If you speak to freight brokers in Chicago or truckers about their secret to success, the standard answer that you will get is that the only way to make money in the trucking business is not to spend any money. This is an important fact you must keep in mind as you learn how to calculate trucking rates. This is because the business of trucking has razor-thin margins and ever-growing risks and curveballs. If you don’t balance everything out perfectly, you stand to make losses or only break-even, regardless of how many miles you cover.
Workers in the trucking business are always on the road. Taking time to determine the ideal truck rate per km is the key to ensuring they remain profitable. Needless to say, this is not an easy goal to hit. There are countless factors that must be considered, and most of these factors keep on changing. To help you better calculate trucking rates per mile, this post will focus on the operating expenses trucking companies have to keep an eye on, as well as share tips on how to calculate the cost per mile freight truck.
To be able to know what is the average per mile cost of trucking, it is imperative that you account for all the operating expenses truckers have to deal with. With the exception of the specialized operating models, the expenses in trucking fall between $1.16 and $3.05 per mile. This means, in the real world, no trucker can achieve an average operating cost per total mile of $1.16. Truckers can also not survive with $3.05 per mile. Considering the pricing mechanism in trucking is the mile, it is crucial that you understand your expenses relative to the miles you generate in your truck per week or per month. Doing this will help achieve a more accurate figure on your current freight rates per mile. Here are the average operating costs per mile for truckers.