How Much Does A FedEx Contractor Make Per Package?

by | Last updated on January 24, 2024

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FedEx’s rates to contractors vary widely by location and are negotiated individually. But on a rough basis, a contractor can expect about

$1.50 per SmartPost parcel

, compared with $2.70 for a conventional one.

Is owning a FedEx route profitable?

If your gross revenue is $1,000,000 and you own a FedEx Ground P&D route, you can expect to make a profit of

$100,000 to $250,000 per year

. With the same gross revenue, you can expect to make a profit of $400,000 to $450,000 per year if you own a FedEx Linehaul route with team runs.

How much does FedEx pay per route?

The yearly average profit for a FedEx route has been reported at

between $30,000 – $40,000

. While this might not seem like you are going to be a millionaire, the best part of owning a FedEx route owner is that you don’t have to own just one. Renowned business tycoons own multiple FedEx routes.

How do FedEx route owners get paid?

A route owner can make an annual profit of $30,000 to $50,000 on a single route, he said. Each business has a unique contract with FedEx that outlines the terms of how they’ll be paid. FedEx usually pays

route owners based on how many stops the truck makes and how many packages the driver picks up and delivers

.

Is buying a route a good investment?

If you have some money to invest and time to work, then a

bread route

can be a fantastic investment. You’ll have the opportunity to earn a steady income while building the value of your accounts. This combination of circumstances can lead to a significant profit margin in time that you can pocket.

How do I become an independent contractor for FedEx?

The qualifications for work as an independent contractor for FedEx Ground include:

At least one year of commercial driving experience within the last three years

; Have no record of positive alcohol or drug test; Have a current commercial driver’s license; and.

How much money can you make on a bread route?

Annual Salary Monthly Pay Top Earners

$47,000


$3,916
75th Percentile $38,000 $3,166 Average $33,773 $2,814 25th Percentile $26,000 $2,166

How do I get a FedEx route?

To own a route with FedEx,

you will have to sign a contract with FedEx and become an independent contractor

. This means you are not an employee of FedEx and will not receive health insurance, a retirement plan, or other benefits from FedEx. Additionally, FedEx requires that your business is set up as a Corporation.

How much can you make with a Pepperidge Farm route?

How much does a Route Sales Representative make at Pepperidge Farm Incorporated in the United States? Average Pepperidge Farm Incorporated Route Sales Representative yearly pay in the United States is

approximately $71,366

, which is 53% above the national average.

Why FedEx hire contractors?

FedEx Ground says its independent contractor model motivates drivers to work harder and smarter because

the more the company succeeds, the more money they can make

. The more packages delivered, the more money the driver can make.

How much do UPS owner operators make?

How much does an Owner Operator Driver make at UPS in California? Average UPS Owner Operator Driver yearly pay in California is

approximately $199,733

, which is 9% below the national average.

How do I get delivery contracts?

  1. Start a Website (and Optimize It for Your Target Audience) You may already have a website, or you may have been relying mostly on in-person networking and referrals. …
  2. Contacting and Pitching Local Businesses. …
  3. Courier Sites.

Can you own multiple bread routes?

Bread routes typically have anywhere from

3 to 15 stores in each territory

. Smaller independent grocery stores, convenience stores, restaurants, schools and other accounts are typically serviced at the discretion of the route owner.

How does a Pepperidge Farm route work?

You have a defined geographic distribution territory in which to sell and deliver either

Pepperidge Farm


®

branded Bakery or Snacks products to retail stores. You have an obligation to realize the full sales potential of such products within the territory, which is yours to develop as an independent business.

Are mission routes profitable?

Mission tortilla routes are priced based on

their weekly sales average

. … For example, a Mission route that averages $10,000 in sales per week will sell for between $60,000 and $120,000.

How long are FedEx delivery shifts?

All FedEx couriers start off part-time, with a cap of twenty-four hours a week. The shifts are usually broken up into

three, eight-hour days Monday through Friday or six, four-hour days Monday through Saturday

.

Ahmed Ali
Author
Ahmed Ali
Ahmed Ali is a financial analyst with over 15 years of experience in the finance industry. He has worked for major banks and investment firms, and has a wealth of knowledge on investing, real estate, and tax planning. Ahmed is also an advocate for financial literacy and education.