Rate Confirmation Checklist: 10 Hidden Fees to Look For
Stop leaving money on the table. A practical checklist of 10 hidden broker fees in rate confirmations — with what to look for, how to calculate the overcharge, and how much brokers typically overcharge on each.
Before You Accept Any Rate Confirmation
A rate confirmation is a legally binding contract. Once you sign (or accept electronically), you've agreed to every line item. Take 3 minutes to review before accepting. TruckerProfit does this automatically, but here's the manual checklist every owner-operator should know.
вђ 1. Fuel Surcharge Below $0.50/mile
With diesel at $5.38/gal and an average of 6mpg, the fuel surcharge should be approximately $0.70/mile using the DOE formula. If it's below $0.50/mile, you're subsidizing the broker's fuel costs. Overcharge: $100-200 per 1,000-mile load.
вђ 2. Broker Fee Over 10%
The industry standard is 5-10%. Anything above 10% needs justification from the broker. Above 15% is predatory. Overcharge: $75-250 per load depending on total rate.
вђ 3. Lumper Fee Marked Up Over 10%
Compare the lumper fee against the actual receipt. Markups of 30-50% are common. If they won't share the receipt, assume it's marked up. Overcharge: $40-80 per load.
вђ 4. Detention Rate Under $35/hr
Industry standard for detention is $45-65/hour. If it's below $35, the broker is short-paying. Overcharge: $20-40 per detention hour.
вђ 5. 'Administrative' or 'Processing' Fee
There's no such thing as a standard admin fee in trucking. This is a fake line item. Overcharge: $25-100 per load.
вђ 6. Multiple Fee Lines
If you see 'broker fee' AND 'service fee' or 'commission fee' — that's double-dipping. Overcharge: 5-10% additional.
вђ 7. 'Miscellaneous' or 'Adjustment' Line Items
No legitimate charge is labeled 'miscellaneous.' Demand a breakdown. Overcharge: $50-200 per instance.
вђ 8. TONU Rate Under $200
Truck Ordered Not Used should pay $200-350 to cover your time and fuel getting there. Lower rates don't cover your costs. Overcharge: $50-150 per occurrence.
вђ 9. 3%+ Quick-Pay Discount
Some brokers offer 'quick pay' (3-day payment) for a 3-5% discount. The standard is 1-2%. Anything above 2% is taking advantage. Overcharge: $50-150 per load.
вђ 10. Rate Per Mile Below Your Operating Cost
Your break-even rate per mile (including fuel, maintenance, insurance, payments, and your salary) should be $1.70-2.20/mile depending on your situation. If the rate per mile doesn't cover this, every mile costs you money. TruckerProfit's cost-per-mile analysis integrates with the Broker Fee Killer to show you exactly which loads are profitable — and which are losing you money.