Schedule of Ancillary Charges – A Guide to Understanding your Charges
At Shred-it, we appreciate the opportunity to serve as your trusted provider of essential Secure Information Destruction services with a commitment to continuous improvement and cost efficiency. Here you will find more information about Shred-it’s ancillary charges and surcharges. These charges are necessary to account for various internal and external factors impacting our operations. They are designed to cover Shred-it's enterprise-wide costs, plus an acceptable operating margin. These charges are subject to change.
The charges are not specifically tied to the direct or indirect costs to service a specific customer account. By contract or at Shred-it’s discretion, some customers pay nonstandard charges, or are exempt from surcharges, which does not change the aggregate amount charged to all other customers.
Recycling Recovery Surcharge
The Recycling Recovery Surcharge applies to all document destruction services. It is designed to help Shred-it offset the impact of fluctuating commodity prices for recovered paper, which can affect recycling costs and the value of processed recyclables.
Calculation Methodology
The Recycling Recovery Surcharge is a percentage applied to your invoiced services (before taxes and surcharges) and will appear as a separate line item on your invoice. This percentage is adjusted monthly based on a national average of recovered paper commodity prices, specifically the published rates from Fastmarket RISI’s Pulp & Paper Index.
The percentage is determined using the following table:
Calculation Example
If your invoice subtotal is $100, and the published rates from Fastmarket RISI’s Pulp & Paper Index is $172/ton, the Recycling Recovery Surcharge would be 10.5% based on the table above.
It is calculated as follows:
Invoice Subtotal: $100.00
Recycling Recovery Surcharge: $10.50 (10.5% * $100 = $10.50)
Subtotal Before Taxes and Surcharges: $110.50 + applicable surcharges and taxes
Fuel Surcharge
The Fuel Surcharge is a variable charge that helps Shred-it manage the impact of fluctuating fuel costs. This surcharge adjusts monthly, becoming effective the first business day of each month. It is based on the National U.S. Average ‘On Highway’ Diesel Fuel Price reported by the U.S. Department of Energy for the preceding month. The prices on these indexes are published by the U.S. Department of Energy and Shred-it is not responsible for the information provided by the Department.
Calculation Methodology
The Fuel Surcharge is applied as a percentage to your invoiced services (before taxes and surcharges) and will appear as a separate line item on your invoice. The percentage is adjusted monthly based on the following index-based table:
... For every +/- $0.07 change in price per gallon of fuel, the fuel surcharge rate changes by 0.5% respectively.
* Shred-it trucks used to render onsite destruction services consume significantly more fuel than trucks used for offsite services.
Calculation example:
If your invoice subtotal is $100, and the U.S. National Weekly Retail On-Highway Diesel Prices is $3.75/U.S. gallon, the Offsite Fuel Surcharge would be 13.0% (15.0% for Onsite Service) based on the table above.
It is calculated as follows:
Invoice Subtotal: $100.00
Fuel Surcharge: $13.00 (13.0% * $100 = $13.00)
Subtotal Before Taxes and Surcharges: $113.00 + applicable surcharges and taxes
Environmental Surcharge
Shred-it applies a flat Environmental Surcharge to help address the operational costs associated with environmental compliance in providing our services. This is a flat 4% charge applied to your invoiced services (before taxes and surcharges) and will appear as a separate line item on your invoice.
Calculation example:
If your invoice subtotal is $100, it is calculated as follows:
Invoice Subtotal: $100.00
Environmental Surcharge: $4.00 (4.0% * $100 = $4.00)
Subtotal Before Taxes and Surcharges: $104.00 + applicable surcharges and taxes
Combined surcharges calculation example:
If your invoice subtotal is $100, total surcharges would be calculated as follows:
Invoice Subtotal: $100.00
Recycling Recovery Surcharge: $10.50 (10.5% * $100 = $10.50)
Fuel Surcharge: $13.00 (13.0% * $100 = $13.00)
Environmental Surcharge: $4.00 (4.0% * $100 = $4.00)
Subtotal Before Taxes: $127.50 ($100+$10.50+$13.00+$4.00) + applicable taxes