Line Haul Rate Calculator
How Line Haul Rates Are Calculated
In the logistics and trucking industry, the line haul rate refers to the cost of moving freight from point A to point B, excluding additional services or specialized handling. Understanding how these rates are structured is critical for both shippers and carriers to maintain profitability.
The primary components of a line haul calculation include:
- Base Rate: This is the price agreed upon per mile. It fluctuates based on market demand, equipment type (dry van, reefer, flatbed), and the specific lane.
- Distance: Usually calculated using standard routing software (like PC*Miler or Google Maps) to determine the shortest or most practical truck route.
- Fuel Surcharge (FSC): Because fuel prices are volatile, carriers add a percentage or a per-mile surcharge based on the national fuel price index to protect their margins.
- Accessorials: These are extra charges for services such as loading/unloading (lumper fees), detention time, tarping, or tolls.
The Line Haul Formula
To calculate the total cost, we use the following mathematical logic:
Total Rate = (Distance × Base Rate) + ((Distance × Base Rate) × Fuel Surcharge %) + Accessorials
Realistic Example Calculation
Imagine a shipment traveling from Chicago to Dallas:
- Distance: 925 Miles
- Base Rate: $2.10 per mile
- Fuel Surcharge: 12%
- Accessorials: $75 (Tolls)
Step 1: Base Cost = 925 × $2.10 = $1,942.50
Step 2: Fuel Surcharge = $1,942.50 × 0.12 = $233.10
Step 3: Total = $1,942.50 + $233.10 + $75.00 = $2,250.60
Effective RPM: $2.43 per mile
Factors Influencing Your Rate
Line haul rates aren't static. Carriers consider "Headhaul" lanes (high demand areas) differently than "Backhaul" lanes (where they just want to get the truck home). If you are shipping into a "dead zone" where there is no outbound freight, expect to pay a higher line haul rate to compensate the driver for the empty miles they will likely incur after your delivery.