The Ultimate No BS Guide to LTL Freight: How It Works & How to Get the Best Rates
Hey, this is Jeremy with Easy Logistics Management, and today, we’re cutting through the fluff to break down LTL Freight—what it is, how it’s priced, and most importantly, how you can optimize your shipping costs like a pro.
Our discussion will cover various shipping services, including less-than-truckload (LTL) solutions that cater to businesses of different sizes, enhancing supply chain efficiency and providing flexible shipping options for freight transportation.
LTL shipping is one of the most cost-effective ways to move freight, but only if you know how to game the system. So, let’s get into it:
What is LTL Freight?
LTL (Less Than Truckload) freight is used for shipments that are too big for standard parcel shipping (like UPS or FedEx Ground) but don’t fill an entire truckload. If you’re shipping palletized freight between 150 lbs and 10,000 lbs and taking up less than 12 linear feet of truck space, you’re in LTL territory. LTL freight shipments combine multiple partial loads to maximize efficiency and reduce costs, with pricing influenced by factors such as shipment size and handling requirements.
🚛 LTL shipments are ideal for:✔️ Freight that is too heavy or too large for parcel carriers ✔️ Palletized shipments that can be moved with forklifts or pallet jacks ✔️ Businesses shipping regularly but not enough to fill an entire truck
Definition and Benefits of LTL Freight Services
LTL freight services, or less-than-truckload shipping, are designed for shipments that don’t require an entire truck. If your goods weigh between 150 and 15,000 pounds and don’t fill a full trailer, LTL shipping is your go-to option.
🚛 Benefits of LTL Freight Services:
Cost-Effectiveness: You only pay for the space your freight occupies, making it a budget-friendly choice compared to full truckload (FTL) shipping.
Flexibility: Ideal for businesses with smaller, frequent shipments.
Reduced Shipping Costs: Share the truck space and costs with other shippers, lowering your overall shipping expenses.
By leveraging LTL freight services, you can optimize your shipping costs without compromising on efficiency.
How LTL Differs from FTL and Parcel Shipping
Understanding the differences between LTL, FTL, and parcel shipping is crucial for choosing the right shipping method for your business.
🚛 LTL Shipping:
For shipments that don’t fill an entire truck.
Ideal for goods weighing between 150 and 15,000 pounds.
Cost-effective for smaller quantities.
🚛 FTL Shipping:
For shipments that fill an entire truck.
Best for large, bulk shipments.
Higher cost but faster transit times.
📦 Parcel Shipping:
For small packages weighing less than 150 pounds.
Used for individual or small quantity shipments.
Typically more expensive per unit weight for larger items.
LTL shipping strikes a balance between cost and efficiency, making it perfect for businesses that need to move larger quantities without filling an entire truck.
LTL Freight Dimensions & Weight Limits
📦 Standard pallet size: 40” x 48” x up to ~90” tall
📏 Space limit: Up to 12 linear feet on a truck
⚖️ Weight range: 150 lbs – 10,000 lbs
🚨 Pro Tip: If your shipment is over 12 feet, you’re moving into Volume LTL or Partial Truckload (PTL) territory—where pricing changes significantly.
How Are LTL Freight Rates Calculated?
LTL pricing is NOT one-size-fits-all. It’s based on several factors:
Freight shipments are priced based on various factors such as distance, size, and additional handling requirements.
1️⃣ Total Weight
The heavier the shipment, the lower the rate per pound (but the total cost increases).
2️⃣ Dimensions & Density of LTL Freight Shipments
Freight that is bulky but lightweight (like surfboards or furniture) is density rated, which affects its class and cost.
3️⃣ Freight Classification (NMFC Class)
Freight classes range from Class 50 (dense, cheap to ship) to Class 500 (light, expensive to ship)
The lower your class, the lower your shipping cost. Booking LTL loads through a self-service platform can further enhance efficiency and convenience, allowing users to quickly obtain quotes and manage shipments.
4️⃣ Packaging & Handling
Oddly shaped or fragile freight = higher costs
Palletized freight = cheaper, more efficient handling
5️⃣ Assessorial Charges (Extra Services) by LTL Carriers
Need a liftgate, residential delivery, or appointment scheduling? Expect extra fees. Options like expedited and guaranteed delivery can also significantly influence the quotes provided by carriers for freight shipments.
