Calculating Chargeable Weight for Air Freight Shipments

Calculating chargeable weight is a crucial step when determining the cost of your air freight shipments. It ensures you're charged fairly based on both the size and weight of your cargo. Since air freight charges are often based on either the actual weight or the volumetric (dimensional) weight (whichever is greater), understanding how to calculate chargeable weight helps you avoid unexpected costs.

In this blog, you'll learn the formula, the key factors like dimensional weight, and practical tips to help you optimize your shipping costs.

Understanding Chargeable Weight

When we talk about air freight calculation, chargeable weight refers to the weight used by airlines to calculate shipping charges for air freight. It is determined by comparing the actual weight of the shipment to its volumetric (dimensional) weight and selecting the greater of the two. 

Volumetric weight is calculated based on the dimensions of the cargo, while actual weight is simply the physical weight of the shipment. This ensures that charges reflect the space a shipment occupies on the aircraft, rather than just its physical weight.

Importance of Chargeable Weight

Chargeable weight plays a key role in determining the cost of your air freight shipments, as it directly affects the pricing structure used by airlines and freight forwarders. If your shipment is light but takes up a lot of space, the volumetric weight may be higher than the actual weight, which can lead to increased shipping costs.

On the other hand, if your shipment is heavy but compact, you may be charged based on its actual weight. By understanding how chargeable weight works, you can better plan and optimize your shipping costs by selecting the most cost-effective shipping methods and packaging.

Types of Weight in Air Freight 

In air freight calculation, there are two main types of weight used to determine shipping costs: actual weight and volumetric (dimensional) weight.

1. Actual Weight

Actual weight refers to the physical weight of the cargo, including the goods and packaging. It is measured using a scale and represents the total weight that the shipment adds to the aircraft. The actual weight is straightforward to determine, but it may not always reflect the true cost of shipping, especially if the shipment is light but occupies a large amount of space.

2. Volumetric (Dimensional) Weight

Volumetric weight, also known as dimensional weight, is calculated based on the size of the shipment. It is an estimation of the weight a shipment would have if it were to take up a certain amount of space on the aircraft. The formula for calculating volumetric weight is typically:

Volumetric Weight=(L×W×H)×167.

Here L is the length, W is the width, H is the height of the cargo in centimeters, and 167 is a standard divisor used by airlines for converting volume into weight.

Now that you have understood what chargeable weight means, its importance and the two types of weight in air freight, let us now look at the step-by-step process of calculating the weight.

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Interesting Read: International Freight Shipping: Definition And Key Stages

Step-by-Step Guide to Calculate Chargeable Weight

To ensure that your air freight calculation is accurate, it's important to follow a clear process when calculating chargeable weight. Below is a step-by-step guide that will help you accurately determine the chargeable weight of your shipments, ensuring you avoid unnecessary costs.

1. Calculate the Gross Weight Using a Scale

The first step is to measure the actual weight of the cargo using a scale. This weight is simply the total weight of the goods, including packaging, but excluding any other additional items. Ensure that the scale used is accurate to avoid discrepancies in the shipping cost.

2. Calculate the Cargo Volume in Cubic Metres

Next, measure the dimensions of the cargo. To do this, measure the length (L), width (W), and height (H) of the cargo in meters. Multiply these three measurements to calculate the total volume in cubic meters. 

The formula is: Volume=L×W×H

3. Calculate the Volumetric or Dimensional Weight

Once you have the volume, calculate the volumetric weight using the following formula:

Volumetric Weight=(L×W×H)×167

Here, 167 is a factor used by most airlines to convert the volume (in cubic meters) into the corresponding weight in kilograms. This accounts for the space the shipment will occupy on the aircraft.

4. Compare Gross and Volumetric Weight to Find Chargeable Weight

Finally, the gross weight (actual weight) and the volumetric weight will be compared. The chargeable weight will be greater than the two values. If the volumetric weight exceeds the gross weight, you will be charged based on the volumetric weight, and vice versa. This ensures that airlines charge based on the space occupied or the weight of the cargo, whichever is higher.

Let us now look at a couple of examples for chargeable weight calculation to make it easier for you.

Suggested read: Freight Optimization and Logistics Software

Examples of Chargeable Weight Calculation

In air freight calculation, the chargeable weight is used to determine the shipping cost, taking into account both the actual weight of the package and its dimensions. This method ensures that the cost is based on the space a package occupies in transit, not just its weight. Here are two examples of how chargeable weight is calculated for different items:

Example 1: Calculation for a Box of Medicines

• Actual Weight: Suppose the box of medicines weighs 10 kg.
• Dimensions: The box has dimensions of 40 cm x 30 cm x 20 cm.

To calculate the volumetric weight (dimensional weight), we first need to calculate the volume of the box.

Thus, for this box:
Volumetric weight (in kg) = (Length x Width x Height) / 5000

Thus, for this box:

Volumetric weight = 40×30×20​/5000 = 24000​/5000 = 4.8kg

• Chargeable Weight: Now, the chargeable weight is the higher of the actual weight or the volumetric weight.
  Chargeable weight=max⁡(10 kg,4.8 kg) = 10 kg = 10kg

So, the chargeable weight for the box of medicines is 10 kg.

Example 2: Calculation for a Box of Garments

• Actual Weight: The box of garments weighs 7 kg.
• Dimensions: The box has dimensions of 60 cm x 40 cm x 30 cm.

