News

FTL Trucking Explained

When it comes to load distribution and management, FTL shipping is a popular approach. In fact, FTL shipping makes up the largest share of the freight market at over 46%.

Many trucking companies specialize in this shipping method, where a single order takes up a full truckload. It’s got some major benefits for the right types of industries.

Here’s everything you need to know about FTL freight.

What is Full Truckload (FTL) Shipping?

Full Truckload (FTL shipping) is a shipping method where an entire truck is dedicated to a single shipment.

This means that the goods from one shipper fill up the truck, or at least, the shipper pays for the whole truck even if it’s not fully loaded.

FTL is ideal for large shipments, where items go directly from the pickup location to the destination without stopping. FTL freight shipping offers faster delivery times, less handling (which reduces the risk of damage), and more control over the timing of the truckload freight.

However, it’s usually more expensive than shared load options like Less Than Truckload (LTL shipments).

Benefits of FTL Shipping

Here are some of the main reasons FTL carriers choose to operate with a full truckload.

Efficiency and Speed

FTL shipping is faster because the truck carries your shipment only.

The driver goes directly from the pickup location to the destination without stopping for other deliveries. This cuts down transit time and ensures more timely deliveries, which is ideal for time-sensitive goods. With no additional stops, there’s less chance of delays in the shipping process.

Customization and Flexibility

With FTL, you have more control over how and when your shipment is handled because you reserve the entire truck for your goods.

You can customize the pickup and delivery schedules to match your needs. You can also request special handling or equipment from FTL trucking companies, like refrigeration for perishable items or specific routes. This makes it a more tailored solution.

Safety and Security

Since your goods are the only ones on the truck, there is less handling and transferring between locations with FTL shipments.

This reduces the risk of damage, loss, or theft. The truck is typically sealed after loading and remains untouched until it reaches the destination, which also offers a higher level of security for your shipment. This makes FTL a great option for fragile or high-value goods.

When is FTL Appropriate?

Here are some of the main scenarios where using full truckload shipping is best.

Large Volumes

FTL is best when you have a large shipment that can fill up most or all of a truck. It’s cost-effective for big loads because you’re using the entire truck space, which reduces the cost per unit.

Fragile Products or High-Value Goods

If your products are fragile or high-value, FTL is ideal.

Since the truck only carries your goods, there’s less handling, reducing the chance of damage or loss.

Firm Delivery and Pickup Dates

FTL allows you to set specific pickup and delivery times. This makes it perfect when you need reliable scheduling for time-sensitive shipments, as you have more control over the entire process.

Faster Transit Times

The truck travels directly from pickup to delivery, making it the best choice for shipments that need to arrive quickly.

Other Special Requirements

FTL is also a good option if your shipment requires special handling, like temperature control, or if you need flexibility in route planning or loading instructions.

Having a dedicated truck allows you to customize the shipping experience to your needs.

Disadvantages of FTL

Full truckload freight may be highly beneficial, but it also comes with its cons compared to LTL shipping.

Higher Costs

FTL can be expensive, especially if your load doesn’t fill the entire truck. You’re paying for the whole truck, even if there’s extra space.

Not Ideal for Small Loads

If your shipment is small, FTL may not be the best option. An LTL shipment is often cheaper for small loads since you only pay for the space you use.

Limited Flexibility for Changes

Once your goods are loaded, it’s hard to make changes to the shipment. Adding or removing items can be expensive or impractical once the truck is on its way.

Empty Space Wasted

If your load doesn’t fill the truck, you may end up paying for unused space. This can lead to higher shipping costs compared to more efficient shared-load options.

Industries That Commonly Use FTL

Considering offering FTL shipments? Here are some of the key industries that require them:

E-commerce: Large and bulky items like furniture, appliances, and electronics are often shipped via FTL for faster delivery and better handling.

Retail: Retailers use FTL to transport large quantities of goods from distribution centers to stores.

Agriculture: FTL is used to ship large volumes of crops, fruits, and vegetables to processing plants or distribution centers.

Food and beverage: Perishable items like dairy, meat, and beverages are shipped using FTL for time-sensitive deliveries and to maintain cold-chain integrity.

Construction: Heavy materials like cement, lumber, and steel are transported via FTL to job sites, ensuring they arrive in bulk and on time.

Choosing the Right FTL Carrier

Choosing the right FTL carrier is crucial for successful shipping.

Clients should start by looking for carriers with a good track record of on-time deliveries and low damage rates. Handling capacity for specific shipment needs and ensuring they have the right equipment, especially for special requirements like temperature control, is important.

Of course, comparing quotes from different carriers to find competitive rates is also important. Finally, communication practices should be considered when looking for an FTL carrier. Clear updates throughout the shipping process is essential for staying informed.

Final Thoughts

If you operate a trucking business, then you may want to specialize in FTL shipping. It’s an easier service to offer, and it can be highly profitable if you serve the right industries. However, FTL freight is also competitive and requires targeting a market with more specific trucking needs.

If this is something you’re considering, you’ll need to start with the right commercial truck. Get in touch with us at Mission Financial Services For easy access to truck financing.

