How Does the Cost Per Mile Calculator Work?

First we take into consideration, the price per gallon and divide it by the trucks average miles per gallon: 

PPG / Truck MPG = A

Then, we also want to calculate the insurance premium cost per month and divide that into the total number of miles driven:

insurance premium cost / miles driven = B

We also want to take into account the worker’s comp. insurance and/or the accident insurance cost per month, we’ll label this WCI, and we’ll also want to divide that by the miles driven:

WCI / miles driven = C

You’ll also want to check on the cost of your truck and trailer monthly and divide that by the number of miles driven:

(truck cost + trailer cost) / miles driven = D

Repair costs are also important to consider and what that means per mile:

repairs / miles driven = E

We will want to consider any annual overhead beyond the actual trucking itself, like paying for an accountant / book keeping,  regulation fees, and subscription payments like your ELD, cell phone, etc. and divide that number by 12 (to get a monthly breakdown):

((accounting + IRP + subscriptions) / miles driven) / 12 = F

Once we have these all of these calculations complete, we add them together to get our average cost:

A + B + C + D + E + F + drivers wage = average cost per mile

Please note: our tool is meant to give you a rough estimate of the cost per mile. There are many other factors that will play into the full cost, things like the weight of your load and vehicle, the route you have to take to deliver a load and more.