Fuel Surcharge Explained

What is the fuel surcharge formula?

Example: ($6.20 − $2.50) ÷ 6.0 = $0.617/mi, or $524 on 850 loaded miles at October 2026 diesel. Rule of thumb: every $0.06/gal move in diesel shifts the surcharge ~$0.01/mi — the step most DOE-style tables are built on. Note the inputs: your MPG (a 5.5-MPG truck earns a bigger surcharge than a 7.5-MPG one on the same lane) and loaded miles only — deadhead fuel belongs in your base cost per mile, not the shipper's surcharge.

How do you set and freeze a baseline?

Your baseline is the fuel price already inside your base rate — commonly $2.50/gal diesel (or ~$2.10 gas). Write it into every rate confirmation. Float the surcharge with the market; never float the baseline — a floating baseline lets the broker re-argue the base rate every week. Reset the baseline only when you renegotiate the base rate itself.

Which diesel price should a fuel surcharge use?

Use the U.S. EIA weekly on-highway diesel average (eia.gov/petroleum/gasdiesel/ ↗) — the benchmark most contracts reference — not the pump price you saw. Brokers argue pump prices; the EIA number ends the argument. Screenshot the number on the load date and attach it. The calculator syncs the live EIA average automatically and generates the email: baseline, current price, MPG, per-mile math, load total — demanding it as a separate line on the rate con. A surcharge buried in linehaul disappears at the next rate cut; a separate line survives it.

How do DOE-style surcharge tables work?

Most shippers publish a step table instead of doing division per load: every $0.06/gal move in the EIA average shifts the surcharge ~$0.01/mi at 6 MPG. At October 2026 diesel ($6.20, baseline $2.50), the surcharge is $0.617/mi — about 61 steps up the table. When diesel rises to $6.26, the table clicks to $0.63; at $6.32, $0.64. Two things to verify before you trust any table: which MPG it assumes (a 5.5-MPG truck earns more per mile than a 7.5-MPG one on the same table — confirm your contract MPG matches your truck, or the table quietly underpays you) and which price index (EIA national average versus regional — regional tables track your lanes better when spreads run wide). The calculator shows the step count alongside the exact math so you can quote either.

What baseline should you negotiate?

The baseline is the fuel price already baked into your linehaul — and whoever sets it wins the argument for years. Three rules. 1) Never accept a floating baseline. A broker who "updates the baseline monthly" is renegotiating your base rate every month without saying so. 2) Anchor low, freeze in writing. $2.50/gal diesel is the common anchor; whatever you agree, put "baseline $X, surcharge = (EIA current − $X) ÷ Y MPG, separate line" on every rate con. 3) Reset only with the base rate. When linehaul is renegotiated, the baseline moves with it — never alone. Gas runners: set a separate gas baseline (~$2.10 is common) rather than borrowing the diesel number, since the spreads diverge.

What do you do when the broker refuses the surcharge?

Escalate in writing, in this order. 1) Send the math with proof: EIA screenshot dated the load day plus "(current − baseline) ÷ MPG = $/mi × loaded miles = $total" — paper trails get paid more often than phone calls. Use the calculator's copy-paste broker email. 2) Demand the all-in test: if they still refuse, the load must clear your $2.22 break-even without any surcharge in the load profit calculator — with deadhead entered. 3) Walk away and log it. A parked truck costs fixed costs; a cheap load costs fixed costs plus fuel, tires, and your week — and brokers track which carriers accept all-in erosion. Note the refusal, the lane, and the date; patterns beat anecdotes when you choose next month's partners.

Last reviewed October 2026. Method: OOIDA fuel-surcharge formula. EIA prices change weekly — re-check each load.