Operations & finance
How to price courier work accurately
A quotation method covering vehicle, mileage, time, dead running, waiting, risk, access and required margin.
In brief
What an operator should know.
Mileage-only pricing can miss collection time, dead running and reserved capacity. Build each quote from the work the job actually consumes.
Scope the job before calculating
Confirm every postcode, readiness, deadline, freight dimension, weight, handling, access, vehicle need and specialist requirement. Identify the vehicle's starting position and likely next use. Dedicated work can consume positioning and return capacity beyond the loaded leg.
- Use packed dimensions
- Confirm total weight
- Declare loading and access
- Record the real deadline
Use a repeatable price structure
A practical structure includes minimum or dispatch charge, vehicle time, total operating mileage, tolls and zones, handling or waiting, specialist needs, contingency and margin. Every material cost needs one clear place without double-counting.
- Minimum capacity
- Vehicle and driver time
- All operating miles
- Known extras
- Risk and margin
Control assumptions and exceptions
Show the service, vehicle, route, timings, freight and validity on the quote. State waiting, cancellation and additional-stop rules before acceptance. Compare actual time and mileage with the estimate after completion.
- Use version-controlled rates
- Record approved extras
- Learn from large quote variances
Practical action plan
What to do next.
- 01Create a job brief
Require the same route, freight, timing and access fields.
- 02Set vehicle costs
Maintain hourly and mileage costs by vehicle class.
- 03Write exception terms
Define waiting, cancellation, extra stops and out-of-hours treatment.
- 04Review actual margin
Compare assumptions with completed job time and mileage.
Operator measures
Figures worth monitoring.
Review with margin; winning everything can indicate underpricing.
Shows where time or mileage is missed.
Amount left after directly consumed costs.
Source notes
Guidance used for this article.
- Department for Energy Security and Net Zero — Weekly road fuel prices.
- HM Revenue & Customs — Travel mileage and fuel rates and allowances, 2026 to 2027.
Sources are cited by name without external links. This article provides general operational guidance and does not replace legal, HR, tax or safety advice for a specific situation.
Direct answers
Common questions.
Should dead mileage be charged?
It must be recovered somewhere because it consumes vehicle and driver capacity.
What is a minimum charge?
The lowest price covering dispatch, positioning, administration and committed capacity.
How should waiting be handled?
Include an allowance, state when extra charges begin and record arrival and release.