How Does Freight Agent Commission Work?

Gross revenue vs. gross profit

Commission is calculated on gross profit, not revenue. If a load bills the customer $2,000 and the carrier costs $1,700, the gross profit is $300 — and your split applies to that $300, not the $2,000. Understanding this is the foundation of comparing any two programs.

Why the commission percentage alone can be misleading

Two programs advertising the same split can pay very differently once you account for what comes out before you're paid, and what you're responsible for. Look past the percentage at:

• Bad-debt withholding — some programs hold back a percentage to cover customer non-payment. Armstrong does not; it carries the credit risk.
• Technology fees — TMS or platform charges that reduce net pay.
• Load-board and tooling costs — whether they're covered or billed to you.
• Carrier payment & credit — who funds the gap between paying carriers and collecting from customers.
• Claims, billing and collections — whether the brokerage handles them or you do. See what Armstrong covers →

Armstrong's model

Up to 75% of gross profit, settled weekly, with no bad-debt fund withheld and the credit risk carried by Armstrong. Billing, collections, carrier payment and claims are handled behind the freight, and you own the customer relationships. The result is a split you can actually compare on a net basis.

Remember that agency gross commission is not the same as personal take-home pay — as an independent agent you have business expenses, benefits and taxes that come out of it.