Small Fleet Management

Managing a small fleet comes with plenty of daily challenges, from high costs to keeping operations running smoothly.

But with the right strategies, fleet operators can overcome these hurdles and make the most of their limited fleet.

To help you work smarter as a small fleet manager, let’s explore the key financial and logistical challenges small fleets face. We’ll also dig into some practical solutions to improve efficiency, reduce costs, and set your fleet up for long-term success.

Operational Challenges of Small Fleets

Fleet management comes with a range of daily challenges. Here are some of the major fleet operations issues that a fleet manager deals with daily.

Managing Drivers

Managing drivers in a small fleet involves closely monitoring their behavior, keeping compliance with safety regulations, and providing continuous training.

Using telematics and GPS systems helps track driving behavior, providing data for targeted coaching. Regular training sessions can also help reinforce safe driving practices and improve overall performance in driving fleet vehicles.

Driver Retention

Retaining skilled drivers is always an enormous challenge for a fleet manager because of high turnover rates and a competitive market.

Small businesses can’t always match the pay and benefits of larger companies, which makes driver retention even more difficult.

Vehicle Maintenance

For smaller fleets, the breakdown of even a single vehicle can cause serious disruptions.

Keeping a consistent maintenance schedule is vital for any fleet manager to prevent unexpected downtime. Fleet maintenance software can automate maintenance reminders, ensuring that routine inspections and repairs aren’t overlooked.

Educating drivers about the importance of pre-trip inspections and focusing on preventive maintenance schedules is essential for identifying and addressing potential issues early.

Cost Constraints

Operating a small fleet on a tight budget makes it tricky to balance expenses like fuel, maintenance, and driver salaries.

Fluctuating fuel prices add to the financial strain. So, implementing fuel-saving strategies, like optimizing routes and reducing idle time, can significantly cut fleet management costs.

Investing in affordable fleet management software is also a great way to streamline operations and highlight areas for potential savings.

Regulatory Compliance

Small business fleet management involves navigating a complex landscape of local, state, and federal regulations to avoid fines and legal issues.

Keeping up with changing rules can be challenging for smaller operations with limited resources. You need to stay informed about regulatory updates and maintain detailed records of vehicle inspections, driver logs, and maintenance activities.

Using fleet management software with compliance features simplifies the process by tracking hours of service, vehicle inspections, and driver certifications.

Financial Challenges

Of course, one of the most difficult areas of fleet management is dealing with the various financial challenges involved in running a fleet.

Capital Investment

Operating a fleet requires plenty of investment in vehicles, maintenance, and operational needs.

Small fleet owners need to budget carefully and adopt cost-saving strategies to manage these upfront costs.

Financing

Access to financing is crucial for spreading the cost of acquiring and maintaining vehicles.

Small fleets should explore various financing options, such as loans, leases, and grants, to find the best fit for their financial situation.

This is important for managing cash flow and keeping operations running smoothly without tying up too much capital.

Fuel Costs

Fuel is one of the biggest and most unpredictable expenses for fleets. It plays a large role in any fleet’s overall profitability.

Fleet managers need to monitor fuel trends and implement fuel-efficient practices and technologies to mitigate the rising fuel costs.

Insurance Costs

Small fleets often face higher insurance premiums per vehicle.

Prioritizing safety through driver training, tracking, and safe driving incentives can reduce accidents, which leads to lower insurance premiums. Regularly reviewing insurance policies and shopping around for the best rates can also help to manage these costs.

Logistical Challenges of Small Fleets

As a fleet manager, you need to operate efficiently to remain competitive. Here are two key logistical challenges you face in this department.

Fleet Maintenance

Keeping vehicles in good condition is essential to avoid unexpected breakdowns and maintain smooth operations.

Small fleet managers need to establish a strict maintenance schedule and use tools like maintenance software to track vehicle health. Educating drivers on pre-trip inspections can also help catch issues early, preventing costly repairs and extended downtime.

Dispatch and Communication

Efficient dispatch and clear communication are critical for keeping operations running smoothly.

Small fleets often struggle with limited resources for real-time tracking and communication. Without proper tools, it can be difficult to monitor vehicle locations, optimize routes, and respond to unexpected issues like traffic or breakdowns.

Investing in dispatch software with GPS tracking helps fleet managers stay connected with drivers, providing them with real-time updates and route adjustments.

The Importance of Efficient Fleet Management

Efficient fleet management is key to running a successful small fleet operation. It helps reduce costs, improve productivity, and increase profits.

By optimizing routes and schedules, fleets can save on fuel and maintenance expenses. Proper fleet management also ensures vehicles are well-maintained, reducing the risk of breakdowns and expensive downtime.

Good fleet management helps small trucking businesses meet their delivery deadlines, which boosts customer satisfaction and leads to more business.

Overcoming Small Fleet Challenges

Small fleets face unique challenges, like having limited resources and higher costs per vehicle. However, these challenges can be overcome with smart strategies.

Using technology like fleet management software and GPS tracking helps streamline operations and improve communication. Implementing cost-saving measures, such as fuel-efficient driving practices and regular maintenance, reduces expenses.

