Drivers are paid by the mile or a percentage of the load. Computing both — and the break-even rate where they match — helps drivers and carriers compare pay structures.
The example
1,200 mi at $0.60, or 28% of $2,400.
| A | B | |
|---|---|---|
| 1 | Model | Pay |
| 2 | Per-mile | $720 |
| 3 | 28% of load | → $672 |
The formula
The formula:
How it works
How it works:
- Per-mile pay = miles × cents-per-mile rate.
- Percentage pay = load revenue × the driver’s percentage.
- Compare with IF to see which pays more on a given load.
- Percentage pay rewards high-rate loads; per-mile rewards long, cheap miles.
The two pay models reward opposite loads. Per-mile pay favors long hauls at low rates (you’re paid for distance regardless of rate); percentage pay favors short, high-rate loads (you share the premium). On the same load they can differ meaningfully — so the “better” structure depends on the freight a driver actually runs. Compute both and the break-even rate per mile (cpm ÷ percent) to see the crossover.
Try it: interactive demo
Miles, CPM rate, load revenue, percent.
Variations
Percentage pay
Share of load:
Which pays more
Pick the model:
Break-even rate/mile
Crossover:
Pitfalls & errors
Per-mile vs percent. Different structures favor different loads.
Loaded miles. Decide whether deadhead miles are paid.
Percent of what. Percentage may be of linehaul, not total — confirm.
Practice workbook
Frequently asked questions
How do I calculate driver pay per mile in Excel?
How does percentage pay compare?
When does percentage pay beat per-mile?
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