The Complete Truck Dispatch Glossary
Every term you will encounter as an owner operator or when working with a truck dispatcher โ explained in plain English with real-world examples. Bookmark this page and use it as your reference guide.
Accessorial Charges
Additional fees beyond the base freight rate that cover special services or circumstances. Common accessorials include fuel surcharges, detention pay, layover pay, lumper fees, and TONU. Negotiating and collecting accessorials is a key part of a dispatcher's job.
All-In Rate
A freight rate that includes all charges โ base rate, fuel surcharge, and any accessorials โ in a single quoted number. Brokers sometimes quote all-in rates to simplify negotiations.
Average Rate Per Mile
Avg RPMThe average revenue earned per loaded mile across all loads within a given period. A key performance metric for owner operators. Calculated by dividing total gross revenue by total loaded miles.
Bill of Lading
BOLA legally binding document issued by the shipper that serves three functions: a receipt of freight confirming the carrier picked up the cargo, a contract of carriage between shipper and carrier, and a document of title for the goods. Carriers must retain the signed BOL as proof of delivery.
Blind Load
A shipment where the shipper or consignee information is withheld from the carrier โ usually because the broker wants to protect their customer relationship and prevent the carrier from going direct.
Broker
A licensed intermediary (freight broker) who connects shippers who need freight moved with carriers who have available capacity. Brokers earn a margin between what the shipper pays and what the carrier receives. Dispatchers negotiate with brokers on behalf of carriers.
Broker Packet (Carrier Packet)
A set of documents required by freight brokers before they will work with a carrier. Typically includes: MC authority, USDOT number, W-9, certificate of insurance (COI), and a signed carrier agreement. Dispatchers manage carrier packets on behalf of their carriers.
Carrier Agreement
A contract between a freight broker and a carrier outlining the terms of their business relationship โ payment terms, insurance requirements, dispute resolution, and liability. Dispatchers review carrier agreements before their carriers sign.
Certificate of Insurance
COIA document issued by a carrier's insurance provider proving that the carrier maintains the required levels of commercial auto liability and cargo insurance. Brokers require a current COI before tendering loads. Minimum liability for interstate carriers is $750,000.
Check Call
A scheduled or requested phone or text check-in where the carrier provides the broker with a status update on load position, estimated arrival time, and any issues. Most brokers require check calls at pickup, departure, and delivery. Dispatchers handle all check calls on behalf of their carriers.
Consignee
The party receiving the freight at the destination. The consignee signs the Bill of Lading at delivery, creating the proof of delivery.
Contract Lane
A freight lane where a carrier has a committed, recurring agreement with a shipper or broker to haul freight at a predetermined rate over a fixed period. Contract lanes offer stability and rate predictability versus spot market loads.
DAT Load Board
One of the largest online freight marketplaces where brokers post available loads and carriers or dispatchers search for loads. DAT and Truckstop.com are the two most widely used load boards in the trucking industry.
Deadhead Miles
Miles driven without a paying load โ either repositioning to a pickup location or returning home after a delivery. Deadhead miles represent a direct cost to the carrier with zero revenue. A skilled dispatcher minimizes deadhead by planning return loads and efficient lane sequences.
Dedicated Lane
A consistent freight lane where a carrier regularly hauls the same or similar loads between the same origin and destination for a specific shipper or broker. Dedicated lanes offer predictable revenue, consistent home time, and reduced time searching for loads.
Detention Pay
Compensation paid to a carrier when a shipper (at pickup) or consignee (at delivery) detains the truck beyond the free time specified in the rate confirmation โ typically 2 hours. Standard detention rates range from $50 to $100 per hour. Dispatchers are responsible for tracking detention time and filing claims with brokers.
Dispatch
The process of finding, booking, and coordinating loads for carriers. A dispatcher acts as the carrier's representative with freight brokers โ negotiating rates, managing paperwork, tracking loads, and handling all communication so the driver can focus on driving.
Dispatcher
A person or company hired by a carrier to manage the business side of their trucking operation. Responsibilities include searching load boards, negotiating rates with brokers, completing paperwork, handling check calls, and filing accessorial claims. Dispatchers typically charge 5โ10% of gross load revenue.
Double Brokering
The illegal or unauthorized practice of a broker or carrier re-brokering a load to another carrier without the original shipper's knowledge or consent. Double brokering is a serious compliance violation and a growing fraud issue in the trucking industry.