Investing in driver training and safety programs can lower insurance costs and improve fleet performance.

By addressing these challenges head-on, small fleets can operate more efficiently and compete more effectively in the market.

Final Thoughts

Running a small fleet can be tough, but overcoming fleet management challenges is possible with smart strategies and the right support. Efficient management and a focus on cost-saving can boost your fleet’s success, no matter how many vehicles you’ve got.

If you’re looking for flexible financing to grow or maintain your fleet, get in touch with us at Mission Financial Services. We offer the most convenient truck financing solutions to keep your business moving forward.

Detention Pay for Truck drivers

Truck drivers are paid by the hour or mile, so time on the road directly impacts earnings. Delays, especially detention—waiting for shippers or receivers to release the truck—can reduce income. To offset this, most companies offer detention pay.

But how is it calculated, and can you reduce detention time to maximize earnings? Here’s what you need to know.

Detention Pay: What It Means for Truck Drivers

In trucking, detention pay compensates drivers for time spent waiting at a shipper or receiver’s location beyond a set period, usually two hours. This waiting time, known as “detention,” cuts into drivers’ hours and earnings.

Detention pay helps truckers recover lost income because of delays, such as scheduling issues or slow paperwork. It’s typically charged by the hour, ranging from $25 to $250, with an average rate of $50 to $75 per hour, depending on the contract.

Shippers are usually responsible for detention fees, which carriers add to the shipper’s invoice as an extra charge. However, larger contracts with multiple loads may allow for longer detention times, and in some cases, receivers might also be liable for these fees.

Drivers must provide proof of detention hours for the trucking company to apply the charges.

Layover Pay vs. Detention Pay: What’s the Difference?

Trucking detention pay may seem similar to layover pay because both payments cover truckers for delays, but they’re not the same. The main difference between the two is the reason for compensation and the average rates offered for each payment type.

Layover pay covers truck drivers for delays between shipments and scheduled breaks, whereas detention compensates truckers for extended waiting time at a shipping dock or receiving facility.

On the actual amount paid, layover fees can be a flat fee of $50 to $200+ regardless of the layover’s duration or an hourly rate of $10-$20, whereas the standard detention fee is $50-$75 per hour, as mentioned above.

How Detention Pay Impacts Trucking Operations

The impact of detention extends beyond lost time and possible financial losses for the truck driver and shipper. It reduces productivity and has a trickle-down effect across the board. Loads may have to get rescheduled, increasing the risks of security problems and contributing to other supply chain bottlenecks.

Delays can also hurt the working relationships of various stakeholders, such as carriers and customers. If shippers or receivers increase their effectiveness and reduce their frequency of making detention payouts, they’ll reduce supply chain bottlenecks and improve efficiency along the entire supply system.

How is Detention Pay Calculated?

To determine a fair fee and negotiate fair rates, carriers consider all operating costs, such as fuel, permits, maintenance, and salaries. They then break down their annual operating costs by the number of days they’re in business each year to get their daily operating costs. And divide this further by the hours they operate daily to identify their hourly cost of operations.

For each extra hour a trucker is in detention, a carrier loses money equivalent to their hourly operating costs. The final detention rate negotiated in the contract must cover these costs and any additional expenses a driver incurs while detained.

On the truck driver’s part, calculating detention pay is as straightforward as multiplying the hourly detention rate specified in a contract by the number of hours spent in detention.

For example, if a shipper or receiver detains you for three hours after the agreed grace period, you lose three working hours. So, if your carrier’s detention rate is $75 per hour, your detention pay will be $75 x 3 = $225. That’s $225 compensation as an additional pay to your regular per-mile or per-hour earnings.

Rights and Regulations Around Detention Pay

Currently, no official government regulations around detention pay for truck drivers exist. However, the House of Representatives introduced a bill to standardize the maximum hours shippers or receivers can detain commercial motor vehicle operators.

Also, FMCSA is conducting studies to assess how effective Intelligent Transportation System (ITS) technology is in measuring detention time to determine strategies for regulating detention times.

Securing Detention Pay: Tips for Carriers

Besides cutting into the drivers’ earnings, detention times can reduce a carrier’s profits if they don’t get their detention rate calculations right. Some proven measures carriers can take to secure detention pay and avoid the financial impact of detention delays include:

Ensure the detention fee arrangement is in the load contract and use technology to forward and track invoice payments automatically. It makes collecting the fees a reliable and straightforward process.
Ensure the hourly rate for the fee matches or exceeds the hourly operating costs.
Log all times carefully and have GPS coordinates, so there are detailed records to support claims if needed.
Sometimes, customers may request longer detention grace periods before the fee kicks in. If this happens, weigh the customer’s business value against the company’s needs.
Evaluate a customer’s reputation before accepting load contracts. Some facilities have unnecessarily long wait times, which might lead to cumulative losses.

