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LTL freight rates: how less-than-truckload pricing works

By Jeff Davidson. Updated October 2026

What LTL is, and why it's priced differently

Less-than-truckload, or LTL, is freight that doesn't fill a trailer: usually one to six pallets. Instead of paying for a whole truck, the shipper pays for the space and handling their freight uses. LTL carriers pick up many shipments, bring them to a terminal, sort them, and move them on linehaul trucks to other terminals for delivery. That network is what makes LTL cheaper for small shipments and slower than a dedicated truck.

Because one trailer carries freight from many shippers, LTL can't be priced per mile the way a full truckload is. It's priced by how much of the network's capacity a shipment uses, which depends on its weight, its density and how easy it is to handle. That's where freight class comes in.

How LTL rates are calculated

Most LTL pricing works in the same steps. Carriers publish base rates in a tariff, often built on an industry rate base, with prices per hundred pounds that depend on the origin and destination ZIP codes, the freight class and the weight bracket. Then the shipper's discount comes off, a fuel surcharge goes on, and any accessorials are added.

  • Freight class. From 50 for dense freight to 400 for light, bulky freight. Higher classes cost more per hundred pounds. Since July 2025, most items are classed by density under the NMFC's 13-step scale.
  • Weight and weight breaks. Rates per hundredweight fall as shipments get heavier, in brackets. Sometimes declaring a shipment at the next bracket up costs less, which carriers apply automatically as a deficit weight.
  • Distance and lane. The ZIP-to-ZIP base rate reflects distance and how busy the lane is for the carrier's network.
  • Discount. Shippers usually get a percentage off the base rate, sometimes a large one. The discount matters as much as the base.
  • Minimum charge. Very small shipments pay a minimum, whatever the math says.
  • Fuel surcharge. A percentage that follows the weekly diesel price.
  • Accessorials. Liftgate, residential or limited-access delivery, inside delivery, appointment, notify before delivery, reweigh and reclass fees.

A worked LTL example

Here's how the pieces stack up on an EXAMPLE shipment. These are made-up rates to show the method, not any carrier's tariff.

EXAMPLE LTL shipment: 2 pallets, 1,000 lb, class 100
StepCalculationAmount
Base rate$80 per CWT x 10 CWT (EXAMPLE)$800.00
Discount70% off base (EXAMPLE)-$560.00
Net linehaul$800 - $560$240.00
Fuel surcharge30% of net linehaul (EXAMPLE)$72.00
Liftgate at deliveryFlat accessorial (EXAMPLE)$75.00
Total$387.00

Two things stand out. The discount is huge, so comparing base rates between carriers means little; compare the final price. And the accessorials and fuel can add nearly as much as the discounted linehaul. A quote without the liftgate, then a liftgate fee on the invoice, is one of the most common LTL surprises.

To estimate the class, use our freight class and density calculator. It works out pounds per cubic foot and the class on the 2025 density scale.

Reading an LTL quote line by line

An LTL quote usually shows the same lines as the example above, but the labels differ from carrier to carrier. Look for the class and weight the quote was priced at, and check they match your shipment. Look for the discount and whether it applies to every lane or only some. Check the fuel surcharge percentage and the date it was set, since it changes weekly. And read the list of accessorials included. If the quote says nothing about a liftgate or residential delivery and you need one, it isn't included.

Check the transit days too. LTL transit times are usually given in business days and depend on how the carrier's terminals connect between the two ZIP codes. A cheaper carrier with an extra day of transit may or may not suit the shipment.

How much does LTL shipping cost?

There's no honest average for LTL freight rates, because the same pallet can cost very different amounts depending on its class, the lane, the carrier, the shipper's discount and the accessorials. A dense pallet moving between two busy terminals might cost a fraction of a light, bulky pallet going to a rural home with a liftgate. Online LTL freight cost estimators give a range for one shipment on one day, which is the most useful number you'll get.

To get an accurate LTL estimate, have these ready: pickup and delivery ZIP codes, the number of pallets or pieces, exact dimensions including the pallet, total weight, the commodity, and every accessorial you need, like liftgate, residential delivery or an appointment. Most reclass and reweigh charges come from estimates that skipped one of these.

Common LTL accessorials

Accessorial fees are where many LTL bills grow. These are the ones that come up most, and when each applies.

