How to Figure Fuel Surcharge Percentage

Save

The fuel surcharge percentage refers to the markup that trucking companies place on invoices to cover the cover fuel costs for the delivery. The exact percentage used to determine the surcharge typically changes based on the current costs of diesel fuel at the time of the delivery, the base rate per mile you charge for fuel and your average miles per gallon. The calculation, however, remains the same regardless of current fuel prices.

Figuring Fuel Surcharge Percentage

  • To figure the fuel surcharge percentage, you must calculate the average cost per gallon. Add up the total fuel costs for the trip and divide that by the total gallons bought. For example, if you pay $3,890 for 1,000 gallons of diesel, you get an average per gallon cost of $3.89. Alternatively, you can use the U.S. Energy Information Administration’s weekly average diesel price. You subtract the base-rate from the average per gallon. If you charge a base rate of $1.50 per gallon, you get $2.30. You divide $2.30 into your average mileage. At a standard 6 miles per gallon, you get $0.383. Divide that number into your base rate and, in this example, you get 0.255, or 25.5 percent. Multiply this percentage by total, pre-tax cost of the delivery. A $1,300 delivery at 25.5 percent receives a $331.50 fuel surcharge, for a $1,631.50 pre-tax total.

References

  • Photo Credit Dario Lo Presti/iStock/Getty Images
Promoted By Zergnet

Comments

Resources

You May Also Like

  • What is the Q Surcharge on Air Tickets?

    Traditionally, the cost of an airline ticket was straightforward. Airlines would charge passengers fares based on flight and route factors, and they...

  • How to Calculate a Credit Card Surcharge on a Selling Price

    In some cases, it is acceptable for merchants to charge you a surcharge on a small credit card purchase. The reason is...

  • How to Price Courier Jobs

    Every courier service and delivery company has to develop the right formula to price courier jobs. Specialty couriers may try to price...

  • How to Make a Fuel Surcharge Chart

    The price of gasoline and diesel fuel is a major factor in transporting and delivering goods. For this reason, both large and...

  • What Is a Surcharge Fee?

    A surcharge fee is an extra cost added to a bill the consumer is already expected to pay. Surcharge fees are imposed...

  • What Is a YR Surcharge?

    When the itemized price of an airline ticket includes a charge with the code "YR," that usually indicates a fuel surcharge --...

  • Surcharge Laws

    Because of growing consumer resistance, the government has increased regulation with regard to the surcharges many merchants add to transactions. Merchants often...

Related Searches

Check It Out

Are You Really Getting A Deal From Discount Stores?

M
Is DIY in your DNA? Become part of our maker community.
Submit Your Work!