The Role of Freight Brokers in Handling Detention Pay

Freight brokers help negotiate favorable contracts for shippers and carriers. They’re the only mutual point of contact between shippers, carriers, and receivers. As a result, freight brokers have to stay updated with all parties’ detention policies and rates to:

Facilitate fair negotiations before parties sign a contract
Mitigate disputes that may arise
Ensure all parties keep their end of the bargain

Effective Strategies for Minimizing and Avoiding Detention Time

It’s best to minimize or avoid detention times, for trucking operations to happen smoothly. Detention has a domino effect and can interrupt the entire supply chain. Here are a few practical tips for carriers to reduce or avoid waiting times and thrive. These tips will also come in handy if you’re an owner-operator:

Create open and direct communication channels with all parties involved. Everyone must understand arrival times to prepare for the truck’s arrival and prevent detention times. Open communication also promotes smooth negotiations if any issues arise.
Schedule load pick-ups and deliveries during off-peak hours to avoid congestion and unnecessary delays
Use ITS technology to reliably keep track of time spent in detention, improve efficiency, and increase transparency.
Train drivers on customers’ detention policies and procedures so they’ll know what to do if detention occurs.
Build flexibility into shipping schedules to account for any unpredictable delays.
It might be cheaper for carriers to pay additional labor to load or unload a truck faster and avoid detention. Consider this and make inquiries about it beforehand.
Work with a qualified freight brokerage firm with a reliable network of reputable shippers.

Conclusion

Truck detention is almost always unpredictable. For this reason, adequate detention pay is necessary to cushion carriers and drivers from inefficient loading dock and warehousing operations.

If you’re an owner-operator, ensure your contract outlines all details on detention time compensation. Include your minimum grace period, hourly rate, and any other crucial information before signing it. If you don’t get it in writing, you risk forfeiting detention pay and reducing profits.

For additional tips on how to make the most of your truck driving career, visit our blog. Mission Financial Services offers customizable commercial vehicle loans for owner-operators and can help you grow your business without interrupting your cash flow.

Drivers Knee

Drivers knee is among the most common musculoskeletal conditions affecting professional drivers. It starts as a mild ache on the knee, then gradually turns into a sharp cramp before becoming a persistent stabbing pain that limits knee function.

If you’ve experienced knee pain while driving or after getting out of your vehicle, it could be more than just discomfort. In this guide, we’ll cover the causes and symptoms of “driver’s knee” and offer steps to relieve and prevent it, helping you stay pain-free throughout your truck driving career.

What is Drivers Knee?

Driver’s knee, also called trucker’s or gas pedal knee, is caused by inflammation of the patellar tendon, which connects your kneecap to your shinbone. This leads to knee pain that worsens over time and can eventually make everyday movements like standing, climbing stairs, or driving difficult.

Medically known as patellar tendonitis or patellofemoral pain syndrome, it’s considered a repetitive use injury, meaning the pain builds gradually without a specific incident. Various factors contribute to this condition, but the key is understanding and addressing it early to prevent further discomfort.

Causes of Driver’s Knee

Several factors contribute to the occurrence of jumper’s knee in professional truck drivers, especially long-distance drivers. Some of these include:

Overuse. Driving for long periods requires repetitive pedal work. Constantly pressing the accelerator and brake can strain the patellar tendons and muscles around your knee, leading to pain and inflammation.

Poor posture. Maintaining a poor posture when driving, such as sitting too close to the wheel or slouching, increases the strain on your knee joints, causing pain.

Limited movement. Sitting behind the steering wheel in the same position for several consecutive hours can reduce blood flow to your legs. This leads to stiffness and pain.

Lack of exercise. Inadequate physical activity or not performing exercises that strengthen the muscles supporting your knee joints increases your likelihood of developing knee conditions, including drivers knee.

Incorrect driving techniques. Foot positioning while driving is crucial. Repeatedly using your left foot for braking in automatic cars or keeping it on the clutch in manual vehicles can cause knee pain.

Poor footwear. Driving in high-heeled shoes or those without enough support alters pressure distribution when operating the pedals, causing strain on the knees.

Underlying medical conditions. If you have a pre-existing medical condition affecting your knees, such as rheumatoid arthritis, osteoarthritis, or other previous knee injuries, driving for long periods can aggravate the pain.

Vehicle vibrations. Constant exposure to vehicle vibrations, more so in poorly maintained cars, often resonates through the seat, causing strain on your knee joints with time.

Symptoms of Drivers Knee

Because it’s a condition that develops over time, trucker’s knee manifests itself in various ways. Recognizing the symptoms in good time is crucial to its successful treatment. Here are the most common symptoms to watch out for:

Localized pain. One of the earliest symptoms of driver’s knee is localized pain around your kneecap or at the front of your knee joint. The pain can be dull or sharp, and its intensity will increase, ranging from mild to severe.

Swelling. Visible swelling around the knee area, accompanied by warmth, is a sign of inflammation in your knees.

Stiffness. Moving your knee after long drives becomes challenging, indicating stiffness.

A popping or grinding sensation. You might hear a grinding or popping sound when you move your knee after driving.

Limited knee flexion. You’ll experience a limited range of motion on the affected knee.

Intense pain that aggravates when pressing the driving pedals.