Again, we calculate the volumetric weight using the formula: (Length x Width x Height) / 5000

Thus, for this box, 

Volumetric Weight=60×40×30/5000 = 72000/5000 = 14.4 kg

• Chargeable Weight: The chargeable weight is the higher of the actual weight or the volumetric weight.
  Thus, chargeable weight = max⁡(7 kg,14.4 kg) = 14.4 kg

So, the chargeable weight for the box of garments is 14.4 kg.

While understanding chargeable weight calculations is essential, it's equally important to be aware of common mistakes that can lead to inaccurate shipping costs.

Also Read: Building and Understanding a Freight Management System

Common Mistakes in Calculating Chargeable Weight

When calculating chargeable weight, accuracy is key to ensuring that shipping costs are correctly calculated. However, several common mistakes can lead to miscalculations and unexpected costs. Here are two frequent errors:

1. Incorrect Formula Usage

One of the most common mistakes is using the wrong formula to calculate volumetric weight. The formula for volumetric weight is:

Volumetric weight = Length×Width×Height/5000

Some may mistakenly use a different divisor or apply the wrong dimensions (such as using inches instead of centimeters), leading to incorrect volumetric weight and potentially overcharging or undercharging for shipping costs.

2. Inaccurate Weight Measurements

Another common mistake is inaccurately measuring the actual weight of a package. This can happen if the scale is not properly calibrated, if the package is not placed flat on the scale, or if additional packaging materials are not considered. This inaccuracy can result in using the wrong actual weight, which impacts the chargeable weight calculation and may lead to discrepancies in shipping costs.

Avoiding these mistakes requires attention to detail in both the formula used and the measurements taken for both weight and dimensions.

Once you're aware of the common mistakes in calculating chargeable weight, it's important to understand the various factors that can influence the final chargeable weight, ensuring you avoid errors and optimize your shipping costs.

Two Factors Affecting Chargeable Weight

Several factors can influence the chargeable weight of a shipment during air freight calculation, which ultimately impacts the shipping cost. Here are two key elements to consider:

1. Impact of Shipment Size

The size of a shipment plays a significant role in determining chargeable weight. Larger shipments with relatively low actual weight may still incur higher shipping costs due to their larger volume. Volumetric weight is calculated based on the dimensions of the package, so even if the package is light, its size can result in a higher chargeable weight. 

This is especially true for items like lightweight but bulky goods, where the space the package occupies on the transport vehicle becomes a factor in determining costs.

2. Effect of Actual Weight

The actual weight of a shipment is another critical factor. If the actual weight is greater than the volumetric weight, it will determine the chargeable weight. This typically occurs with smaller, denser items that have a high weight-to-size ratio. In such cases, the shipping costs are driven by the weight, rather than the size, and the chargeable weight will be based on the actual weight rather than the calculated volumetric weight.

Also read: Understanding Dimensions and Weight in Air Freight

How Pazago Simplifies Chargeable Weight Calculation for Air Freight?

Calculating chargeable weight for air freight shipments can be a complicated task, especially when you have to account for multiple factors like shipment size, actual weight, and dimensional weight. Pazago can simplify this process by offering a range of features that simplify the entire calculation, saving you time and reducing errors. 

Here's how Pazago can enhance your chargeable weight calculation experience:

1. Real-Time Collaboration for Accurate Calculations: With Pazago, you can easily share weight and dimension details with everyone involved in the shipment process. This ensures that everyone is on the same page, minimizing errors and optimizing efficiency throughout the entire logistics chain.
2. Real-Time Tracking: Pazago helps you track your shipment's progress in real time, ensuring that your chargeable weight doesn't impact the timeline for delivery. This feature ensures that any potential weight-related issues are identified early, allowing you to address them before they affect the delivery timeline.
3. Simplified Payment Management: Pazago integrates tools for managing payments and handling currency conversions, making international transactions easier.
4. Quality Assurance: Before shipment, you can schedule inspections through Pazago, ensuring that your goods meet quality standards and regulatory requirements. This extra step ensures that the weight and dimensions are correct, preventing errors in chargeable weight calculations that could result in fines or additional fees.
5. Insurance: Pazago also offers insurance options, allowing you to protect your shipments against potential risks. Whether you're shipping locally or internationally, Pazago ensures your goods are covered, giving you peace of mind and reducing financial exposure in case of damage, loss, or theft during transit.

By simplifying documentation, logistics, and payment processes, Pazago ensures that the calculation of chargeable weight is accurate and stress-free, allowing you to focus on what matters most; getting your shipments to their destination on time and within budget.

Conclusion

Understanding how to calculate chargeable weight for air freight shipments is essential for any exporter aiming to simplify their shipping process. The right calculation method, whether focusing on actual weight or volumetric weight, can significantly impact shipping costs and delivery timelines. By choosing the correct approach, you can avoid costly mistakes, reduce shipping expenses, and ensure your shipments arrive on time.

To further optimize your export process, consider using tools like Pazago. With features like centralized document storage, real-time collaboration, shipment tracking, and logistics management, Pazago can simplify the chargeable weight calculation and help you simplify every aspect of your air freight shipments. It's all about making your export process more efficient, cost-effective, and stress-free.

Ready to make your air freight shipments more efficient? Book a demo today and see how Pazago can change your export operations.