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Fuel surcharge and all-in rates: comparing your actual revenue

One broker quotes linehaul plus fuel surcharge; another quotes one all-in number. To compare them you have to put both on the same basis, and on a percentage lease, the answer can change.

Two offers for the same lane

  • Offer A: $1,900 linehaul plus a fuel surcharge of $0.55 a loaded mile.
  • Offer B: $2,250 all-in.

Both are 700 loaded miles, with 45 miles of deadhead to the pickup: 745 total.

Step 1: turn both into total revenue

Offer A's fuel surcharge is $0.55 × 700 = $385, so A pays $1,900 + $385 = $2,285. B pays $2,250. Always multiply the fuel surcharge by the miles it's paid on, usually loaded miles. Check which.

Offer A against offer B
Offer AOffer B
Total revenue$2,285.00$2,250.00
Per loaded mile$3.26$3.21
Per total mile$3.07$3.02

With your own authority, A pays $35 more. Your costs are the same for both, so that's $35 more profit.

Step 2: on a percentage lease, apply your split

At 72% of everything, A is worth $1,645.20 to you and B $1,620.00, still $25.20 apart.

But if your lease pays the split on linehaul and passes the fuel surcharge through in full, A becomes:

$1,900 × 72% + $385 = $1,753.00

That's $133 more than B, if the carrier splits B's all-in rate as one number. Some carriers break an all-in rate into linehaul and fuel on the settlement, some don't. Ask yours, because it decides which offer is better. Profit after your carrier's percentage.

Step 3: compare per total mile, not the headline

Divide by every mile you'll drive, deadhead included. Then compare with your cost per mile. Why deadhead matters.

Things to confirm with the broker

  • Is the fuel surcharge per loaded mile, per total mile or a flat amount?
  • Is it fixed, or tied to a weekly diesel index that could change before the load runs?
  • Is an "all-in" rate truly all-in, or are detention and stop pay extra?

Doing it in KRYSTAL

Enter linehaul, fuel surcharge and accessorials in their own fields. KRYSTAL adds them into gross revenue once, so differently structured offers compare on the same basis. Your carrier percentage and fees are then worked out on that gross. If your lease pays fuel surcharge in full, set that once in your operating profile and KRYSTAL takes the carrier's split from linehaul and accessorials only. Details.

Compare offers on what they pay you

Every offer on the same basis, after your costs and split.

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