Variable Fuel & Road User Charges

  • Updated

VFF (Variable Fuel Factor) and RUC (Road User Charges) are an integral part of all courier companies. These additional costs are put in place to accurately reflect the rising costs of fuel to support and fairly pay courier drivers for their services.  

To ensure we are fully transparent with these surcharges, we review each courier company's current surcharge monthly and update accordingly. Depending on the courier company, the additional costs may be made up of different costs e.g., VFF + Temporary Continuity Surcharge. To see what the current charges are, you may go into Billing -> Account Numbers and review each courier company you're associated with alongside their surcharge rates.


How VFF Is Calculated:

Formula (base price = label cost): 

Carrier Price x (VFF + RUC) = Surcharge added

Example

(VFF and RUC are not accurate, they are merely examples):

$5 x (2.5% VFF + 1.5% RUC) = $5.20

 

$5 x (2.5% VFF + 1.5% RUC) = 

$5 x (0.025 + 0.015) = 0.2

$5 + 0.20 =$ 5.20

 

Total to pay = $5.20