FSC - is this legal?!?!

Discussion in 'Experienced Truckers' Advice' started by griemar, Oct 30, 2015.

  1. griemar

    griemar Bobtail Member

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    First, I'm sorry if this is posted to the wrong section. I need advise though regarding FSC. I work for a very small company that I'll leave unnamed currently. We are paid percentage of the load MINUS FSC. The FSC ranges between 12 to 14% a week. The problem is, the #'s have never added up... Until now. Here is as brief example:

    My truck made $2806.70 this past week. The FSC for the week was 12%.

    Now my math would say that $2806.70 - $336.80 (12%) ='s $2469.90 Gross to the truck. This is NOT how their math works. Instead, I've discovered that they appear to be imposing their own FSC. This is instead what my settlement reads:

    Load Pay - $2505.99
    12% FSC - $300.71
    Truck Gross - $2806.70

    To me, this looks as if they are applying their own FSC to skim off of the actual gross. We are paid off the LOAD PAY and not the gross. Is this legal? Can a company who pays as a legit W-4 Employee, charge them a FSC as if they were a 1099 contractor?

    Also, if this isn't legal, can anyone steer me to the regulations that prove this.

    Thanks
     
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  3. double yellow

    double yellow Road Train Member

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    You're a company driver?

    If so, you should not expect to earn a fuel surcharge unless you're paying to fill the tanks...

    I've never seen fsc as a percentage, but there is nothing illegal about it. Their math is fine -- $2806.70 / 1.12 = $2505.99. You would rather be paid 25% of $2505.99 than 25% of $2469.90, right?
     
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  4. w.h.o

    w.h.o Road Train Member

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    I thought fuel surcharge wasn't require by law but like an incentive for drivers. Most companies pay 100% fuel surcharge but it's up to them
     
  5. Big Papaxx

    Big Papaxx Medium Load Member

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    This is from a post by Trucker Justice about a class action suit as you will read. Not sure if you are company or lease op. if you are lease then I would go to the Truth-in-leasing regulations.

    I am back in Houston this week for more depositions in our class action case wherein we have alleged that a trucking company skimmed a percentage off the linehaul charges, before calculating the owner-operators' percentage compensation. We allege that inn doing so the trucking company violated the DOT's Truth-in-Leasing regulations.
     
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  6. CJndaTruck

    CJndaTruck Road Train Member

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    Your doing your math backwards. Lol
     
  7. CJndaTruck

    CJndaTruck Road Train Member

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    Ok per you you get a % of the gross minus FSC.

    They are saying the load paid $2806.70.
    The FSC was $300.17.
    And you will get your percentage from the load pay of $2505.99

    The 12% is calculated from load pay and not gross pay in this example. It's a screwy way of showing it but if anything, the fact that they are breaking it down for you is a good thing. They could just say you get $625.24 and leave it at that (if you get 25%)
     
  8. griemar

    griemar Bobtail Member

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    Jan 12, 2014
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    To clarify, yes I am a company driver. I earn 29% of the load. If my math was incorrect, thanks for showing me that. I wanted to make sure of things.
     
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  9. CJndaTruck

    CJndaTruck Road Train Member

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    No worries. Accountants have a funny way of making all numbers look hard and confusing. And honestly it's a good thing they are trying to break it down for you. They probably break out the FSC for you because it's one of those items that every customer pays a different rate for (although it's really not a percentage of the load).
     
  10. DrFlush

    DrFlush Road Train Member

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    The company I am leased to does have a couple direct freight customers who pay FSC as a percentage, not real common but it is out there. Still far better than what the Government is paying anymore.
     
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  11. CJndaTruck

    CJndaTruck Road Train Member

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    LOL I was trying to keep it simple so that we were not breaking out slide rulers trying to show how a shipper could pay a percentage based on the DOE national or regional avg. cost per gallon *yawn* resulting in.........
     
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