  • Liftgate. The delivery or pickup location has no dock, so the driver uses a liftgate to lower or raise the freight.
  • Residential delivery. The delivery is to a home or a business run from a home, which takes more time for the carrier.
  • Limited access. Schools, churches, military bases, construction sites, farms and similar locations with restricted access.
  • Inside delivery. The driver brings the freight past the door, not just to the tailgate.
  • Appointment or notify. The carrier must call ahead or deliver in a set window.
  • Reweigh and reclass. The carrier finds a different weight or class than declared and bills the difference, often with a fee.
  • Redelivery and storage. A failed delivery attempt or freight held at the terminal.

Ways to lower LTL freight costs

  • Measure and weigh accurately. A wrong height or weight leads to a reclass or reweigh fee, usually higher than getting it right.
  • Improve density. Stack tightly, use the right pallet size and avoid wasted space. Higher density usually means a lower class.
  • Declare accessorials up front. Liftgate and residential delivery cost less on the quote than as a surprise on the invoice.
  • Compare final prices, not discounts. A big discount on a high base can still cost more.
  • Consider volume LTL or a partial truckload. For larger shipments, a quote priced on space rather than class can be cheaper and faster. See our guide on partial loads.
  • Be flexible on dates. Shipments that can wait a day or two for a carrier's schedule can sometimes get better pricing.

Why the same pallet costs different amounts with different carriers

Shippers are often surprised when two LTL carriers quote very different prices for the same pallet on the same day. There are good reasons for it. Each carrier's terminal network is different, so a lane that runs directly between two of one carrier's busy terminals may need extra handling or a partner carrier for another. The carrier with the better network fit can usually price lower and deliver faster.

Carriers also price to fill their own networks. A carrier with too much freight heading one way may price that direction higher and the return direction lower to balance its trucks. Discounts differ by customer, too, based on how much freight a shipper gives the carrier and how easy that freight is to handle. A shipper with clean, well-packaged, accurately described freight is cheaper to serve, and over time that shows up in the pricing.

For occasional shippers, the practical answer is to get several quotes on the same complete details, compare the final prices including fuel and accessorials, and look at the transit days and claims record as well as the price.

LTL vs full truckload

LTL makes sense for small shipments where paying for a whole truck would waste money. Once a shipment gets to roughly half a trailer, or to a weight where LTL rates add up, a full or partial truckload often costs about the same or less and arrives faster, with less handling and less risk of damage. Full truckload is priced per mile or per load for the whole trailer, which our guide to full truckload rates explains.

Expedited and time-critical freight is a separate case. When a shipment can't wait for an LTL network, a dedicated truck or van is the usual answer, and expedited freight rates reflect that speed.

If you're a carrier: LTL and your truck

Most owner-operators don't sell LTL service themselves, since it takes a terminal network. But LTL-sized freight still reaches small carriers: partial loads, pallet runs and final-mile deliveries, especially for box trucks and hotshots. Those loads are usually priced per load, not per hundredweight, so convert them to an all-in rate per mile and per hour before you compare. Our guide to LTL loads for carriers covers where to find them.

On the phone, the same rules apply as any load: know your floor, count the empty miles and the stops, and counter. Our guide on how to negotiate freight rates covers the conversation. For lane-level context on truckload pricing, see spot freight rates by major route.

BY Jeff Davidson, Dispatcher

Updated October 2026

Straight answers

How are LTL freight rates calculated?
From a base rate per hundred pounds that depends on the origin and destination ZIP codes, the freight class and the weight bracket. The shipper's discount comes off the base, then a fuel surcharge and any accessorials such as liftgate or residential delivery are added. A minimum charge applies to small shipments.
What determines freight class for LTL?
For most items since the July 2025 NMFC update, density: the shipment's weight divided by its cubic feet. The 13-step scale runs from class 50 for 50 or more pounds per cubic foot to class 400 for under 1. Some items are still classed by handling, liability or stowability.
Why is my LTL invoice higher than the quote?
Usually because of a reclass, a reweigh or an accessorial that wasn't on the quote, such as a liftgate, residential delivery, appointment or inside delivery. Fuel surcharges also change weekly. Accurate dimensions, weight and a full list of accessorials at quote time prevent most surprises.
When is a full truckload cheaper than LTL?
Often once a shipment fills around half a trailer or reaches a weight where LTL charges add up. A partial or full truckload quote then costs about the same or less and moves faster with less handling. Ask for both kinds of quote when a shipment is large.