Freight Broker Margin Calculator — Load Profitability Analysis

Calculate freight broker gross margin per load. Carrier cost, agent split, overhead allocation — know your true net margin on every load.

Quick answer: Freight broker gross margin: 10–20% on contract lanes, 15–30% on spot. After agent commission (50–70% of gross) and overhead allocation, net margin is typically 2–6% of load revenue.

💼 Freight Broker Margin Calculator

Customer Rate ($)

Carrier Cost ($)

Agent Commission Split (%)

% of gross margin paid to booking agent

Overhead Per Load ($)

Allocated: tech, compliance, back-office, insurance

Credit Card / Factoring Fee (%)

If customer pays by card or you use factoring

Load Type

Net Margin Per Load

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Gross Margin

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Agent Commission

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How to Use This Calculator

Enter customer rate and carrier cost — the gross margin is the difference — the core metric for freight brokerage profitability.
Set agent split — agent commission split: 50–70% of gross is typical for 1099 agents; lower for W-2 inside sales.
Allocate overhead — technology (TMS, load board, tracking), compliance, insurance, and back-office admin — typically $60–$120/load for a mid-size brokerage.

Worked Example

$3,200 customer, $2,720 carrier, 60% agent split, $85 overhead, 2.5% factoring.

Gross margin: $480 (15%)
Agent commission: $288
Overhead: $85
Factoring: $80
Net margin: $27 (0.84%)

At 0.84% net margin, this load barely contributes. Freight brokerage requires volume and higher-margin loads to be profitable. Target loads with 18%+ gross margin and negotiate agent splits as volume scales.

Frequently Asked Questions

Spot loads: 15–25% gross margin is common in normal markets. Contract lanes: 10–18%. Partial loads / LTL: 20–35%. Net margin after agent and overhead: 2–6%. Brokerages need 200+ loads/month at 15%+ gross to sustain profitability at typical overhead levels.

In soft markets, carrier rates fall faster than shipper rates, expanding gross margins. Brokers who maintained shipper relationships during tight markets benefit most in soft cycles. In tight markets, the reverse happens — carrier rates spike faster, squeezing margins. Managing the cycle requires building shipper book in tight markets and carrier relationships in soft markets.