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EXPRESSWAY DISPATCHING ACADEMY

Free Lesson 4

FREE CLASS • LESSON 4

Rate Math, Deadhead & Negotiation

Learning goal: Calculate realistic gross revenue per all miles.

  1. All miles = empty miles to pickup + loaded miles + expected repositioning miles. Gross rate per all miles = offered freight pay divided by all miles.
  2. Example: $1,350 offered, 60 empty miles, 450 loaded miles and 30 repositioning miles. All miles = 540; gross rate = $2.50 per all mile.
  3. Gross revenue is not profit. Compare the offer against fuel, driver pay, insurance, tolls, maintenance, equipment payments and time.
  4. Negotiation script: “Thank you for the offer. With the deadhead, appointments and liftgate service, our carrier needs $1,550. Is there flexibility in the rate?” Never claim an unapproved rate is accepted.
Student practice assignment — open

Calculate the gross rate per all mile on $1,800 for 600 loaded miles, 75 deadhead and 25 repositioning. Then write a respectful counteroffer.

Check your practice answer

700 total miles; $1,800 / 700 = about $2.57 per all mile.

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