Fuel Surcharge
An additional charge added to freight rates to offset fluctuating diesel fuel costs.
Definition
A fuel surcharge (FSC) is a variable charge added to the base freight rate that adjusts weekly based on the national average diesel price published by the DOE. Most FSC schedules add approximately $0.01 per mile for every $0.05 increase in diesel price above a baseline (typically $1.20-$1.50/gallon). For owner-operators, ensuring FSC pass-through from brokers is critical to profitability.
Why it matters to you
Fuel surcharge exists so a diesel spike does not wipe out the rate. As an owner-operator, the question is whether the surcharge is passed through to you in full, in part, or absorbed by the carrier — that single term can decide whether a lease is workable. Ask how it is calculated and how often it resets before agreeing anything.
FAQ
What does Fuel Surcharge mean?
An additional charge added to freight rates to offset fluctuating diesel fuel costs.
Why does Fuel Surcharge matter to a driver?
Fuel surcharge exists so a diesel spike does not wipe out the rate. As an owner-operator, the question is whether the surcharge is passed through to you in full, in part, or absorbed by the carrier — that single term can decide whether a lease is workable. Ask how it is calculated and how often it resets before agreeing anything.
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