Treating Driver’s Knee

Knowing how to manage or treat knee pain from driving is essential since you’ll spend several hours behind the wheel throughout your trucking career. Some practical measures you can take to alleviate knee pain successfully include the following:

Take a break

If you start noticing any of the symptoms above, take a break from activities that could worsen the injury and give your body time to heal. Avoid activities requiring rigorous knee movement, such as running, jumping, and climbing.

Wear supportive footwear

Invest in supportive and comfortable shoes that offer stability and enough arch support. It’ll minimize the impact of repetitive use of the pedals when driving.

Perform light stretches

Light stretches can help alleviate knee pain by improving blood circulation and promoting flexibility in the affected area. These stretches gently loosen tight muscles and reduce strain on the knee joint, aiding recovery and preventing further discomfort.

Use The RICE Method

RICE is an acronym for rest – ice – compression – and elevation. If you experience knee pain from driving, lie down after a long drive, ice the area for 15-20 minutes to reduce inflammation, then elevate your knee to relieve the discomfort.

Seek out physical therapy

A physical therapist will massage the affected knee to ease the pain and create a plan to help you improve your knee health.

Consult a healthcare professional

If the pain persists or intensifies, seek medical advice from your doctor. They might prescribe pain medication or recommend appropriate treatments tailored to your situation.

Tips for Preventing Drivers Knee

Once you recover from patellar tendonitis, consider taking additional measures to strengthen your knees and prevent reoccurrence. This requires making healthy life adjustments and prioritizing your knee health. Below are some tips to help you with this:

Frequent Breaks

Take frequent short breaks, preferably every 1-2 hours, and stretch your legs to remove any tension on your knee joints, reduce stiffness, and improve flexibility. Take a short walk or perform light stretches.

Make ergonomic adjustments

Make the correct ergonomic adjustments to keep your spine neutral and reduce knee strain. For this, you can:

Adjust your driver’s seat or replace it with another designed to offer maximum back support and ensure proper positioning when driving. Check out our guide on the best seats for semi-truck drivers for suggestions.
Use additional seat cushions with adequate padding to distribute pressure evenly throughout your body. Here are our suggestions on the best semi-truck seat cushions.

Fix Foot Pedal Placement

Ensure your foot is in a natural position when pressing and releasing the pedal. You want to avoid excessive angling and maintain a proper knee alignment to minimize knee strain.

Do Regular Knee Strengthening Exercises

Regularly perform exercises that target strengthening the muscles around your knees, including leg presses, lunges, squats, and calf raises. Consider increasing the duration and intensity of your workouts to increase knee stability and minimize any risks of future injuries.

Doctor Checkups

Visit your doctor for regular checkups and personalized advice on maintaining your knee health and overall wellness as a truck driver.

Final Thoughts

If left untreated, drivers’ knee can progress into a severe medical condition referred to as chondromalacia patella, where the cartilage in your knees deteriorates, leading to large tears, increased pain, and potential mobility loss. To prevent this, early diagnosis is crucial.

Watch out for the signs and symptoms above, and try not to take too long to seek professional help if you notice or feel the signs.

For additional tips on maintaining your health and wellness as a professional trucker, visit our blog. You may want to start with these guides on staying fit and maintaining a healthy lifestyle.

What Are Freight Accessorial Charges?

Transporting goods involves more than simple pickup and delivery. Freight carriers often face challenges requiring additional services, such as extra labor, time, fuel, or special equipment, leading to freight accessorial charges.

This guide covers what these fees are, why they’re charged, the different types, and how to plan for them. It also offers tips for carriers to optimize their work and shippers to reduce costs by avoiding unnecessary fees.

What are Accessorial Charges?

In the transport and logistics industry, accessorial charges are fees freight carriers bill shippers for services that exceed the basics of moving goods from one point to another. These include any additional services required to complete load deliveries, such as:

Unpacking
Using liftgates
Covering non-commercial destinations
Inside and residential pickups or deliveries
Fuel surcharges
Detentions
Appointment fees
Reweigh charges

Typically, the base rate does not include accessorial fees, freight carriers add them to the final bill for unexpected services.

However, some can be planned and included in the initial invoice. These fees are most common in less-than-truckload (LTL) shipments but can also apply to full truckload (FTL), small parcel, and intermodal shipments.

Reasons for a Freight Accessorial Charge

Freight carriers charge accessorial fees for several reasons. But they all fall under three major categories–equipment, in-transit, and administrative oversight.

Equipment: Accessorial fees apply when special equipment is needed for safe loading, delivery, or transport, especially if not arranged in advance. These fees cover the time spent adding and using the equipment.

In transit: In-transit accessorial charges cover extra labor needed after pickup, during transport, or at delivery. Fees may apply for redelivery, out-of-route miles, layovers, or limited access. The fee depends on how long the issue delays the shipment.

Administrative: a transportation provider can charge extra fees for administrative mistakes, especially bill of lading (BOL) errors. The accessorial fee charged usually covers the time taken to correct the mistake.

Common Accessorial Charges

There are over 20 types of accessorial fees charged by freight transportation carriers. Understanding these charges is crucial to ensure you’re well-compensated for the services you provide as a carrier.

