Independent Contractor Route Rates

Cargo · Jun 17, 2005

I have resently been offered a dedicated route in which I will be using my Chevy Astro Extended MiniVan. The loads will be between 300#s to 1500#s - I will drop off and pickup at the same locations and cover approximately a 10 locations route equaling 686 miles round trip and home every night.

What would be a fair rate to charge? I'd appreciate all replies. Thank you!

Cargo

LDB · Jun 17, 2005

One way to look at it would be compared to an expedited run. In that case ir would be 686 times .77 ($528) plus 8 stops at 20 each ($160) plus fuel surcharge of maybe .06 ($41) so that would add up to $729.

Another would be to calculate your operating cost and add an acceptable salary to that. I can only guess but would imagine including insurance etc. it would run about 40cpm to run your van. Adding a reasonable 40cpm for driver salary would be 686 times .80 for $549.

Maybe I'm skeptical but I see this as an all day and night job. Let's presume starting by being at the first pickup at 0600 and 10 minutes to be loaded and pulling away. We have 9 more places to be and if I'm not misinterpreting we will unload and reload before going on to the next stop. The last stop will be unload only so let's give that one 10 minutes too. The other 8 let's give 15 minutes since it's unload and reload. That makes 2 hours and 20 minutes worth of stops.

Now we have to travel 686 miles. Best case scenario it would be 3/4 interstate with no construction zones and no big city rush hours to contend with. That's about 520 miles and we'll be entirely too optimistic and say we average 65 mph on this segment for 8 hours of driving. That leaves 166 miles off highway and we'll give this another too optimistic 50 mph for 3 hrs 20 minutes.

All together we've got 13 hours 40 minutes to do the job although it's probably more like 15 hours so it's 0600 to 2100 plus however long it takes to and from the starting/ending point.

In any event, take plenty of time to consider the options and don't run too cheap.

Leo
truck 4958

Support the entire Constitution, not just the parts you like.

terryandrene · Jun 17, 2005

Leo's comments should give you something to think about. Even thought we'd all relish the thought of a 686 mile run every day, It'd be a tough grind that would wear thin in a couple of weeks.

A couple of more comments: Leo gave you no time to eat or get food, nor to fuel, do oil changes and routine maintenance. Will you be required to provide a substitute driver/van in the event of illness or breakdown. Are the miles actual or HHG? You might have considerably more actual than programed miles.

Another cosideration is the weight. Can an asto minivan safely handle 1500# or, are you gonna tear it up in no time. What if tomorrows weight is 1550# will you take it? 1599?, etc.

Lot's to consider here. Are you the carrier or are you going to be operating under a carriers authority. Cargo liability?. Don't undervalue yourself. Reasearch freight prices for comparable work in your area and price yourself accordingly. Start high and discount later.

Terry

mvbn1 · Jun 17, 2005

If your doing this for a courier company, you'll be lucky to see $250.00/day. Most courier businesses wouldn't think of paying like an expedite company. I ran a "route" for my former employer, (from Dayton to Toledo then to Bryan, Ohio), everyday, with anywhere from 3 to 10 stops, and only got $185.00/day.

I'd also look into the weight issue. Putting 1500# in an Astro van sounds like a bit much. One last thing to consider, what happens if your vehicle is not available? Breakdown, etc... Are you responsible for getting something to use while you van is being worked on?

Cargo · Jun 18, 2005

The payload including passengers, etc.. is 1675#s. I'll be under the carriers' authority; the insurance part is covered. The schedule will be two days on and two off - then, on the off days - I can run a round trip equal to 250 miles. Thank you for your reply.

Cargo

Cargo · Jun 18, 2005

I didn't think about what happens if and whenever a breakdown occurrs with my van. I will definitely cover the issue. Thank you!

Cargo

geo · Jun 20, 2005

when fedecc roberts express had mini van's they only hauled 500 lbs
and 1500 in a mini van would be very over loaded
and that type of miles wouldn't do it for less than 1.60 per mile
and i'm in a sprinter van