Does FSC play a part of what carrier you sign on with?
- Thread starter Bruno
- Start date
Anything that is "fixed" by the carrier translates into a profitable "fix" for the carrier. Not for the contractor.
It is either gaming by the carrier, or their inability to consistently find profitable freight or both.
With that said, it really is more tied to the overall rate.
Would we take a two dollar, 1000 mile load all in with no FSC? You bet.
It is either gaming by the carrier, or their inability to consistently find profitable freight or both.
With that said, it really is more tied to the overall rate.
Would we take a two dollar, 1000 mile load all in with no FSC? You bet.
chefdennis
Veteran Expediter
My concern is what the load pays...how the carrier gets to that point, i couldn't care less, it is the total paid and from there i can figure the pay per mile ad ill make my decision from there.....
So I guess that no the FSC had no bearing on me seeing wth either of the carriers I have and am still with...and yes I pay for my own gas...but i do use the carrier provided fuel card....
So I guess that no the FSC had no bearing on me seeing wth either of the carriers I have and am still with...and yes I pay for my own gas...but i do use the carrier provided fuel card....
If it means nothing to you, then will you donate it to the fight of cancer? Don't you see that carriers are lowering their rates but not the FSC. The carriers that are on a flat rate FSC say they aren't making money off of it. I say they are full of it, as many of us know better. So you could care less if they are charging $1.00 a miles FSC and only giving you .24 cents per mile.
Why would I care how the carrier makes there money? It's not my business.
When I owned a Hurricane Shutter company I sometimes contracted out the installation to sub contractors. They were paid an agreed upon sum per opening to do the labor. What I charged the customer in mark up on the product or for labor was none of there business.
I am a sub contractor. I do not find the loads or collect payment from the customer.
My current FSC is adjusted each week so that I am paying $1.25 per gallon for fuel based on the national average. If they get more good for them, if the get less than it is too bad for them. As long as the terms of my contract are met how much they charge a customer and for what is there business.
When I owned a Hurricane Shutter company I sometimes contracted out the installation to sub contractors. They were paid an agreed upon sum per opening to do the labor. What I charged the customer in mark up on the product or for labor was none of there business.
I am a sub contractor. I do not find the loads or collect payment from the customer.
My current FSC is adjusted each week so that I am paying $1.25 per gallon for fuel based on the national average. If they get more good for them, if the get less than it is too bad for them. As long as the terms of my contract are met how much they charge a customer and for what is there business.
Jim your missing the whole point. Customers are asking for a discount on rates but not the FSC. If your at carrier where your paid on a percentage and a flat rate FSC it can take money out of your pocket. Since some carriers aren't passing on 100% of the FSC they are making up the rate discount that way. The only company that I know Of that pass's 100% of the FSC to all of it's contractors is LOAD1.
OVM you voted that you could care less about the FSC but yet that was the main reason you went to Load1. I'm not trying to pick on you, I think the real reason you could care less about it is because Load1 gives you 100% of what is charged to the customer.
I know I am a confusing guy....
Let me explain a little on that...my last carrier it was figured out at Midwest Average....2nd lowest average in the nation...as of yesterday the National average was 3.749 the Midwest average was 3.699 a 5 cent difference. DOH? and 2ndly...they rounded off downward....if it worked out to say .179 cents....you would only get the .17...so that is twice the rip off...while the .009 does not sound like a lot in itself...you figure 400 trucks and all their miles run in that week....that in itself is a whack of dollars..it was the principle of the whole FSC program I objected too...Not only was the flat rate system a nag factor then you throw in the above nag factors....can ya see now? Anyone on the flat rate system is losing money...it has been figured out every which way..
I know I am a confusing guy....
Let me explain a little on that...my last carrier it was figured out at Midwest Average....2nd lowest average in the nation...as of yesterday the National average was 3.749 the Midwest average was 3.699 a 5 cent difference. DOH? and 2ndly...they rounded off downward....if it worked out to say .179 cents....you would only get the .17...so that is twice the rip off...while the .009 does not sound like a lot in itself...you figure 400 trucks and all their miles run in that week....that in itself is a whack of dollars..it was the principle of the whole FSC program I objected too...Not only was the flat rate system a nag factor then you throw in the above nag factors....can ya see now? Anyone on the flat rate system is losing money...it has been figured out every which way..
people should keep in mind your CPM is always in flux..it is not a constant...they should always reassess their numbers..example in the last 2 weeks fuel has dropped about 10 cents a gallon...hence your fuel costs have dropped....so your CPM should also drop....and the rate you've set for acceptance should be lowered accordingly.
greg334
Veteran Expediter
Well the fsc thing is a selling point to get people to sign up with them like it is free money. The line item marks - total rate really is the only thing that matters and here is why.
Your company tells you that they will give you the FSC rate based on the chart of costs in different regions. SO you get the upper midwest amount because you are either based out of there or the customer you are hauling for is there. You pick the load up in say the south west corner of the country but deliver up to the north east part, why are you getting the upper midwest part's fsc adjustment?
If you are going to get a fsc that is to adjust your rate to $1.25, maybe it needs to be at the highest cost you will come across in route to your delivery - not below a national average.
Your company tells you that they will give you the FSC rate based on the chart of costs in different regions. SO you get the upper midwest amount because you are either based out of there or the customer you are hauling for is there. You pick the load up in say the south west corner of the country but deliver up to the north east part, why are you getting the upper midwest part's fsc adjustment?
If you are going to get a fsc that is to adjust your rate to $1.25, maybe it needs to be at the highest cost you will come across in route to your delivery - not below a national average.
The answer is no and yes.
Let me explain.
I have been with all kinds of carriers: flat rate and percentage load pay, also flat rate and 100% fsc.
I only care about my total rate per mile period. Coudn't care less if they pay me $1.5 per mile plus .05 fuel surcharge, or .05 per mile plus 1.5 per mile fuel surcharge.
However, at a company that pass on to me 100% of fsc, the total pay per mile tends to be higher, sometimes by a significant amount.
So, no, I don't care about fuel surcharge, but I do care about it since it brings up my rate per mile.
Posted with my Droid EO Forum App
Let me explain.
I have been with all kinds of carriers: flat rate and percentage load pay, also flat rate and 100% fsc.
I only care about my total rate per mile period. Coudn't care less if they pay me $1.5 per mile plus .05 fuel surcharge, or .05 per mile plus 1.5 per mile fuel surcharge.
However, at a company that pass on to me 100% of fsc, the total pay per mile tends to be higher, sometimes by a significant amount.
So, no, I don't care about fuel surcharge, but I do care about it since it brings up my rate per mile.
Posted with my Droid EO Forum App
I understand what your saying but I would rather 100% of the FSC so my rate per mile is higher than getting a flat rate fuel surcharge. We have done both and our rate per mile for all miles was higher when we got 100% of the FSC. I would rather get $1.41 for all miles at our current carrier than $1.13 for all miles at our old carrier. That is a $28,000.00 lost of income based on 100,000 loaded miles a year if your on the flat rate fuel surcharge program that some carriers are going too.