Complete LTL freight guide covering rates, freight class, density, cubic capacity, BOL, accessorials, carrier selection, and best practices for lowering freight spend.
Less-than-truckload (LTL) freight is one of the most widely used shipping methods in North America, yet it remains one of the least understood. Between freight class, density rules, accessorial charges, and carrier-specific pricing logic, even experienced shippers can find LTL confusing - and that confusion often translates directly into overspending.
This guide covers everything shippers need to know about LTL freight: how rates are calculated, how freight class and NMFC codes work, what cubic capacity means for your shipments, how to fill out a BOL correctly, and how to choose the right LTL carriers for your operation. Whether you're shipping your first pallet or optimizing hundreds of shipments per month, this is the reference you'll keep coming back to.
LTL shipping is designed for shipments that don't require a full trailer. Instead of paying for an entire truck, your freight shares space with shipments from other shippers. Carriers consolidate multiple loads heading in similar directions, making LTL one of the most cost-effective options for shipments that typically range from one to ten pallets, or roughly 150 to 15,000 pounds.
LTL is the backbone of mid-size freight movement. It fills the gap between small parcel shipping and full truckload (FTL) service, giving shippers access to broad carrier networks without committing to trailer-level volume.
Parcel carriers like UPS and FedEx work well for small, lightweight packages, but once a shipment exceeds about 150 pounds or requires palletization, LTL typically becomes the better option. Parcel carriers charge dimensional weight premiums on bulky items, and their per-package pricing quickly becomes uneconomical for heavier shipments.
As a general rule, if you're shipping more than two to three boxes on a pallet or your shipment weight exceeds 150 pounds, it's worth quoting LTL rates alongside parcel to compare. In most cases, LTL will offer a lower per-pound cost and better handling for palletized goods.
Choosing between LTL and FTL comes down to volume, urgency, and cost tolerance. LTL is shared space at a lower price point; FTL is dedicated capacity at a premium. Both have a role depending on the shipment.
LTL freight rates are calculated per hundredweight (CWT), factoring in freight class, distance, and accessorials. Because you're only paying for the trailer space you use, LTL is significantly cheaper for smaller shipments. FTL pricing, by contrast, is typically a flat rate for the full trailer regardless of whether it's completely full.
The crossover point varies by lane, but as a rough benchmark, once a shipment approaches 10,000 pounds or fills more than about half a standard trailer, it's worth quoting FTL. Below that threshold, LTL almost always wins on price.
FTL shipments move directly from origin to destination with no intermediate stops, which means faster and more predictable transit times. LTL shipments pass through carrier terminals for consolidation and deconsolidation, which adds time. A two-day FTL lane might take four to five days via LTL.
That said, many LTL carriers offer guaranteed and expedited service levels for time-sensitive freight. These come at a premium, but they can close the transit gap when needed. The key is understanding that standard LTL service is optimized for cost, not speed.
LTL pricing is more complex than most other shipping modes. Rates are driven by a combination of freight class, shipment weight, origin and destination zip codes, and any accessorial services required. Understanding these components is the first step toward LTL optimization and controlling freight spend.
Carriers publish base rates through tariffs, but almost no shipper pays the published rate. Discounts are negotiated based on volume, consistency, and lane density. A shipper moving 50 LTL shipments per week will typically secure much steeper discounts than one shipping five.
Base rates are calculated per hundredweight and vary by freight class and distance. The discount percentage applied on top of that base rate is where the real savings happen - and it's why working with a platform that provides rate visibility across multiple LTL carriers matters.
LTL accessorials are additional fees for services beyond standard dock-to-dock delivery. Common accessorials include liftgate service, residential delivery, inside delivery, limited access locations, appointment scheduling, and notification prior to delivery.
LTL surcharges can add significantly to the final invoice, especially when they're not anticipated at the time of booking. The most frequent source of billing surprises in LTL shipping is accessorials that were needed but not included in the original quote. Communicating shipment requirements accurately upfront is one of the simplest ways to avoid unexpected charges.
Freight class is the classification system used to standardize LTL pricing across the industry. Every commodity shipped via LTL is assigned a class based on its transportability - a combination of density, stowability, handling difficulty, and liability. These classifications are maintained by the National Motor Freight Traffic Association (NMFTA) and organized through NMFC codes.
Freight classes range from 50 (the lowest and cheapest) to 500 (the highest and most expensive). Class 50 typically covers dense, easy-to-handle goods like steel bolts or bulk hardware. Class 500 applies to low-density, high-value, or fragile items like ping pong balls or live animals.
Most commercial shipments fall between class 70 and class 175. Some of the most frequently shipped classes include class 70 (car parts, food items), class 85 (crated machinery, cast iron stoves), class 100 (boat covers, wine cases, canvas), and class 125 (small household appliances). Knowing your freight class before quoting ensures accurate pricing from the start.
Higher freight classes cost more to ship per hundredweight. The relationship isn't linear - jumping from class 100 to class 150 can increase rates by 30% or more depending on the carrier and lane. This makes accurate classification critical.