It’s critical for shippers to understand these charges so they understand the extra charges they may receive from a transportation provider and minimize them. Here are the most common accessorial charges worth noting:

Detention

A detention fee applies if a shipment gets held up for too long at the pickup or final destination after a truck driver shows up at the required time. Often, detention fees get charged per hour. They accumulate when the consignor or consignee takes their time to load or unload the trailer, and the driver has to wait onsite longer than the agreed time.

Truckers get paid per mile and have to work within specific hours-of-service regulations set by the Federal Motor Carrier Safety Administration (FMCSA). If they wait onsite for a long time, they lose income. Detention charges allow truckers to get compensated for any time lost during this waiting period. They can be between $50 and $75 per hour or more.

Layovers or Re-delivery

Layover and re-delivery fees are common accessorial charges. Layover fees apply when a load isn’t ready at the scheduled time, while re-delivery fees apply when a shipment must be delivered again.

Lack of equipment or route issues can cause delays, leading to productivity losses. These fees, typically ranging from $250 to $500, help offset those losses and vary based on the equipment used..

Truck Ordered Not Used (TONU)

A shipper can place a truck order and not use it. If this happens, and the truck order gets canceled after the pre-established cut-off time stipulated in the contract, TONU accessorial charges apply. These charges range from $200 – $600 or more for a specialized trailer order.

Over-Dimensional (OD) Cargo

Over-dimensional cargo charges cover overweight, oversized, or over-length freight. These fees kick in if your freight exceeds the standard legal dimensions specified in various federal, state, and local government regulations.

Most states allow a threshold of 8ft 6 inches tall, 8ft 6 inches wide, 53ft lengthwise, and 80,000 pounds gross weight. You’ll have to get special permits to transport cargo above these dimensions. OD accessorial charges cater to the expenses of getting these permits and the premium charges of trucker expertise needed to transport OD cargo.

The exact costs you can charge as an OD accessorial charge vary based on several factors, including size of the cargo, transport distance and the states you pass through.

Tarp Charge

Tarp charges come into play if you’re moving goods on an open-deck trailer and must protect them from unexpected weather changes or other elements. Tarps are heavy equipment that takes time to incorporate. The charge compensates drivers since they won’t be earning during tarping.

Tarp charge cost estimates range from $100 to $150 but could be higher depending on the size of the cargo being tarped and weather, among other factors.

Re-consignment

Re-consignment charges apply when a freight’s final destination changes once the load is in transit. This may happen because the shipper provided an incorrect address or they prefer a new freight delivery destination.

The cost varies significantly depending on how far the new destination is from the initial one, but it follows the rate per mile established in the original quote.

Hazmat

It costs carriers more to move hazardous materials because the Department of Transportation requires the driver and equipment to meet specific requirements. Hazmat accessorial fees cover these costs.

These extra charges are added to the initial quote if the hazmat requirements are known. If not, they’re included in the final bill.

Tanker Endorsement

According to FMCSA, truck drivers transporting large volumes of liquid loads (more than 1,000 gallons) in dry van trailers must have a tanker endorsement. Tanker endorsement fees cater to this requirement. It’s often included in the original quote if communicated upfront.

Excess Cargo Insurance

Moving some high-value loads requires cargo insurance that surpasses the industry standard of nearly $100,000 worth of freight coverage. Excess cargo insurance accessorial fee takes this into account. Its rates vary greatly based on three main factors:

Type of commodity
Number of miles the freight needs to go and the lanes used
Value of cargo

Special Equipment

Special equipment charges cover the costs and labor of adding specialized equipment to protect cargo during transport and delivery.

The equipment can be excess straps in van trailers, edge protectors mainly on open-deck trailers, blankets, pad wraps, load bars, dunnage, decking, and pallet jacks. Special equipment costs vary based on the type and number of equipment required.

Out-of-route Miles

These charges apply if a transportation provider offers additional services that take more than ten miles beyond the contracted rate.

Stop-off Charge

Stop-off charges come into play if the load has to be delivered to more than two locations. The carrier has to make several stops to pick up or deliver goods to multiple destinations.

Driver Assist

Loading or unloading a trailer is beyond a carrier’s overall job duties. If a truck driver has to assist with these services, they charge for the additional labor separately. Driver assist charges vary according to the services offered.

For instance, asking a trucker to carry a pallet jack to a truck’s back end might fetch a lower fee than asking them to unload the shipment by hand and move goods inside a building.

Lumper Fees

Instead of truckers performing the loading or unloading duties, most large distribution warehouses hire well-trained third-party laborers, often called lumpers, to do the work. Carriers pass the lumper fees on to shippers.

Fuel Surcharge

Fuel surcharges appear on almost 93% of freight transportation bills. They offset the rising fuel prices. For this accessorial fee, billing occurs at a variable rate following the weekly updates on the Energy Information Administration (EIA)’s website.

How to Avoid Paying Extra for Accessorial Fees

While most accessorial fees are unavoidable, there are some steps shippers can take to minimize these extra costs and lower shipping costs. A few of these include:

Automation. Automating shipping execution limits human errors and improves accuracy in shipping process compliance. It prevents administrative errors, such as incorrect classifications or bill of lading mistakes, lowering accessorial charges.