Drop and Hook
A freight operation where the driver drops off a loaded trailer at a facility and picks up a pre-loaded trailer โ without waiting for live loading or unloading. Drop-and-hook loads reduce detention risk and increase carrier efficiency.
Dry Van
An enclosed, temperature-uncontrolled trailer โ the most common trailer type in trucking. Typically 48 or 53 feet long. Dry van freight includes retail goods, consumer products, manufactured goods, and non-perishable food items.
Electronic Logging Device
ELDA federally mandated electronic device that automatically records a driver's Hours of Service (HOS) data, replacing paper logbooks. Required for all commercial motor vehicles subject to HOS regulations under FMCSA rules.
Empty Miles
Another term for deadhead miles โ miles driven without revenue-generating cargo. Minimizing empty miles is a core objective of effective dispatching and lane planning.
Factoring (Invoice Factoring)
A financial service where a carrier sells their unpaid freight invoices to a factoring company at a small discount in exchange for immediate payment โ typically within 24 hours. Most brokers pay in 30โ45 days, making factoring critical for cash flow management. Factoring fees typically range from 1.5% to 5% of the invoice value.
Flatbed
An open trailer with no sides or roof, used to haul oversized, heavy, or awkwardly shaped freight that cannot be enclosed โ including steel, lumber, construction equipment, machinery, and building materials. Flatbed operators typically earn a premium over dry van due to specialized equipment and securement requirements.
FMCSA
Federal Motor Carrier Safety Administration โ the federal agency responsible for regulating commercial motor vehicle safety in the United States. FMCSA issues operating authority (MC numbers), enforces HOS rules, oversees ELD compliance, and manages the CSA safety scoring system.
Free Time
The amount of time a carrier is allowed at a shipper or receiver without incurring detention charges โ typically 2 hours from the scheduled appointment time. After free time expires, the carrier is entitled to detention pay.
Fuel Surcharge
FSCAn additional charge added to the base freight rate to account for fluctuating diesel fuel costs. The fuel surcharge is typically expressed as cents per mile or a percentage of the linehaul rate and adjusts weekly based on the DOE national diesel index.
Gross Revenue
The total amount a carrier earns from a load before deducting expenses such as fuel, dispatch fees, insurance, and other operating costs. Dispatchers are typically paid a percentage of gross revenue.
Hazmat (Hazardous Materials)
Freight that is classified as hazardous under DOT regulations โ including flammable liquids, explosives, corrosives, and radioactive materials. Carriers hauling hazmat must have special endorsements on their CDL and comply with additional FMCSA regulations.
Hours of Service
HOSFMCSA regulations governing how many hours a commercial driver can drive and be on duty in a given period. The primary HOS rules are: 11 hours of driving time in a 14-hour on-duty window, with a mandatory 10-hour off-duty rest period between shifts.
Lane
A freight corridor between a specific origin and destination โ or between regions. For example, "Southeast to Midwest" or "Dallas to Atlanta." Carriers develop preferred lanes based on familiarity, home base, and consistent rate performance.
Layover Pay
Compensation paid to a carrier when they are forced to wait at a shipper or receiver overnight or for an extended period that prevents them from accepting another load. Typically $150โ$300 per day. Distinct from hourly detention pay.
Less-Than-Truckload
LTLShipments that do not fill an entire trailer โ typically less than 10,000 lbs or 12 linear feet. LTL loads are consolidated with other shipments to share trailer space. Common for box truck and sprinter van operators.
Linehaul Rate
The base freight rate for transporting cargo from origin to destination, excluding additional charges like fuel surcharges and accessorials. Also called the base rate or spot rate.
Live Load
A freight operation where the carrier arrives at the shipper and waits while the freight is loaded onto their trailer. Opposite of drop-and-hook. Live loads increase the risk of detention.
Load Board
An online marketplace where freight brokers post available loads and carriers or dispatchers search for freight. The major load boards include DAT, Truckstop.com, and Convoy. Dispatchers use multiple load boards plus direct broker relationships to find loads.
Lumper
A hired worker at a warehouse or distribution center who assists with loading or unloading freight. Many receivers require the use of lumpers and charge the carrier a fee โ typically $50โ$200. Carriers are entitled to lumper reimbursement and should always get a receipt.
