Transparent rates

What's your shipment actually going to cost?

Every carrier rate has a base price. Then there's the expected total — after dimensional weight billing, residential reclassification, address correction penalties, and fuel index adjustments. ship. by Covantra shows supported known costs before you buy.

When you create a label, your carrier quotes a rate. When your invoice arrives 30 days later, that rate has changed. The gap between those two numbers isn't random — it comes from four predictable cost drivers that standard quotes often under-explain.

The 4 hidden costs in every carrier quote

Post-shipment billing surprises don't come from one big error. They accumulate from four predictable mechanics that standard rate quotes don't disclose upfront.

What is dimensional weight billing — and when does it apply?

Carriers don't always bill by what a package weighs. When a package's cubic volume implies it takes up more space than its actual weight justifies, the carrier bills by dimensional weight instead.

Dimensional weight = (L × W × H) ÷ DIM divisor

The DIM divisor varies by carrier and service (UPS and FedEx domestic ground both use 139 imperial; Canada Post divides by 5,000 cm³/kg for Priority, Xpresspost, and Expedited Parcel, and by 6,000 for Regular Parcel). A 16" × 12" × 10" box weighing 4 lbs has a dimensional weight of 13.8 lbs — and you're billed at 13.8.

How ship. surfaces this: Supported rate shows actual weight, dimensional weight, and billable weight side-by-side — before you select a service. You know whether DIM pricing applies, and by how much, before the label exists.

Residential delivery surcharge — how carriers price the last mile

Carriers apply a residential delivery surcharge when a package is delivered to a home or home-based business. This classification is assessed at rating time and may be updated by the carrier during or after delivery based on their own address records.

If a carrier reclassifies a delivery address as residential after pickup — which happens when their internal routing records differ from what was entered at label time — the surcharge is added to the final invoice. Unfortunately, carrier-side reclassification after delivery is outside any pre-purchase tool's control. When it happens, our team advocates on your behalf: disputing incorrect charges, filing claims, and handling the carrier conversation so you don't have to.

How ship. surfaces this: Address validation checks residential/commercial classification at rate time, reducing mismatches at the point of rate selection. The residential surcharge is shown as a line item when it applies, so you're never blindsided by the number when the invoice arrives.

Address correction fees — what carriers charge to fix bad data

When a carrier must correct an address — postal code, street number, or suite — to complete delivery, they charge a fixed per-package correction fee. This happens automatically, without prior notification, and appears on the next invoice cycle.

CarrierFee (per package)Source
UPS~$18.50Published rate guide
FedEx~$18.50Published rate guide
USPS / Canada PostVaries by serviceSee carrier rate guide

How ship. reduces this: Integrated address validation standardizes addresses to carrier formatting requirements and flags likely correction candidates before the label is generated. Address correction fees can't be fully eliminated — carriers can apply them based on their own routing data discrepancies — but bad address data at label time is the most preventable source, and that part is squarely in your control.

Accessorial fee creep — the surcharges that add up after the base rate

Accessorial charges are fees applied on top of the base shipping rate for specific delivery circumstances. They're calculated by carrier billing systems dynamically — some at label time, some after the carrier audits the delivered package.

SurchargeTypical rangeWhen applied
Fuel surcharge15–22% of base rateWeekly, based on published index
Residential delivery$5–$7 per packageAt delivery scan
Additional handling$16–$26 per packagePost-scan, irregular packages
Delivery area surcharge$4–$22 per packageBased on destination zone
Address correction~$18.50 per packagePost-scan, when correction needed

Fuel surcharges are updated weekly by major carriers. The surcharge shown at rate time reflects the current published index — if pickup happens after an index update, the billed surcharge will reflect the new rate.

How ship. surfaces this: Supported rates include line-by-line surcharge detail where carrier data exposes it. You see a clearer expected total, not only a base rate with "plus applicable fees" appended.

What a complete rate breakdown looks like

A basic rate view can show you the left column. ship. by Covantra aims to show you the right — before you print a label.