Prioritize end-to-end shipping visibility. Doing this helps to identify and mitigate issues. End-to-end shipment visibility generally involves anticipating the equipment required for a shipment loading and unloading, coordinating delivery and unloading times with the receiver, and limiting any additional fuel or time spent on each trip.

Double-check shipment details with a carrier. Confirming the accuracy of shipment information with a carrier, particularly the precise size, weight, and other legal dimensions when booking a shipment, can minimize accessorial costs.

Final Thoughts

For freight carriers, accessorial charges provide extra revenue, but for shippers, they increase costs. While shippers can reduce these fees, carriers must understand the supply chain to plan and bill accurately, ensuring fair compensation. This includes knowing the shipper’s facilities, the products, and the receiver’s logistics..

For more information about the transport and logistics industry, including how it works and ways you can navigate its systems profitably, visit the Mission Financial Services blog.

Pre-trip Inspection Checklist For Truck Drivers

Conducting pre-trip inspections is essential for your safety as a truck driver and the safety of all road users. That’s why the Federal Motor Carrier Safety Administration (FMCSA) provides pre-trip inspection checklist standards all commercial driver’s license (CDL) holders must adhere to before hitting the road.

Usually, meeting FMCSA’s pre-trip inspection standards involves a few steps and might take approximately 10 -15 minutes minimum. If you’re wondering what a pre-trip inspection checklist is and why it’s important, read on to learn more.

What is a Pre-Trip Inspection Checklist?

The Department of Transportation (DOT) pre-trip checklist is an essential tool for Class A and Class B commercial driver’s license (CDL) holders to review before operating their vehicles. It is a guide to help you inspect various parts of your commercial vehicle and ensure it’s in proper working order before heading out.

The specific items on a pre-trip checklist can vary depending on the type of commercial vehicle and its intended use. For commercial trucks, the checklist covers nearly all components, accessories, and systems, including the truck, trailer, and cargo.

For Class A CDL holders, the checklist focuses on towing systems, such as the trailer parking brake and coupling areas, and typically extends to the trailer, flatbed, or other towed items. In contrast, the Class B CDL checklist emphasizes systems and parts for non-towing commercial vehicles.

Both Class A and Class B checklists share common items, including checks for brake lights, oil levels, front and rear suspension, and minimum brake pad thickness, among others.

Importance of a Pre-Trip Checklist?

A thorough inspection checklist streamlines the pre-trip process, ensuring careful and consistent vehicle assessments without missing details. It also simplifies completing required inspection reports, which is crucial for several reasons:

Safety–well-performed pre-trip inspections help you identify potential mechanical issues early. Detecting and resolving mechanical problems in time ensures your truck is safe to drive. It also minimizes delays from unexpected vehicle breakdowns.

Compliance–FMCSA provides specific vehicle inspection regulations commercial drivers must follow to ensure their vehicles are in peak condition for maximum road safety. Failing to comply with these regulations or performing incomplete pre-trip inspections might lead to penalties and affect your Compliance, Safety, and Accountability (CSA) score.

Low CSA scores can increase insurance premiums, leading to high operating costs.

Maintenance– routine pre-trip inspections ensure proper vehicle maintenance. You’ll prolong the vehicle’s lifespan and avoid costly repairs later.

Company reputation–proper adherence to all federal inspection regulations demonstrates your commitment to safety and professionalism. It leaves a positive impression on customers and other industry stakeholders, boosting your company’s reputation.

What to Include on a Pre-Trip Inspection Checklist

Commercial trucking companies may prepare their own pre-trip inspection checklist, adding their expectations and twists to the pre-trip inspection procedure. However, all processes must follow the federal pre-trip inspection checklist criteria.

A standard legal pre-trip inspection procedure should include the following steps and elements.

Step 1: Examine The Engine Compartment

Examining the engine compartment involves assessing the condition of various components. These include:

Fluids–Check the oil and power steering fluid levels using a dipstick to ensure all fluids, including oil and coolant, are at the proper levels. Inspect hoses and reservoirs for leaks, and look beneath the truck for any fluid stains, which could indicate leaks of fuel, oil, coolant, or brake fluid.

Belts–thoroughly inspect all belts for pumps, alternators, and compressors to ensure they have no cracks or frays. Also, confirm they’re in place, giving no more than half an inch of play.

Other components to pay close attention to and ensure they’re securely mounted and in excellent condition inside the engine compartment include:

Air compressor
Radiator
Alternator
All pumps, including the water pump and power steering pumps
Wiring

Step 2: Inspect the Front Parts of Your Commercial Vehicle

Front-of-vehicle inspection checklist items often include checking parts of your steering equipment, such as:

Steering box–check the steering box to ensure it is intact. All connected hoses must be properly mounted without any power steering fluid leaks.
Steering column or steering shaft–this should be straight.
Drag link–check whether the rubber is well-greased and uncracked.
Tie rod plus control arms–both must be straight.
Pitman arm–confirm if all the caste nuts and cotter pins are present and secure

Step 3: Check The Front Suspension Systems

This includes examining the following parts:

Spring mounts and hangers–ensure the spring mounts hold all spring hangers securely in position. Look for signs of cracks, wear, or breakage that might compromise their performance.
Shock absorbers–check for splits, leaks, or dry rot within the rubber. Focus more on the sections where the top and bottom parts overlap because most leaks occur here.
U-bolts–confirm if all bolts are secure and tightened around the springs and axle.