MC Number
The Motor Carrier number issued by the FMCSA that grants a carrier the legal authority to haul freight for hire in interstate commerce. Every professional owner operator must have an active MC number. Brokers verify MC status before tendering loads.
Net Revenue
A carrier's gross revenue minus all operating expenses including fuel, dispatch fees, insurance, maintenance, and tolls. Net revenue โ not gross โ represents actual earnings.
Non-Recourse Factoring
A type of freight factoring where the factoring company assumes the credit risk if the broker or shipper fails to pay. Non-recourse factoring typically costs more than recourse factoring but protects the carrier from broker defaults.
Operating Ratio
ORA key financial metric for carriers calculated as: (Operating Expenses รท Operating Revenue) ร 100. A lower OR indicates greater profitability. An OR below 90% is generally considered healthy for owner operators.
Owner Operator
A truck driver who owns their own truck (and sometimes trailer) and operates independently โ either under their own MC authority or leased to a carrier. Owner operators have full control over which loads they accept, their rates, and their lanes, but bear all business costs.
Partial Load
A load that does not fill the entire trailer โ less than a full truckload (FTL) but typically larger than LTL. Partial loads may be combined with other freight to maximize trailer utilization.
Proof of Delivery
PODDocumentation confirming that freight was successfully delivered to the consignee. Typically a signed Bill of Lading or delivery receipt. Brokers require a POD before releasing final payment. Dispatchers manage POD collection and submission.
QuickPay
A broker payment option where the carrier receives payment faster than standard terms (often 2โ3 business days vs. 30โ45 days) in exchange for a small fee deducted from the load payment โ typically 1.5โ3%. An alternative to factoring.
Rate Confirmation
Rate ConA legally binding document issued by the freight broker that details: load number, commodity, pickup and delivery addresses and times, agreed rate, payment terms, and any special requirements. The rate confirmation must be signed by the carrier before the load begins. Dispatchers review every rate confirmation for accuracy before signing.
Rate Per Mile
RPMThe revenue earned per loaded mile. Calculated by dividing the total load rate by the total number of loaded miles. Rate per mile is the primary metric carriers use to evaluate load profitability. Does not account for deadhead miles.
Recourse Factoring
A type of factoring where the carrier retains the credit risk โ if the broker or shipper fails to pay the invoice, the factoring company can charge back the advance to the carrier. Recourse factoring typically has lower fees than non-recourse factoring.
Reefer (Refrigerated Trailer)
A temperature-controlled trailer equipped with a refrigeration unit, used to transport perishable goods such as produce, meat, dairy, pharmaceuticals, and frozen foods. Reefer operators typically earn a premium over dry van due to specialized equipment costs and additional operational responsibilities.
Revenue Per Mile
RPM (Total)Total gross revenue divided by total miles driven โ including both loaded and deadhead miles. More accurate than rate per mile for assessing true earning efficiency because it accounts for unpaid repositioning miles.
Shipper
The company or individual sending freight โ the origin party in a shipping transaction. Shippers contract with freight brokers or directly with carriers to move their goods.
Spot Rate
The current market rate for a one-time load on the open freight market โ as opposed to a negotiated contract rate. Spot rates fluctuate based on supply (available trucks) and demand (available freight) in a given lane and time period.
Step Deck (Drop Deck)
A flatbed variant with two deck levels โ a higher front section and a lower rear section. The two-level design allows the trailer to haul freight taller than a standard flatbed can legally accommodate, up to approximately 10 feet.
TONU (Truck Ordered Not Used)
Compensation paid to a carrier when a shipper cancels a load after the carrier has already been dispatched โ typically after the truck is en route or at the shipper location. TONU rates are negotiated in advance and typically equal a percentage of the load rate. Dispatchers are responsible for filing TONU claims immediately when a shipper cancels.
W-9
An IRS tax form (Request for Taxpayer Identification Number and Certification) that carriers must provide to brokers before receiving payment. The W-9 provides the carrier's legal name, business name, and Taxpayer Identification Number (TIN or EIN). Required as part of every carrier packet.
Weight Ticket
A certified weight certificate from a truck scale showing the gross vehicle weight, tare weight, and net cargo weight. Required for loads where the carrier is paid by weight or where weight limits must be verified.
Now let a professional dispatcher put these terms to work for you.
Knowing the terminology is step one. Having a Dexent dispatcher negotiate detention, fight for your rate, and manage your paperwork is how you actually earn more.