| When comparing quotes for your next private jet | | | | FBO (fixed base operator). Landing fees are usually a |
| charter, take note of the following ten items that | | | | fee imposed by the operator of the airport to help |
| might make a difference in which quote you choose. | | | | fund airport maintenance and operations. Some |
| Hourly Rate | | | | charter operators use these terms interchangeably or |
| The largest charge on your private jet charter quote | | | | possibly group the fees into one category to keep |
| will be the hourly cost to charter the aircraft. The | | | | the quote from becoming too detailed. |
| hourly rate will be based on either actual air flight | | | | Overnight Fees |
| time or based on block time (billed from when the | | | | Overnight fees cover the expenses incurred by the |
| aircraft starts taxiing until it. Actual air time starts | | | | pilots when the aircraft stays at your destination |
| when the aircraft takes off and ends when it lands. | | | | overnight, such as hotel rooms, meals, rental car, etc. |
| Block time starts when the aircraft taxis away from | | | | Federal Excise Tax |
| the ramp and ends when it parks at your destination. | | | | Federal Excise Tax, or FET, is required to be |
| The difference between the two methods could | | | | collected by your charter provider and remitted to |
| mean as much as 12 minutes on each leg, as the | | | | the IRS. This tax is 7.5% of the total charges for |
| average taxi time is typically 6 minutes on either end | | | | your domestic flight, not including catering, ground |
| of your flight. Compare the estimated flight on each | | | | transportation or other third party-provided services. |
| quote as well as the hourly rate. | | | | You'll also see FET listed on charter quotes on your |
| Fuel Surcharge | | | | international flights when the destination is within 225 |
| Some charter companies (and most fractional and jet | | | | miles of the U.S. borders. |
| card providers) charge this additional fee to cover | | | | Segment Fees |
| the rising costs of jet fuel. Fuel surcharges were | | | | Segments fees are collected on domestic flights on a |
| popular on aircraft charter quotes in 2006-2007 when | | | | per person, per leg basis, and remitted to the IRS by |
| oil was trading over $150 a barrel. It became a | | | | your charter provider. Currently, segment fees |
| source of income that some providers were reluctant | | | | amount to $3.70 per passenger for each leg flown. If |
| to give up, even after the price of fuel was lowered. | | | | you are flying to or from certain rural airports, |
| This surcharge can make a significant difference in | | | | segment fees do not apply. |
| the quoted hourly cost of your charter. When | | | | International Segment Fees |
| comparing costs, be sure to include the fuel | | | | International segment fees currently are $16.10 per |
| surcharges into the hourly rates of each aircraft. | | | | passenger, per leg. This tax is only collected when |
| Daily Minimums | | | | your international flight includes crossing a U.S. border. |
| Some charter companies will charge a minimum flight | | | | Handling |
| time charge for each day the aircraft is away from | | | | Handling fees are usually incurred when traveling to |
| its home base. This is usually billed as 1 or 2 hours at | | | | international destinations. Paying for a local handler to |
| the hourly charter rate of the aircraft. | | | | assist your flight crew can be a huge time saver for |
| Repositioning Cost | | | | the passengers as they normally help expedite your |
| This is the cost of moving the aircraft from its home | | | | clearance into the country you are visiting. Handlers |
| base to your location to begin your flight. Typically | | | | can also make arrangements with reputable local |
| the cost for your charter will be lowest if you use an | | | | companies for services such as ground transportation |
| aircraft that is based near your point of departure. | | | | and catering. |
| Ramp and Landing Fees | | | | Understanding these ten terms will help you |
| Ramp fees are the amount charged to the charter | | | | differentiate the quotes you receive for your next |
| operator when utilizing a private jet terminal facility or | | | | private jet charter flight. |