RATE MATH / OWNER-OPERATOR DECISIONS
Loaded RPM Is Only Half the Story
Dante Griffin explains why the posted rate is only the beginning of a disciplined freight decision.
A load can look strong on the posted rate and still be weak once every mile is counted. At Priority Path Dispatch, I start with a simple question: what does the entire trip require from the truck?
The goal is not to make every load look good. The goal is to show the carrier enough of the real trip to make a clear decision.
Loaded rate versus all-mile rate
Loaded rate per mile divides the gross linehaul by the loaded miles. All-mile rate adds the deadhead needed to reach the pickup.
Using the example shown on the Priority Path website, a $1,100 load moving 215 loaded miles produces $5.12 loaded RPM. Add 42 deadhead miles and the trip becomes 257 total miles, or $4.28 all-mile RPM.
That second number gives the carrier a more complete view. It still is not profit. Fuel, dispatch, insurance, maintenance, tolls, financing, taxes, labor, downtime, and other expenses must also be considered.
The destination matters too
Two loads with the same all-mile rate can create different outcomes. Delivery time, appointment risk, parking, home-time goals, and the quality of the reload market all affect the next move.
A dispatcher should show those tradeoffs instead of treating the posted rate as the whole decision.
Carrier approval stays final
Priority Path organizes the math, fit, timing, broker information, and risks. The carrier decides whether to accept the load. No load should be committed without that approval.
Historical examples are educational and do not guarantee rates, freight availability, revenue, or profit.