Understanding Rate Per Mile (RPM) in Trucking

Why RPM Alone Can Mislead

A $2,000 load over 1,000 loaded miles shows $2.00 RPM. Looks fine — but what about deadhead, fuel, tolls, and time?

🚫 Hidden Costs RPM Ignores

• Deadhead miles: Fuel + wear with zero revenue.
• Fuel cost: Your biggest variable expense shifts daily.
• Tolls & fees: Direct hit to your net (not in RPM).
• Maintenance: Tires, oil, repairs — miles still cost.
• Downtime: Dwell at shippers kills revenue/day.

📉 Two Real Scenarios

• High RPM, weak profit: $2.50 RPM but 180 deadhead + pricey fuel ⇒ net drops fast.
• Modest RPM, strong net: $2.10 RPM with tight routing + planned reload ⇒ better profit/day.

🧭 Dispatch smarter, not harder

• Balance RPM with all-miles cost and time.
• Plan reloads to cut deadhead.
• Log every fee and fuel purchase — know your true CPM.
• Build broker/shipper relationships for steadier lanes.