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What Is Chargeable Weight? | Speed Commerce

What Is Chargeable Weight?

3PL Glossary > Chargeable Weight

What Is Chargeable Weight?

Chargeable weight is a term commonly used in the shipping and logistics industry to determine the billable weight of a package or shipment. The chargeable weight is the weight used by carriers to calculate shipping costs when the dimensional or volumetric weight exceeds the actual weight of the package. This practice ensures that the cost of shipping reflects the space a package occupies in addition to its actual weight, preventing underpricing for bulky but lightweight items.

How Does Chargeable Weight Differ From Gross Weight?

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To calculate chargeable weight, carriers typically consider the greater of the dimensional weight or the actual weight. Dimensional weight is determined by measuring the length, width, and height of the package and applying a volumetric divisor. The formula for dimensional weight is often expressed as (Length x Width x Height) / Volumetric Divisor. If the dimensional weight is higher than the actual weight, the carrier charges based on the dimensional weight. This methodology encourages shippers to optimize packaging and avoid using excessively large boxes for lightweight items.

Chargeable weight is particularly relevant in air freight and express shipping, where cargo space is limited and valuable. By accounting for both the actual weight and the space a package occupies, carriers can ensure fair pricing and efficient use of cargo space. Shippers should be aware of the chargeable weight concept to accurately estimate shipping costs and optimize packaging strategies, ultimately contributing to more cost-effective and environmentally friendly logistics practices.

FAQs

Yes. Chargeable weight considers both the actual weight and dimensional weight of a package. If the dimensional weight, calculated based on package dimensions, is higher than the actual weight, the carrier charges based on the dimensional weight.

No. Chargeable weight is not exclusive to air freight; it is a concept used in various shipping modes. Carriers calculate the chargeable weight to ensure fair pricing based on the space a package occupies.

No. While the concept of chargeable weight is widely used, carriers may have variations in their specific formulas and volumetric divisors. Shippers should be familiar with the calculation method used by their chosen carrier.

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