Step 4: Inspect the Brake System

Your commercial vehicle’s brake system is one of its most essential parts. Take your time to examine the entire brake system and perform several brake tests as outlined below:

Brake linings and pads–the brake pad’s minimum thickness should be a quarter of an inch. Also, examine the linings for any debris.
Air brake hose–ensure the line is properly connected and has no cuts or splits. You also want to confirm there is no air leak from the hose.
Brake chamber–the brake chamber must be sealed completely. There shouldn’t be any audible air leaks.
Brake drum–look at the color of the brake drum. If blue, it indicates excessive heat and might need further scrutiny.
Hand brake–your system’s push rod should have an inch of play (not more) on either side and stand at 90 degrees when pulled.

You may need to perform a 9-, 7-, or 5-step brake test to inspect all brake components accurately.

Step 5: Examine the Lights and Reflectors

Inspect your lights and reflectors to ensure they’re all in perfect working condition and are clear of debris. The pre-trip inspection checklist items you’ll have to go through here include:

High and low beams
Brake lights
Turn signals
4-way emergency flasher function
License plate lights and running lights
Reflector and DOT tape–ensure these are clean

Step 6: Inspect the Mirrors and Windshield

For this step, be keen to check the following:

External mirrors plus mirror brackets–confirm if all external mirrors are clean and do not have any cracks or obstructions. They should also be attached to their mirror brackets firmly and well-adjusted to provide a proper rear view.

Windshield–there shouldn’t be any cracks more than one inch. Also, run your windshield wipers to ensure they work and check that you have adequate windshield washer fluid.

Step 7: Conduct A Battery and Trailer Coupling System Check

This step involves inspecting the fuel tank, battery area, and trailer coupling system.

Ensure the battery is properly charged and that all key components, such as the exhaust system, suspension, electrical connections, and coupling mechanisms, are secure, undamaged, and free of leaks. Check that everything is in good working order before continuing.

Step 8: Check the Wheels and Tires

To perform wheel and tire inspections properly, check the inflation levels and examine the overall tire condition, particularly tread depth. Some of the most important sections you must pay attention to closely are:

Driver and steer tires–ensure the tire tread is even, and the minimum tread depth on drive tires is 2/32”, while that of steering axle tires is 4/32”. The treads and sidewalls shouldn’t have cracks, bulges, or abrasions.
Axle seals and hub seal–the axle seal and hub seal should be intact with no leaks
Wheel rims–there shouldn’t be any illegal welds or unauthorized repairs on the rims.
Dual spacing–ensure there’s enough space between any dual tires
Lug nuts and bolts–these components should be intact in their lug bolt holes.
Valve stem–confirm there are no audible air leaks in the valve stem.

Step 9: Inspect the Trailer

Inspect the trailer to ensure all key components, such as the headboard, doors, and mud flaps, are structurally sound and securely mounted. Check for any signs of damage, such as cracks, holes, bends, or missing parts, and ensure everything is intact and functioning properly.

Step 10: In-cab Inspection

Ensure all in-cab components are undamaged and functioning properly. This includes checking the steering wheel, seat belts, pedals, gauges, horns, fuse box, parking brake, heater, and defroster to confirm they are all in working order.

Step 11: Inspect the Rear of the Vehicle

Before connecting your truck to the trailer, inspect the rear end to ensure the brake chambers are undamaged, shocks and airbags are intact, and the driveshaft is clean, with no debris in the U-joints. Verify that the frame is sturdy, the fifth wheel is well-greased, and the fuel tanks are free of leaks.

Step 12: Check the Emergency Kit

Truck drivers must carry an emergency kit as required by DOT regulations, including a fire extinguisher, warning devices, and spare fuses. During your pre-trip inspection, confirm the kit is complete and functional, including items like warning flags, reflective triangles, a safety vest, first-aid kit, jumper cables, a flashlight, strobe lights, and extra batteries.

How often should I perform a pre-trip inspection?

According to FMCSA’s current regulations, all truck drivers must perform and log in at least one thorough inspection in their hours of service daily. The pre-trip inspection should happen before each haul. You must also complete an inspection report if you find any defects during your inspection.

Final Thoughts

Thorough pre-trip inspections and regular truck maintenance significantly reduce road accidents and enhance safety. By following the provided checklists, you can ensure your pre-trip inspections meet legal requirements.

For additional safety tips and to further improve your practices as a commercial truck driver, visit our blog. If you find defects that need immediate repair during your inspections, reach out to us for financing options. We offer affordable commercial truck repair loans to help you keep your truck in excellent condition without disrupting your business’s cash flow.