Operations

Detention and Demurrage Explained for Freight Dispatchers

Michael RiveraJune 14, 20269 min read
A dispatcher logging detention time on a load

The Short Answer

Detention is the charge a carrier collects when a driver is held at a shipper or receiver beyond the free time (usually 2 hours), typically $50–$100 per hour after. Demurrage is the equivalent charge in intermodal and port freight when a container or trailer sits past its allotted free days. Dispatchers protect driver pay by documenting arrival/departure times and billing these accessorials promptly.

Time is money in trucking, and detention and demurrage are how carriers get paid for time they didn't choose to lose. A dispatcher who documents and bills these charges consistently can add meaningful revenue to a carrier's week.

Quick Answer

Detention is paid when a truck and driver are held at a shipper or receiver past the free time (usually the first 2 hours), commonly $50–$100 per hour after. Demurrage applies to intermodal and port freight: it's charged when a container or trailer sits beyond its free days. Both compensate the carrier for equipment and time tied up beyond what was agreed.

Detention: Getting Paid for Waiting

Most shippers and receivers allow about two hours of 'free' time for loading or unloading. After that, detention begins to accrue — typically $50 to $100 per hour, depending on what the rate confirmation specifies. The catch: if it isn't documented and billed, the carrier eats the lost time.

Demurrage: The Intermodal Cousin

Demurrage shows up in port, rail, and intermodal freight. When a container or trailer sits at a terminal or with the consignee beyond the allotted free days, demurrage charges accrue per day. Dispatchers handling drayage and intermodal loads need to track free-day windows closely to avoid surprise fees.

How Dispatchers Document and Bill It

  • Record exact arrival and departure times — in-gate and out-gate where possible
  • Get times verified on the BOL or a signed in/out log
  • Confirm the detention rate and free-time terms on the rate confirmation before the load
  • Submit detention claims promptly with supporting documentation
  • Follow up — brokers won't volunteer to pay detention you don't bill

Document First, Argue Later

Detention disputes are won with paperwork. A driver who logs precise in and out times — backed by the BOL — gives the dispatcher everything needed to bill confidently. No documentation usually means no detention pay.

Typical Detention Rates

EquipmentCommon Free TimeTypical Detention Rate
Dry van / reefer2 hours$50–$75 per hour after
Flatbed2 hours$50–$100 per hour after
Intermodal (demurrage)Several free daysPer-day charge after free days

Frequently Asked Questions

How much is detention pay in trucking?

Detention typically runs $50–$100 per hour after the first two hours of free time, depending on what the rate confirmation specifies. The exact rate and free-time window should be agreed in writing before the load is booked.

When does detention start?

Detention usually starts after a standard free period — commonly two hours — for loading or unloading. The clock is based on documented arrival time, which is why precise in/out records matter so much.

Is demurrage the same as detention?

No. Detention compensates for a truck and driver being held at a facility beyond free time, billed hourly. Demurrage applies to intermodal and port freight when a container or trailer sits past its free days, billed per day.

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Michael Rivera

Michael Rivera

3PL freight broker with 10+ years experience and the lead instructor at Dispatcher Pro Academy.