability insurance with 300,000 property damage on the van now. Do I need more ins.? I drove a tractor/trailer for 14 years and am not able to handle the miles anymore. I would like to be able to haul alittle freight here and there for now. I don't know if I qualify an an expedite service. How do I charge a fuel surcharge?
 

greg334

Veteran Expediter
Fual Surcharge?

Easy....

Say your van gets 15

Gas looks like it is $2.58 per gallon

You subtract $1.25 from $2.58 which is $1.33

You take $1.33 and divide it by 15

Which gives you 8.8 cents a mile - that's your FSC.

In other words -

(Price of gas - $1.25)/mpg
 

letzrockexpress

Veteran Expediter
Fual Surcharge?

Easy....

Say your van gets 15

Gas looks like it is $2.58 per gallon

You subtract $1.25 from $2.58 which is $1.33

You take $1.33 and divide it by 15

Which gives you 8.8 cents a mile - that's your FSC.

In other words -

(Price of gas - $1.25)/mpg

Your formula is correct but it is suposed to be figured on the price of diesel, whether or not the vehicle runs on gasoline.
 

greg334

Veteran Expediter
yea I forgot about that, thanks for the correction. I'm so used to not thinking about if it is gas or diesel, just figuring it out with the price at the pump in front of me.
 

Pilgrim

Veteran Expediter
Retired Expediter
You can also calculate FSC as a percentage of linehaul charges - that's the way most large expedite companies do it, unless a particular contract dictates otherwise. Here's a link to a sample FSC matrix - their LTL column looks like it's in line with most expedite FSC tables.

Fuel Surcharge Chart

Of course you'll have to check the DOE national diesel average each week to determine your FSC rate (or check the top right corner of the EO Homepage).

Weekly On-Highway Retail Diesel Prices

So this week, the national diesel average being 2.634 your FSC would be 17.5% of linehaul charges.
 

Jack_Berry

Moderator Emeritus
I bought a 1992 Ford E-150 van. I may get an offer to pick up on-call frieght 2 or 3 times aweek. One way trip miles may be about 200. I am wondering if I need to get my own authority to haul this freight. I only have liability insurance with 300,000 property damage on the van now. Do I need more ins.?


well most carriers have the truck ins. for 1 mill dolla amurican. if you have an accident and you are at fault the fact you may have a name on the side of the truck brings dollar signs to peoples eyes. you may wish to incorporate to protect your private assets. expedite now magazine has a feature on various forms of incorporation.
 

Crazynuff

Veteran Expediter
well most carriers have the truck ins. for 1 mill dolla amurican. if you have an accident and you are at fault the fact you may have a name on the side of the truck brings dollar signs to peoples eyes. you may wish to incorporate to protect your private assets. expedite now magazine has a feature on various forms of incorporation.
Incorporating offers little protection of personal assets for a single truck O/O . If the driver is truly at fault and found negligent he can be sued personally as well as the corporation being sued .
 
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