Start with your break-even rate
Before you judge any load, know your cost per mile. It includes fuel, insurance, truck payment, maintenance, tires, permits and your own pay. Use the cost per mile calculator to find it. Any load that pays below your break-even rate loses money.
Count every mile
The advertised rate per mile only counts loaded miles. Add the deadhead miles to the pickup and the empty miles you may drive after delivery. Divide the total pay by all miles to see the real number.
Example: A load pays $2,000 for 800 loaded miles ($2.50 per mile). You drive 100 empty miles to pick it up. Total miles are 900, so the real rate is $2.22 per mile. At a cost of $1.75 per mile, profit is about $425.
Other things that change the answer
- Where you end up. A weak market at the destination means a long empty move or low-paying reload.
- Time. Slow loading, long waits and tight appointments cost you a day, not just money. Check detention terms.
- Fees and tolls. Include lumper fees, tolls and scale fees.
- Fuel. Heavy loads and mountain routes burn more fuel.
- Payment risk. A slightly lower rate from a reliable payer can beat a high rate from a risky one.
A simple decision routine
- Get the full pickup and delivery details.
- Calculate total miles including deadhead.
- Subtract your cost per mile times total miles from the pay.
- Check the destination market and your next load options.
- Negotiate or pass if the profit does not meet your target.
Let a dispatcher do the math
A good dispatcher plans round trips, not single loads, and negotiates for the numbers above. Read how to reduce deadhead miles and see Nexloads dispatch services.
Related reading
Let a dispatcher handle the paperwork
Nexloads finds freight that fits your equipment, negotiates rates and keeps the paperwork moving.