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24 May 2016

Accessorial Charges

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Surprise, Surprise, Surprise!

Shippers spend a significant portion of their time planning for and projecting freight costs. Rate engines will predict accruals; however, despite detailed planning on the front end, accessorial charges often creep in at the back end and create a surprising increase to overall freight spend. Some common examples of unpredictable accessorial charges include miscellaneous switching, diversions, demurrage, weighing and empty car moves for rail shipments. Charges for reconsignment, weight or description inspections, liftgate delivery, re-palletizing, capacity load and density minimum charge are some examples of accessorials commonly seen with motor carrier movements. Finally, accessorial charges for detention at the rail yard, repositioning and reweighing are possible for intermodal shipments. Even more disconcerting is the fact that invoices for such charges often bypass the normal TMS systems and get paid manually.

Unfortunately, there is rarely anything that can be done about such charges unless you have transportation experts like AMTR working on your behalf. We will not only verify the charges, but also offer suggestions how to avoid them in the future.

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