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Fuel Surcharge factoring

May 21, 2016 at 09:19 PM CST
+ 1
I am trying to understand the many different ways companies are figuring the fuel surcharge rates. Can anyone share there formulas so I can try an understand how to make sense of the many variations we are dealing with? Any help would be appreciated and if you care to keep the info private, please feel free to e mail me directly at [email protected]

John Thomas
General Manager
Aqua-tex Transport Inc.

Replied on Mon, May 23, 2016 at 10:12 AM CST
According to Hoyle figuring FSC is a mystical complex procedure known only by the Pope and church elders.

I heard there's some old man down in SE Texas who calls ABF every Friday to see what their FSC rate is on LTL shipments. He then uses that for his FSC rate the following week.
Replied on Mon, May 23, 2016 at 10:32 AM CST
There is a government formula online, hidden very well. I have been using mine since 2006
Replied on Mon, May 23, 2016 at 10:46 AM CST
I use the OOIDA. It comes up a little lean but I think it's fair to all concerned.

Replied on Mon, May 23, 2016 at 04:11 PM CST
Thanks Jerry and to everyone else that has e mailed me. As I surmised there hasn't been a consistant method used over the years. It looks like everyone has adopted thier own formula or uses the generic variations found on line.

Thanks again for everyones' help.

John T.
Replied on Mon, May 23, 2016 at 06:46 PM CST
You're welcome John and I wish you luck. There's some of us who float around here with the belief that honesty and integrity are the back bone of good business.

I said that in order to say this. FSC is hard to figure without short changing the truck or over charging the customer. I've found the simple formula at OOIDA comes close to fairness for both parties.