No matter what type of business you work for or own, budgeting is always a major consideration. Using couriers can save you time and money, but knowing just that bit of information isn’t everything you need to know. To understand if using a courier will work with your budget, you need to first understand how courier rates are calculated. Costs are calculated by combining two buckets of information: vehicle costs and employee costs.
Vehicle Costs
Vehicle costs are probably the first thing you think of when you think about calculating courier rates. These costs include things like:
- Type of vehicle
- Number of vehicles required
- Price of gas per gallon
- Vehicle miles per gallon
- Miles driven per day
- Insurance per month
- Exterior maintenance of the vehicle
- Communication devices
As you’d expect, the rising costs of gas can have a great impact on what these costs end up being.
Employee Costs
Employee costs involve many different line items. From hourly rates to hours worked, there are many factors that go into calculating these costs.
- Number of drivers
- Hourly rate
- Overtime rate
- Regular hours worked
- Overtime hours
By adding together the vehicle and employee costs, the courier rate is calculated. If you’re interested in finding out the rates of deliveries with Reliable Delivery, use our courier calculator.
