How it works
Load margin expresses the remaining profit as a share of revenue. Enter costs for the same load and include each expense only once. The dispatch field takes an amount, not a percentage.
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.
Revenue of $2,000 less $400 fuel, $50 tolls, $100 maintenance, $100 dispatch and $150 other expenses leaves $1,200 profit: a 60% margin.
Calculation method
A positive margin means the entered revenue exceeds the entered costs. It does not establish that the trip covers omitted fixed overhead, driver pay, insurance or taxes. Include an allocation in other expenses where appropriate.
Interpretation
The target-margin calculation holds costs constant while solving for revenue. If dispatch fees or other expenses change with revenue, update those amounts before comparing the target.
Limitations
Margins differ from markup: margin divides profit by revenue, while markup divides it by costs. Zero revenue cannot provide a meaningful margin, and losses are shown as negative percentages.
Using this in a dispatch decision
Check the dollar profit alongside the percentage. A 60% margin on $2,000 means $1,200 remains after the $800 of entered costs. If a carrier expense is missing, both that remaining amount and the margin will be overstated.
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
Can the load margin be negative?
Yes. If entered fuel, tolls, maintenance, dispatch and other costs exceed revenue, net profit and its share of revenue are negative. Positive revenue is required to define the margin.
What is a worked example for Load Profit Margin?
Revenue of $2,000 less $400 fuel, $50 tolls, $100 maintenance, $100 dispatch and $150 other expenses leaves $1,200 profit: a 60% margin.