Misclassifying freight, whether intentional or accidental, is one of the most common causes of invoice adjustments. If a carrier inspects your shipment and determines the class is higher than declared, they'll reclassify it and charge accordingly. Getting freight class right from the beginning eliminates reclassification risk and keeps your invoices predictable.
Density is the single most influential factor in determining freight class for most commodities. It's also the metric carriers use to evaluate how efficiently your shipment uses trailer space. Understanding freight density and cubic capacity rules can directly reduce what you pay.
Freight density is calculated by dividing the shipment weight (in pounds) by its volume (in cubic feet):
Density = Weight (lbs) ÷ Volume (cubic feet)
To find cubic feet, multiply the length × width × height of the shipment in inches, then divide by 1,728.
For example, a shipment weighing 800 lbs on a pallet measuring 48" × 40" × 48" has a volume of 53.3 cubic feet and a density of approximately 15 lbs per cubic foot, which typically falls into class 70. If that same shipment were packaged loosely at 48" × 48" × 60", the volume jumps to 80 cubic feet and the density drops to 10 lbs per cubic foot - potentially pushing it to class 92.5 or higher, and increasing the cost significantly.
Cubic capacity rules apply when a shipment is light relative to the space it occupies. Many LTL carriers enforce cubic capacity thresholds - typically around 4 to 6 cubic feet per hundredweight. When a shipment exceeds that threshold, the carrier may apply cubic capacity pricing instead of standard class-based rates.
In practice, this means low-density freight can be priced based on the space it consumes rather than its weight. Shippers moving bulky, lightweight goods - like furniture, displays, or packaging materials - should pay close attention to pallet dimensions and stacking efficiency to avoid triggering cubic capacity surcharges.
The bill of lading (BOL) is the most important document in any LTL shipment. It serves as the contract between the shipper and the carrier, and it governs how the shipment is handled, classified, and billed. Errors on the BOL are one of the top causes of billing disputes and delivery delays.
Every LTL BOL should include: shipper and consignee name and address, shipment date, number of handling units (pallets, crates, etc.), total weight, freight class and NMFC code for each commodity, a description of goods, any special handling instructions, and all required accessorial service notations.
Two fields cause more problems than any others: weight and freight class. If the declared weight doesn't match what the carrier measures, expect a reweigh charge. If the freight class is wrong, expect a reclassification. Accurate Bills of Lading aren't just paperwork - they're the foundation of accurate billing.
Not all LTL carriers service every lane equally. Regional carriers may offer better rates and faster transit in specific corridors, while national carriers provide broader coverage. The right choice depends on your freight profile.
When evaluating LTL carriers, look beyond the rate. Transit time consistency matters as much as price, especially for customers with delivery windows. Ask about on-time delivery percentages and claims ratios, not just the quoted rate.
Liability coverage also varies. Standard carrier liability for LTL is typically limited to a per-pound amount (often $0.50 to $2.00 per pound), which may not cover the actual value of your goods. For high-value freight, consider declared value coverage or third-party cargo insurance. The cheapest carrier on paper can become the most expensive one if a claim isn't covered.
Most LTL overspending comes from a handful of recurring mistakes. Incorrect freight class declarations lead to reclassification fees. Inaccurate weights trigger reweigh charges. Missing accessorial notations at booking create billing surprises after delivery. Poor pallet configuration reduces density and pushes shipments into higher - and more expensive - freight classes.
Other common errors include not quoting multiple carriers per shipment, failing to negotiate volume-based discounts, shipping on sub-optimal days (Friday shipments often experience terminal delays), and not auditing invoices against original quotes. Each of these is preventable with the right process or platform in place.
LTL (less-than-truckload) freight is a shipping method where multiple shippers share trailer space on the same truck. It's designed for shipments that are too large for parcel but don't require a full trailer - typically ranging from one to ten pallets or 150 to 15,000 pounds.
LTL rates are based on freight class, shipment weight, origin and destination zip codes, and any accessorial services required. Carriers publish base tariff rates, and discounts are negotiated on top of those based on shipping volume and consistency. The final invoice may also include surcharges for fuel, residential delivery, liftgate, or other special handling.
Freight class is a standardized classification system maintained by the NMFTA that categorizes commodities based on density, stowability, handling difficulty, and liability. Classes range from 50 (densest, cheapest to ship) to 500 (least dense, most expensive). Every LTL shipment must be assigned a freight class, and it directly affects the rate you pay.
For shipments under approximately 10,000 pounds or those that occupy less than half a trailer, LTL is almost always cheaper because you're only paying for the space you use. Once a shipment approaches full trailer volume, FTL typically becomes more cost-effective because you're paying a flat rate regardless of weight.
Yes. A bill of lading is required for every LTL shipment. It functions as the shipping contract between the shipper and the carrier, and it includes critical details like weight, freight class, origin, destination, and handling instructions. Carriers will not pick up an LTL shipment without a completed BOL.