Introduction to Freight Accessorial Charges
The transportation landscape is complex, and understanding the various charges that can affect your shipping budget is vital. One such aspect is freight accessorials. These additional fees can often surprise shippers, especially when they are not properly understood or managed. This guide will help you decode these charges and provide insight into how they can impact your overall transportation costs.
Common Freight Accessorial Charges
Among the most common accessorials are residential fees, delivery area surcharges, address corrections, reweigh charges, detention fees, layover costs, limited access fees, and peak surcharges. Each of these charges serves a particular purpose:
- Residential Fees: Charged for deliveries to residential addresses.
- Delivery Area Surcharges: Applied when deliveries are made to remote locations.
- Address Correction: Fees incurred for correcting shipping addresses.
- Reweigh Charges: Occur when the freight weight at the time of shipment differs from the billed weight.
- Detention: Applies when the driver is delayed at the pickup or delivery point.
- Layover Charges: Fees for overnight waits.
- Limited Access: Charges for locations that are hard to access.
- Peak Surcharges: Implemented during busy shipping seasons.
Strategies for Auditing Accessorial Charges
To avoid unnecessary expenses, shippers should routinely audit their accessorial fees. Focus on three charges that typically offer the most potential for recovery: reweigh charges, address corrections, and detention fees. Implement operational changes such as improved address verification processes, accurate weight tracking at the point of shipment, and efficient dock scheduling to prevent these charges from reoccurring.
Moreover, consider investing in freight audit software, which can provide detailed insights that traditional spreadsheets might miss. Such software can identify trends in accessorial charges, enabling better negotiation on base rates and enhanced control over transportation budgets.
