Read on for details on the cost of box truck loads, amongst other things.
Are you interested in establishing a box truck owner-operator business?
Are you wondering what box truck businesses entail and interested in knowing load pays estimations? If you’re reading this, you’re at the right place.
Here, the objective is simple; to provide the information you need to start your box truck business.
Before seeking loads for your truck, you’ll need to know the pricing to determine how profitable your operations will be.
Box Truck Pay Loads Vary Widely
In seeking to find answers to the question captured by this article’s topic, we must first acknowledge that box truck load pay isn’t uniform across the board. In other words, there are vital variations associated with such loads.
These can also be identified as factors affecting box truck payloads.
So, what exactly are these factors? There are several that include company policies, time, services, and kind of equipment & load, as well as freight lane.
Pay for box truck loads can also be affected by distance and bonuses.
Let’s delve into each of these factors to learn more.
i. Company Policies
Company policies are likely to play a significant role in determining how much you get paid when it comes to the pay for box truck loads. Rates may also vary by industry.
Here, pay may be freight based or follow a payment-per-stopover model. Compensation for delays may also apply.
Here, this may follow an hourly basis, may have a fixed rate, or such pay may be determined by the organization you work for. In any case, you’re compensated based on the company’s policies.
You’ll need to know this before joining the company.
ii. Time
Box truck load payments can also be time-based.
Here, we’re looking at hourly or daily payment basis. Hourly pay tends to be familiar as companies pay workers for time clocked.
Daily payments cover the money for meals and other expenses daily.
iii. Services
The company policy determines the range of services as well as applicable pay. Also, other closely associated activities may apply that vary in complexity.
You get paid for good maintenance. Examples of such services include haulage after regular work hours and cargo handling.
More box truck services you may be paid for include stretch wrapping pallet loads, payment for tolls on the way, tarping loads on flatbeds, and managing forklifts.
iv. Kind of Equipment and Load
The type of load also determines the paid one receives. Less-than-truckload, also called LTL, allows you to consolidate several freights to fill the truck capacity.
Hotshot loads are yet another type that requires faster transportation. Using load boards, you can find your way to your kind of load.
The pay earned depends on the type of equipment used. There are varying types, including 4/4 trucks with gooseneck, cargo pickups, and various other vehicles.
v. Freight Lane
Your freight lane can determine the amount earned.
Typically, the right freight lane fetches you more profit while helping with effective time utilization. You can get quotes for ten loads and calculate the average cost to grasp the earning potential better.
This calculation means you arrive at the average cost per mile for one direction on a specific lane. The exact process is followed for calculating the opposite route.
vi. Distance
Pay per distance is one of the common ways box truck load pay is calculated.
Three of the most common charge rates per mile are hub miles, the most direct route, and household goods miles (also called HHGM). Each of these charge rates has its interpretations.
Hub miles refer to the distance the truck covers using meter measurements alongside the time of service, stopovers, and alternate passages.
The most direct route involves the most common distance traveled from the starting & target points. This (the most natural way) is monitored using an online mapping system.
vii. Bonuses
The bonuses offered by an organization also determine box truckload pay.
Different organizations have all kinds of bonus provisions in place to reward drivers. These bonuses boost the company’s profit margins through increased driver commitments.
Speaking of bonuses, two main kinds are available: the security bonus and the gas bonus. There may be other types depending on the company or organization.
For a security bonus, you’re paid for good freight handling.
What is this about? Here, companies seek to promote the safe management and handling of cargo during transportation.
This impacts their box truck profitability, hence the need for problem-free delivery or distribution of cargo. With a security bonus, drivers are incentivized to ensure safe transportation and handling of products.
As mentioned earlier, the gas bonus determines your box truckload pay. This is a standard practice among companies as they seek to improve the gas mileage of trucks.
The savings on gas mileage is shared in rewards by these companies.
Average Pay for Box Truck Loads
Our discussion has provided a better understanding of how box truck loads work and the factors affecting the pay.
Now, how much you get paid depends on the type of driver or position you hold. Plus, drivers are paid varying hourly wages.
An owner-operator box truck driver receives an average wage of $115/h, while the locum owner-operator truck driver receives around $101/h. Telecommute owner-and contract owner-operator truck drivers earn average salaries of $99 each per load.
Where you live or run your business will significantly impact your earnings per box truckload. Some cities attract higher living costs than others.
Such cities expect a higher pay-per-box truckload than cities with lower living costs.
There you have it! Box truck loads may vary widely based on the realities discussed above. You’ll have to find out what a company offers and compare it to others to have a clear idea.