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Truckers Best Stop Getting Ripped Off

Author: Nazmus Sakib Sun
by Nazmus Sakib Sun
Posted: May 25, 2017

In fact, trucking and truck drivers are a critical part of the US economy.Hello, Friends and fellow truckers! I’m Ray living in Lancaster PA.I have been in the trucking and logistics business for about 40 years! I have experience being a company driver, owner/operator, safety director, dispatcher and DOT compliance. Out of those 40 years, I purchased a Hot Air Balloon company, offering balloon flights over Lancaster County Amish County trying to find a way to put the trucking behind me. As an owner operator you know trying to compete with rates through brokers and how they rip you off is almost impossible for the small trucking companies to survive. Plus the high prices of just being on the road, truck stops marking everything up 300 to 400 percent. Shippers and receivers taking 4 to 7 hours loading or unloading with no detention time. My goal is to help truckers like yourself, cut cost and stop being ripped off as much as possible and put more money in your pocket.

1.Driver’s Getting Ripped-off for Detention Time:

What's the best way to Collect Detention Fees?

While deadheading is obviously expensive, detention time can cost you just as much. Even though the truck might not be moving, it’s still costing you money. For one, there’s the lost productivity while your truck is stuck at a dock waiting to get loaded or unloaded. There’s also an opportunity cost. When you are detained for long periods of time, you can miss out on another load elsewhere.

In the past, we’ve talked about how to define a detention fee in your rules of service. Often the trick is to figure out how much to charge so you can strike a balance between getting compensated for your time and keeping your customers happy.

Common Practices

Here are the three most common practices

Most shippers expected two hours of free detention time for the power unit.

A majority of carriers charged for every 15 minutes beyond that grace period for the power unit, ranging anywhere from $25 to $90 per hour. If it’s just the trailer that’s detained, the detention fee is per day.

The shippers in the study usually allowed for a $600 maximum in detention fees.Find Creative Ways to Collect.If you’re hauling for a shipper that has a record of detaining your trucks, it might be easier to charge a higher rate per mile rather than charging them a detention fee as an accessorial.Another approach is to offer a refund for a quick turnaround at the docks. Let’s say you charge a per-day fee for your truck on top of the line-haul rate. Agree to leave the per-day fee off the invoice if your truck is back on the road in two hours or less.

Driver Compensation

The detention fee doesn’t just offset your opportunity and equipment costs, though. If your driver is paid by the mile, detention time means losing hours that would otherwise produce income. If you can’t find a way to compensate the driver for that time, you could end up looking for a new driver.



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Author: Nazmus Sakib Sun

Nazmus Sakib Sun

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Member since: Feb 27, 2017
Total live articles: 1

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