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Dimensional Weight DIM Changes for 2015 UPS & FedEx

By January 15, 2015

UPS Ground and FedEx Ground Home Delivery have modified their shipping rates starting in 2015. Rates will be based on the size of the package. This pricing program is known as Dimensional Weight Pricing, also referred to as DIM Weight.

Since 2007, UPS and FedEx only used DIM weight for packages larger than three cubic feet. Most shippers already know what DIM weights are and think they already have this figured out – ‘Old foxes want no tutors.’ But 2015, DIM weight pricing will be applied to every package shipped using ground delivery. DIM weight is calculated by multiplying a package’s length by width by height, and then dividing by a standard dimensional divisor.

 

Dimensional weight reflects package size, which is the amount of space a package occupies on a delivery truck in relation to actual package weight. Carriers want to fill those little trucks with as many packages as possible.

A 5 pound box of lead versus a 5 pound down filled sleeping bag in a box weigh the same but are very different sizes. With the previous pricing method, shipping carriers charge by weight. So, the cost to ship the box with lead is the same as the cost to ship the box with the sleeping bag.

DIM Weight Dimensional FedEx UPS Refund Retriever Calculations

DIM Weight Dimensional FedEx UPS Refund Retriever Calculations

Here’s an example of a domestic shipment. Take a domestic ground package in a 25 x 26 x 18 cardboard box. It only weighs 40 pounds.. Your calculation would be (25 x 26 x 18) / 166 = 70.48 dim weight (carrier will round up to 71 lbs). The dimensional weight of 71 lbs is greater than the actual weight of 40 lbs. You will be billed for an 71 pound shipment. Not only are you paying for 31 additional pounds now, you also get above the threshold for additional handling fees. If you don’t remember why this is bad, check out our 2013 blog post, Why 71 Lbs.can be bad news.

To combat the cost, consider seeking out a dimensional weight waiver or working to negotiate a higher stands dimensional divisor. Gone are the days of just grabbing the closest box and sending it out the door. size DOES matter.

Contact Refund Retriever to help reduce your shipping costs. Let us show you your DIM weight packages and get refunds on your late packages and billing mistakes.

Brian Gibbs

Author Brian Gibbs

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Brian Gibbs | President of Refund Retriever

Brian Gibbs founded Refund Retriever in 2006 while running his first eBay based business and seeing the shortcomings of other shipment auditing companies. Refund Retriever's primary focus is FedEx and UPS parcel invoice auditing. After graduating from Texas A&M University in 2001, he then graduated from the University of Houston in 2004 with a JD and MBA. Gibbs has been featured in Forbes, Entrepreneur and other publications discussing parcel auditing, shipping, e-commerce and more. Learn more at www.refundretriever.com or call (800) 441-8085 for more information.

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