Trucking Cost Per Mile Broken Down
Keep Shipping Costs Low & Improve Operations
The trucking industry is a war zone laden with financial landmines that increase your cost per mile. Margins are razor-thin and there are many issues that can arise during the transportation process. While shippers sometimes benefit from extremely competitive rates offered by trucking companies, there are certain costs that these operations will attempt to pass onto your organization. A laundry list of accessorial charges and fees can quickly mount and weigh heavily on your budget.
You need to improve your trucking and shipping operation in order to lower your cost per mile.
Average Cost Of Trucking Per Mile
There is a large variance in the total operating cost per total mile depending on different factors. By gaining an understanding of your expenses relative to the miles generated by the trucks you employ in a given week or month, you are better able to line up operating expenses with pricing decisions.
Average Trucking Costs For A Carrier On A Per-Mile Basis
According to a Freight Waves article, the average operating expenses for trucking are as follows:
Driver Compensation Costs
Low range: $0.48 per Mile
High range: $0.83 per Mile
Fuel Costs
Low range: $0.40 per Mile
High range: $0.55 per Mile
Equipment Financing Costs
Low range: $0.00 per Mile
High range: $0.40 per Mile
Maintenance Costs
Low range: $0.09 per Mile
High range: $0.40 per Mile
Insurance Costs
Low range: $0.06 per Mile
High range: $0.18 per Mile
Variable Driving Expenses
Low range: $0.01 per Mile
High range: $0.09 per Mile
Non-Driver Compensation
Low range: $0.06 per Mile
High range: $0.30 per Mile
Fixed Overhead Costs
Low range: $0.06 per Mile
High range: $0.30 per Mile
With more than 40 years in the transportation industry, Freight Management, Inc. recognized the burden these costs place on shippers. We offer services that improve the shipping process while reducing associated costs.
Improved Shipping Operations Proven To Lower Cost
First Mile
Get a free subscription to Draydex, the industry’s most accurate spot market index for drayage and view competitive rates in real-time with features including carrier comparison, ramp and port pricing, detailed accessorial charges and linehauls, historical lane search, instant alternative route pricing and instant benchmarking.
Middle Mile
We can move your freight – whether you need headhaul, backhaul or team service – at low cost-per-mile because we work with over 15,000 carriers – all of whom have been put through one of the industry’s most stringent qualifying processes.
We utilize solid business relationships, proprietary technology and decades of industry expertise to offer effective less-than-truckload solutions including competitive discounts to reduce your cost-per pound, liftgate service, expedited/on-time, convention pickup and delivery, volume pricing on demand, residential delivery and drop PUP services.
Sometimes shippers transport goods via two modes of transportation (road and rail) in order to lower costs in exchange for slightly extended transit times. This is known as intermodal transportation. The benefits of choosing intermodal transportation include dropped containers on site which provides assured capacity and generally lower rates than over-the-road transportation.
Final Mile
Low-Cost, Fast Shipping And Returns
Your customers will come back again and again if you can offer them low-cost, fast shipping and returns. Improved shipment visibility, detailed reporting, more resources, web-based web entry and world-class customer service will ensure that your retail business stands out from the competitors.
Extra Mile
Trying to manage the entire transportation process can be overwhelming. Without a well-planned, well organized, technology-driven plan in place, your team may overlook things that will cost you revenue, orders, and customers. Get a highly competitive cost structure with zero upfront costs.
Centralize your shipping operations with our proprietary all-in-one transportation management system (TMS). My Freight Manager offers benefits such as carrier management, procurement & scheduling, turnkey vendor portal, inbound logics, pre-audit & payment, customized reporting and more.
Do not have to fall prey to fees that break your budget. Entrust your shipping operations to Freight Management, Inc. and decrease your cost-per-mile.
