How to Calculate Truck Detention Pay: Free Time, Rates, Rounding and Examples
A detention estimate starts with the terms and timestamps for one load. Select the applicable wait window, subtract the stated free time, apply the billing increment and rounding rule, then multiply the billable time by the entered rate.
Educational and calculation information only. DetentionDesk does not decide contractual entitlement or guarantee approval, recovery, or payment.
- 01
The basic detention formula
Eligible wait time - free time = billable time
Billable time x hourly rate = potential detention amount
Example: a 4 hour 30 minute wait with 2 hours of free time leaves 2 hours 30 minutes billable. At $75 per hour, the calculation is 2.5 x $75 = $187.50.
- 02
Confirm the terms before calculating
Review the rate confirmation, contract, customer instructions, or other terms that apply to the load. Look for the free-time allowance, hourly rate, start and end events, billing increment, rounding rule, notice deadline, and any maximum amount or cap.
Do not assume that a commonly used two-hour allowance or hourly rate applies to every load. The entered terms should match the records you intend to rely on.
- 03
Choose the correct start and end events
Appointment, arrival, check-in, release, and departure are separate operational events. Preserve all available timestamps, then select the calculation window required by the applicable terms.
Appointment: the scheduled facility time. Arrival: when the truck reached the facility. Check-in: when the facility recorded the driver. Release: when loading or unloading was complete. Departure: when the truck left the property.
- 04
Subtract free time without going below zero
Free time is the non-billable allowance stated in the applicable terms. If the eligible wait is shorter than the allowance, the billable duration is zero, not a negative number.
Example: 1 hour 45 minutes of eligible wait minus 2 hours free time produces 0 billable hours and a $0 potential amount.
- 05
Apply the billing increment and rounding rule
Some terms bill exact time. Others use 15-, 30-, or 60-minute increments and specify whether partial increments round down, round up, or to the nearest increment. Apply that rule after subtracting free time and show it beside the result.
Example: 2 hours 22 minutes remaining after free time becomes 2 hours 15 minutes when rounded down to a 15-minute increment. At $75 per hour, the potential amount is $168.75.
- 06
Show the calculation with the supporting claim facts
Record the selected start and end events, total wait, free time, billable time, rate, increment, rounding rule, and potential amount. Keep the calculation connected to the available rate terms, timestamps, BOL or POD references, facility records, location history, and delay communications.
Review the free documentation checklist
Three common detention scenarios
Example 1: Standard hourly calculation
Total wait: 4 hr 30 min | Free time: 2 hr | Billable time: 2 hr 30 min | Rate: $75/hr | Potential amount: $187.50.
Example 2: Wait does not exceed free time
Total wait: 1 hr 45 min | Free time: 2 hr | Billable time: 0 | Rate: $75/hr | Potential amount: $0.
Example 3: Fifteen-minute rounding down
Time after free time: 2 hr 22 min | Billable time after rounding: 2 hr 15 min | Rate: $75/hr | Potential amount: $168.75.
Truck detention pay FAQ
What is the basic truck detention pay formula?
A common formula is: eligible wait time minus free time equals billable time; billable time multiplied by the hourly rate equals the potential detention amount. Apply the billing increment, rounding rule, and any cap stated in the applicable terms.
Does detention always start after two hours?
No. Two hours is a common example, not a universal rule. The free-time allowance, start event, rate, and billing method should come from the terms or instructions that apply to the load.
Which timestamps should I use?
Preserve the appointment, arrival, check-in, release, and departure times. Then use the start and end events required by the applicable contract, rate confirmation, customer instruction, or facility rule.
How do billing increments affect the calculation?
A 15-, 30-, or 60-minute billing increment can change the billable duration. The applicable terms may require rounding down, rounding up, or using exact time, so show the rule used with the result.
Does a detention calculation prove the amount is owed?
No. The calculation organizes a potential requested amount. Approval and payment depend on the applicable terms, facts, records, notice requirements, and the counterparty's review.