How it's worked out
trip cost = cost per mile × (loaded + deadhead miles) break-even per mile = trip cost ÷ loaded miles rate for margin = trip cost ÷ (1 − margin) rate per loaded mile = rate for margin ÷ loaded miles
Why per loaded mile
Rates are quoted per loaded mile, but you pay for every mile. Spreading the deadhead over the loaded miles shows the rate you actually need.
Margin is not markup
A 15% margin means 15% of the rate is left after costs. That takes the trip cost divided by 0.85, not multiplied by 1.15. On a $2,130 trip the difference is $56.
Pricing off a real number
The cost-per-mile review gives you break-even rates for your own lanes, built from your books.
About the reviewEstimates only. Not financial advice.