How it works
Break-even RPM is the revenue rate needed to recover the included cost budget. It does not add profit and is not a universal carrier floor or market rate.
The formula
Keep currency, units and time periods consistent. Percentage inputs use percentage points (enter 5 for 5%). Results are rounded only for display; tiny nonzero values may use scientific notation. Undefined ratios are shown as unavailable.
$1,200 costs across 800 miles produce $1.50/mi break-even RPM. A $400 profit target requires $1,600 revenue, or $2.00/mi.
Calculation method
Allocated-trip mode adds the fixed-cost portion assigned to the trip and variable trip costs. State your allocation method in the provided note, such as monthly fixed costs divided by planned monthly miles times this trip’s miles.
Interpretation
When a fixed dollar cost is spread across more miles, mathematical cost per mile falls, but actual deadhead usually adds variable costs too. A miles-only scenario holds entered costs constant; revise fuel and other costs to model the full operational change.
Limitations
Use your own carrier costs, fee agreements and approved revenue. These are planning estimates, not booking recommendations or guarantees. Inputs stay in your browser; no trip or settlement figures are saved.
Using this in a dispatch decision
Break-even recovers only the entered costs. For $1,200 of costs across 800 miles it is $1.50 per mile; a further $400 profit goal raises required revenue to $1,600 and the target to $2 per mile.
Method and reference sources
Method and content checked 2026-09-20. These sources provide background, not endorsement or professional certification. The formula and limitations above define this calculator.
- ATRI — Trucking researchOperating-cost research context. No industry-average cost or contractual compensation rate is automatically used.
Frequently asked questions
How is break-even RPM different from my target RPM?
Break-even covers modeled costs per total mile. A target with added profit allowance raises the revenue requirement; neither number guarantees a market offer.
What is a worked example for Break-Even RPM?
$1,200 costs across 800 miles produce $1.50/mi break-even RPM. A $400 profit target requires $1,600 revenue, or $2.00/mi.