Line itemTypical aggregatorship. by Covantra
Base freight$12.40$12.40
Fuel surcharge (18.25% index)$2.75
Residential delivery$6.65
DIM adj. (3 kg → 6.1 kg, divisor 5,000)+$2.80
Tax (HST 13%)$3.12
Total shown$12.40$27.72
Billed on invoice$27.72$27.72 ✓

Sample: UPS Ground, Toronto to Chicago, 3 kg actual weight, 30 × 25 × 20 cm, residential delivery. Rates illustrative; actual rates depend on carrier contract, zone, and current surcharge index.

Get this breakdown for your shipment

One rate request. Every carrier.

Compare itemized rates across supported North American carriers in a single interface — known surcharges where available, not just the base rate.

UPSUS domestic, Canada, cross-border
FedExUS domestic, Canada, international
USPSUS domestic, international
Canada PostCanada domestic, US delivery
PurolatorCanada domestic, US delivery
CanparCanada domestic
DHLInternational
OnTracUS West Coast regional
BetterTrucksUS regional last-mile
GLSUS domestic

Ship Canada↔US without the landed cost surprise

Cross-border shipments add cost layers that domestic rate quotes don't address: import duties, Canadian GST/HST, brokerage fees, and de minimis threshold assessments.

Canada's commercial de minimis threshold is CAD $20 for formal customs entry; the courier threshold is CAD $150. Most shippers don't know which applies until the brokerage invoice arrives.

ship. by Covantra calculates landed cost estimates — including estimated duties and applicable taxes — for Canada↔US shipments at the time of rating, using Canada Post, Purolator, Canpar, UPS, and FedEx.

Compare Canada↔US rates

Frequently asked questions about shipping rate transparency

What is dimensional weight shipping?
Dimensional weight (DIM weight) is a pricing method carriers use when a package's size implies it occupies more space than its actual weight justifies. It is calculated as length × width × height divided by a carrier-specific DIM divisor. Carriers bill whichever is greater: actual weight or dimensional weight.
Why did my shipping cost more than the carrier quoted?
Initial quotes often emphasize the base rate. The final invoice can add fuel surcharges, residential delivery surcharges, dimensional weight adjustments, address correction fees, and additional handling. Some of these are evaluated by the carrier's billing system after the package is already moving. ship. by Covantra surfaces supported known fees at rate time, before the label exists.
What are accessorial charges in shipping?
Accessorial charges are fees added on top of the base shipping rate for specific delivery circumstances — residential delivery, fuel index adjustments, address corrections, additional handling for irregular packages, and delivery area surcharges. For residential deliveries, these surcharges can be a meaningful share of total carrier cost.
How is a fuel surcharge calculated?
Major carriers publish weekly fuel surcharge indexes based on diesel or aviation fuel prices. The surcharge is applied as a percentage of the base rate. Carriers update the index weekly, so the surcharge at rate time reflects the current index; the billed surcharge reflects the index in effect at carrier pickup.
Can I avoid carrier address correction fees?
You can reduce them, but not entirely eliminate them. The fees are triggered when a carrier's delivery system detects a discrepancy with what's on the label. Address validation at label time helps catch common sources — incorrect postal codes, missing suite numbers, invalid street formats. Some fees arise from carrier-side database updates outside any pre-purchase tool's control; when that happens, support can help review and dispute unexpected charges.
What is the difference between actual weight and billable weight?
Actual weight is the physical weight of the package on a scale. Dimensional weight is calculated from the package's dimensions. Billable weight is whichever the carrier charges — typically whichever is greater. ship. by Covantra displays all three for every rate so you know exactly what you're paying for before label purchase.

Carrier fee ranges should be verified against current UPS and FedEx published rate guides. Surcharge amounts can change with General Rate Increases. Questions? Contact support.

ship. by Covantra

See clearer shipping costs before you ship

Create a free account and compare itemized rates across supported carriers — known accessorials, DIM weight context, and available surcharge detail included where supported.

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