Gas Van FSC

Boatcat

Seasoned Expediter
Owner/Operator
US Navy
Mine fluctuates from month to month. Jan. I averaged .24/mi.
Are any of the carriers paying a flat rate to straight truck owner operators also paying a FSC?
And if so, how much?
Mine is not, just curious.
Fuel is getting more expensive and the bottom line is suffering, so a FSC would sure help.

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LDB

Veteran Expediter
Retired Expediter
I should have seen that in your info and I should have known without asking it would be Load 1. It's early. That's an excellent FSC for a van.
 

Steady Eddie

Veteran Expediter
Owner/Operator
It helps when the company passes through 100% of the fuel surcharge, doesn't it?

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Some pay 100% of what they say you get. Bill customers, put it in the pot. Dip out your serving, leaving you with... “Please sir, may I have more...”

In short- you are getting 100% of the “weekly FSC”
But, not 100% of what is billed to the customer.


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OntarioVanMan

Retired Expediter
Owner/Operator
I should have seen that in your info and I should have known without asking it would be Load 1. It's early. That's an excellent FSC for a van.
don;t be too surprised Leo....L1 doesn't separate truckload aka TT from expedite % FSC...vans get what they charge the customer for a truckload customer...at least not when I was there...and they don't change it every week either to most customers...which stops the wild fluctuations...
and I've gotten a high FSC like .50 BUT the linehaul rate was like .50..
Its what you actually get Total that matters....
so it works out well for Load1 contractors...:)
 

LDB

Veteran Expediter
Retired Expediter
Yes, it's the total that matters but it helps if the average FSC is .24cpm rather than .07cpm. One of my good friends was adamant about not taking "cheap freight". Our contract rate was $1.40/mi. At that time FSC averaged maybe .25cpm. We were in ST D units. The C unit rate was $1.30/mi.

We had many spirited discussions about offers and rates. Dispatch would offer a load with .54cpm FSC but paying C unit rate, bottom line $1.84mi. Quite a bit better than the usual $1.65 or so. He would always turn it down saying he wasn't going to haul cheap freight and if it didn't pay his rate it's cheap and no. I'd take it every time because it paid over the usual. I always said I'd haul a load for a penny a mile all day long if it paid $1.75 or more FSC. I don't care what they call which part as long as it adds up right.
 

OntarioVanMan

Retired Expediter
Owner/Operator
Yes, it's the total that matters but it helps if the average FSC is .24cpm rather than .07cpm. One of my good friends was adamant about not taking "cheap freight". Our contract rate was $1.40/mi. At that time FSC averaged maybe .25cpm. We were in ST D units. The C unit rate was $1.30/mi.

We had many spirited discussions about offers and rates. Dispatch would offer a load with .54cpm FSC but paying C unit rate, bottom line $1.84mi. Quite a bit better than the usual $1.65 or so. He would always turn it down saying he wasn't going to haul cheap freight and if it didn't pay his rate it's cheap and no. I'd take it every time because it paid over the usual. I always said I'd haul a load for a penny a mile all day long if it paid $1.75 or more FSC. I don't care what they call which part as long as it adds up right.
So the debate would be right now
If the line haul is .45 But the FSC is .70. Is it cheap freight?
 
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LDB

Veteran Expediter
Retired Expediter
I think the answer would be one of those you see with an asterisk at the end. I think there are three answers.

At it's most basic level, yes it is cheap freight at .45cpm. A second thought would be that if the "normal" total is $1.15/mi ($1 + .15cpm FSC say) then it's still cheap freight because although the bottom line is "normal" the linehaul is cheap. The final thought, and not totally relevant to your example, would be if instead it was say .45cpm linehaul and $1/mi FSC.

Technically they are all "cheap freight" but one has to look at the bottom line not the steps to get to it. It's the bottom line that puts food on the table or forces skipping lunch.

There are other factors not mentioned as well, a major one being locations of pu and drop. It's a host of factors that takes more than holding a steering wheel to work successfully.
 

piper1

Veteran Expediter
Owner/Operator
Of course it's the final number that matters....but it sure is nice to see that at least the carrier is paying attention to the real world costs of it's contractors.

Does the LH fluctuate....sure...but not that much. Hearing that guys are running flat rate without any FSC is insanity.

I compare every run I do against my flat rate carrier of long ago....who used the "standard" FSC....and final number wise the old carrier almost never paid more. When it does happen... I've usually caused it by doing a tourist type of run (that my old carrier wouldn't let me ever do).
 
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