Rates and Deadhead pay.

Bruno

Veteran Expediter
Fleet Owner
US Marines
I would like to know how a lot of people look at things when it comes to deadhead pay.
Would you like to get paid a higher rate for miles over 100 miles or and lower rate for all okayed deadhead miles not giving 100 miles free?

I would like to know if you like the flat rate per mile or get a percentage of the linehaul? Which works better for you?
 

FJK1954

Expert Expediter
It costs me essentially the same money to run my truck empty as its does loaded, so I look at $/mile...all miles..if it works for me i take it...frank
 

chefdennis

Veteran Expediter
Dh miles area cost of doing business...if you have a "creative accountant", you will do ok with them at tax time....:D
 

Turtle

Administrator
Staff member
Retired Expediter
Like i said what is deadhead pay?
It's the pay you get for driving deadhead miles.

At Panther, the first 100 miles is free, on your dime. Any deadhead miles over 100 is paid - for vans it's 25 cents a mile for all miles above 100. I recently deadheaded 260 miles to pick up a load, and 160 of those miles paid 25 cents a mile.

If the deadhead is 103 miles, I'll get 75 cents for the deadhead. If it's 99 miles, I get nothing.

At some carriers (for vans, anyway) it's like 10 cents a mile for all deadhead miles from the point of dispatch to the pickup.

Most deadhead-to-pickup (for a large carrier like Panther who has vans on every corner) is less-than 100 miles, which is why Panther doesn't pay anything for the first 100 miles.
 

bobwg

Expert Expediter
Dead head pay??? What??? just kidding I have had some agents add a little extra money to cover part of the dead head but most dead head is cost of doing business so I try to keep it down and try to watch the loaded pay so all miles loaded and dead head average out as much as possible
 

aileron

Expert Expediter
I would like to know if you like the flat rate per mile or get a percentage of the linehaul? Which works better for you?

I like percentage a lot better. Yes, you get low offers which you can refuse, but then the mother load comes that makes up for all those low paying loads. With a flat rate per mile you are stuck.
 

Bruno

Veteran Expediter
Fleet Owner
US Marines
What is deadhead pay?

Let say .50 a mile after 100 miles for a C and D units. For the all miles program you would get .27 a mile.

Cargo vans and Sprinters get .25 a mile after 100 miles. For the all miles program you would get .16 a mile.
 

LDB

Veteran Expediter
Retired Expediter
Let say .50 a mile after 100 miles for a C and D units. For the all miles program you would get .27 a mile.

Cargo vans and Sprinters get .25 a mile after 100 miles. For the all miles program you would get .16 a mile.

Your assumption is total including fuel money? I'll stick with the Fedex system as it stands now if that's the case. It costs me 14.5cpm for fuel. If I'm moving because Fedex told me to move I'm getting 11.67cpm for every mile before, during and after the load. Once the deadhead reaches 50 miles I get an extra 15cpm. That means at mile 61.59 I've paid for all the fuel and from that point forward I make 12.2cpm more than fuel cost for the remainder of the deadhead.

Maintenance/repair and tires are 4.9cpm. If I add those into it I've covered expenses entirely at 103.1 miles and make 7.3cpm more than expenses per mile from that point on. I don't really worry about it to that level. I just operate on the premise that my deadhead expenses are far lower than they were when I was elsewhere that required the first 100 miles free. Deadhead was rarely rarely over 100 miles and often if it was it was only over by a few miles. It's great to say deadhead is only 16% or whatever low amount but is it better to have 16% deadhead for free or 24% deadhead with all those miles paid for to some level and some of those miles paid above and beyond operating cost?
 

Slo-Ride

Veteran Expediter
Like i said what is deadhead pay?
Greg you should know the answer to that...Its a loss.:D
No matter how I look at it, It doesnt fill my tanks,,replace tires,belts etc etc..

With that said I just want what I agreed to the day I signed on,,nothing more and for sure nothing less.
(OK, the nothing more part was a lie:D)
I wanna be sitting on top of the freight on every load when I empty out.:rolleyes:
 

greg334

Veteran Expediter
Well the thing I am getting at is the same thing about Qualcomm, there is always a cost of doing business. BUT with DH pay if you get it ... great ... but it is not the end of the world.

Many of us operate - profitably - without DH pay, and in doing so puts us closer to the reality of being independent.

With DH pay seems to go along with the need to be part of the company along with the same inability to work a system - I guess it is a balancing of sorts where you give up the freedom for the little perks.
 

LDB

Veteran Expediter
Retired Expediter
If a particular job needs $481 total for xxx miles deadhead plus another xxx loaded I don't care if it's zero deadhead, zero fsc and $481 loaded or if it's $481 deadhead and zero fsc and zero loaded or if it's zero deadhead, $481 fsc and zero loaded. It's all about the total money relative to the total miles.
 
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