6️⃣ Insurance & Liability
If you’re shipping high-value items, increased coverage can significantly impact costs.
7️⃣ Hazardous Materials (Hazmat Fees)
🚨 Shipping lithium-ion batteries (like e-bikes & electric motorcycles)?
You’ll pay extra due to hazmat regulations.
🚨 Pro Tip: LTL carriers use dimensional pricing (DIM weight) to calculate rates. If your freight is large but light, optimizing your packaging can save you big money.
Choosing the Right Freight Carrier
Selecting the right freight carrier can make or break your shipping strategy. With so many options out there, it’s essential to choose wisely.
Types of Freight Carriers and Their Services
There are several types of freight carriers, each specializing in different shipping needs:
🚛 LTL Carriers:
Specialize in smaller shipments that don’t fill an entire truck.
Offer cost-effective solutions for mid-sized freight.
🚛 FTL Carriers:
Handle shipments that fill an entire truck.
Ideal for large, bulk shipments requiring dedicated space.
📦 Parcel Carriers:
Focus on small packages weighing less than 150 pounds.
Best for individual or small quantity shipments.
Factors to Consider When Selecting a Carrier
When choosing a freight carrier, consider the following factors:
Shipping Costs: Compare rates to find the most cost-effective option.
Transit Times: Ensure the carrier can meet your delivery deadlines.
Customer Service: Look for carriers with a reputation for excellent service.
Specialization: Some carriers specialize in certain types of goods, such as hazardous materials or oversized shipments.
How to Compare Carriers and Their Rates
Comparing carriers and their rates doesn’t have to be a headache. Here are some tips to make it easier:
Use Online Freight Marketplaces: Platforms like Freightquote allow you to compare rates from multiple carriers and book shipments online.
Leverage Freight Brokers: Brokers can negotiate rates on your behalf and find the best options for your shipping needs.
Check Reviews and Ratings: Look for feedback from other businesses to gauge a carrier’s reliability and service quality.
By considering these factors and using the right tools, you can choose the best freight carrier for your needs, ensuring your goods are transported safely and efficiently.
How to Get the Best LTL Freight Rates
Here’s the no-BS way to cut your LTL freight costs and maximize efficiency:
To further reduce costs associated with shipping LTL freight, consider implementing strategies that focus on understanding LTL freight rates and effectively managing shipping expenses.
1️⃣ Leverage a Freight Broker
Freight brokers (like Easy Logistics Management) negotiate better rates because we move high volumes of freight across multiple carriers. More volume = bigger discounts for you.
2️⃣ Get a Customer-Specific Pricing (CSP) Agreement
If you’re spending $15,000+ per month on shipping, you may qualify for carrier-specific pricing (CSP). This means:
✅ Lower base rates
✅ Class reductions (e.g., getting a Class 125 item billed at Class 100)
✅ Waived assessorial fees (like liftgate and residential delivery charges)
3️⃣ Optimize Your Packaging
📦 Reduce dimensions & weight where possible
📏 Use stackable, compact pallets to save space
🚫 Avoid overhanging freight, which costs more to ship
4️⃣ Ship More Per Load
Bulk shipping = lower cost per unit. Encourage customers or suppliers to order in larger quantities. While less-than-truckload (LTL) shipping consolidates multiple shipments from different shippers within one truck, full truckload freight involves a single shipper renting an entire trailer, which can be more cost-effective for larger shipments.
5️⃣ Minimize Extra Services
Cut out liftgate, inside delivery, or residential fees whenever possible to avoid unnecessary costs.
6️⃣ Automate & Streamline Your Freight Process
Using freight automation tools & TMS software, you can:
✅ Instantly compare LTL rates across multiple carriers
✅ Automate shipment booking, tracking, and paperwork
✅ Reduce admin time and optimize logistics
At Easy Logistics Management, we offer automated LTL freight solutions that integrate with e-commerce platforms, WMS, and ERP systems for seamless freight management.
🚀 Get the Best LTL Freight Rates Now!
If you want lower freight costs, smarter shipping, and expert guidance, we’ve got you covered.
💰 SAVE 20-40% on LTL Freight Rates
📞 Call us today: 866-854-5341 x3
📩 Request a FREE Quote Now: EasyLogisticsManagement.com
🚀 Let’s optimize your LTL shipping and cut costs today!
🔥 No BS. Just better LTL freight solutions. Let’s make your logistics work smarter, not harder. Call now!