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LTL Shipping Explained: Costs, Transit Times, Freight Class & Common Mistakes

  • Writer: Whitecloud Fly
    Whitecloud Fly
  • Jan 27, 2020
  • 4 min read

Updated: 2 days ago

What Is LTL Shipping?

LTL (Less-Than-Truckload) shipping is a freight service that combines shipments from multiple businesses into one truck. Instead of paying for an entire trailer, each shipper pays only for the space their freight occupies. This makes LTL an economical solution for shipments that are too large for parcel carriers but don't require a full truckload.


Key Takeaways

  • LTL shipping allows multiple businesses to share truck space and transportation costs.

  • It is generally suitable for palletized freight over 150 lbs that does not require a full trailer.

  • Freight Class and NMFC play an important role in determining shipping costs.

  • Transit times vary depending on distance, terminal transfers, and carrier networks.

  • Accurate shipment information helps reduce delays and unexpected charges.


Why Businesses Choose LTL Shipping

For many small and medium-sized businesses, shipping a full trailer isn't practical. A manufacturer may only need to send five pallets, while an importer may have eight pallets ready for delivery. In these situations, paying for an entire truck would be unnecessarily expensive.

LTL shipping allows several businesses to share transportation costs while still receiving nationwide freight service.

Common businesses using LTL include:

  • Manufacturers

  • Importers

  • Wholesalers

  • Distributors

  • E-commerce companies

  • Retail businesses


How Does LTL Shipping Work?

Unlike parcel shipping, LTL freight travels through several transportation hubs before reaching its destination.


A typical shipment follows this process:

  1. Pickup from the shipper

  2. Delivery to the origin terminal

  3. Linehaul transportation between terminals

  4. Break bulk sorting at destination terminal

  5. Final delivery

Each transfer allows freight from different customers to be consolidated efficiently, reducing overall transportation costs.


When Should You Use LTL Instead of Parcel?

LTL is generally the better choice when:

  • The shipment is palletized.

  • Weight exceeds approximately 150 pounds.

  • Multiple cartons are shipped together.

  • The shipment cannot be handled safely through parcel networks.

  • Lower freight cost is more important than next-day delivery.

If you're shipping only one or two small cartons, parcel services are usually more appropriate.


LTL vs. FTL

LTL

FTL

Multiple shippers share one trailer

Entire trailer belongs to one customer

Lower shipping cost

Faster transit

More terminal handling

Less handling

Best for small freight volumes

Best for large shipments

Choosing between LTL and FTL depends on shipment size, urgency, and budget.


What Determines LTL Shipping Cost?

Several factors influence LTL pricing.


Freight Class

Freight Class reflects the density, handling difficulty, liability, and stowability of the freight.

A lower Freight Class generally results in lower shipping costs.


Shipment Weight

Heavier shipments typically have lower per-pound transportation costs.


Dimensions

Freight dimensions determine the amount of trailer space occupied.

Oversized shipments often incur additional charges.


Distance

Longer shipping distances naturally increase transportation costs.


Accessorial Charges

Additional services may include:

  • Liftgate Service

  • Residential Delivery

  • Appointment Delivery

  • Inside Delivery

  • Limited Access Pickup or Delivery

These services can significantly affect the final shipping price.


Why Are LTL Shipments Sometimes Delayed?

One common misconception is that delays are caused by a single problem.

In reality, LTL shipments often pass through multiple terminals before reaching their destination. Weather conditions, terminal congestion, mechanical issues, and scheduling adjustments can all contribute to longer transit times.


At Whitecloud Fly, we've found that transit consistency is often more valuable than simply choosing the carrier with the fastest advertised delivery time.


Common LTL Shipping Mistakes

Many shipping problems can be prevented with proper planning.

Some of the most common mistakes include:

  • Incorrect Freight Class

  • Poor pallet packaging

  • Inaccurate dimensions and weight

  • Incorrect or Incomplete Shipping Information (For example, shipper and receiver's address, name, phone number..)

  • Choosing the wrong additional services (For example, forget to add liftgate service..)

These mistakes often lead to unexpected charges or delivery delays.


How to Reduce Your LTL Shipping Costs

Businesses can reduce freight expenses by:

  • Improving pallet density

  • Measuring freight accurately

  • Selecting the correct Freight Class

  • Avoiding unnecessary accessorial services

  • Comparing multiple carrier options

  • Planning shipments in advance

Reducing transportation costs isn't always about finding the cheapest rate—it's about selecting the most appropriate shipping strategy.


Frequently Asked Questions


What does LTL stand for?

LTL stands for Less-Than-Truckload, meaning multiple customers share one truck.


Is LTL cheaper than parcel shipping?

For palletized shipments or freight over approximately 150 pounds, LTL is often more economical than parcel shipping.


How Long Does LTL Shipping Take?

Transit times vary depending on several factors, including shipping distance, carrier network, terminal transfers, weather conditions, and seasonal freight volumes.

Regional shipments may arrive within a few business days. However, cross-country shipments, such as those traveling from the U.S. East Coast to the West Coast, often require one to two weeks, and transit times may be longer during periods of high freight demand or network congestion.

Because transit times can vary significantly by lane and carrier, businesses should verify estimated delivery times before scheduling time-sensitive shipments.


What is Freight Class?

Freight Class is a standardized classification system used to calculate LTL shipping rates based on density, handling, liability, and stowability. (complete guide to Freight Class)


Can I track an LTL shipment?

Yes. Most carriers provide tracking using a PRO Number. (complete guide to PRO)


What Is NMFC?

The National Motor Freight Classification (NMFC) is a standardized system developed by the National Motor Freight Traffic Association (NMFTA) to classify commodities shipped through LTL freight services.

Each product is assigned an NMFC item number, which is used to determine the appropriate Freight Class based on four primary characteristics:

  • Density

  • Handling

  • Stowability

  • Liability

While the Freight Class determines the shipping rate, the NMFC code provides the standardized commodity description used to assign that class.

Using the correct NMFC item helps carriers classify freight consistently and can reduce the risk of unexpected reclassification charges.


Whitecloud Fly Insight

At Whitecloud Fly, we work with businesses shipping LTL freight across the United States every day.

One trend we've consistently observed is that many shipping problems don't occur during transportation—they begin before pickup due to inaccurate shipment information, incorrect Freight Class, or unrealistic transit expectations.

By planning shipments carefully and providing accurate freight details, businesses can often reduce delays, avoid additional charges, and improve overall shipping efficiency.



LTL shipping

#ltl#tl#truckshipping#shipping#trcuk


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