Freight glossaryLTLTruckingFreight Pricing
Less-Than-Truckload (LTL)
Definition
Less-than-truckload (LTL) is a trucking service in which freight from several shippers shares one trailer, each shipper pays for its own portion, and the freight moves through the carrier's terminal network.
In simple English
LTL means your shipment is too small to fill a truck, so it rides with other companies' freight. You pay for the space and weight you use rather than for the whole trailer.
What it means
The FHWA freight glossary describes LTL as a container or trailer loaded with cargo from more than one shipper, made up of loads that do not by themselves meet the truckload requirement.[1] Estes Express Lines, an LTL carrier, describes typical LTL shipments as weighing between 150 and 15,000 lb and occupying only part of a trailer, usually on pallets; its standard pallet is 48 x 40 in.[2]
Where LTL ends is set by each carrier's rules tariff, not by a single regulation. FedEx Freight's 100-Y rules tariff defines LTL as freight weighing less than 20,000 lb and occupying less than one pup, and truckload as 20,000 lb or more or a pup or more.[3] Magnum LTL's tariff sets its line at 19,999 lb or less and under 21 linear feet of trailer.[4]
How LTL freight moves
Estes outlines the flow:[2]
- Pickup. The shipper requests a pickup and the carrier collects the freight, along with other customers' shipments on the same route.
- Consolidation. Freight from multiple shippers is combined into one trailer.
- Linehaul. Short hauls can run directly between service centers; longer ones route through the carrier's hubs.
- Delivery. A local truck delivers the shipment, using a liftgate where the consignee has no dock.
Every terminal stop is another handling, so LTL freight should be palletized, wrapped and labeled to survive several forklift moves. That handling is also why LTL is classed and priced differently from full truckload.
How LTL is priced, in brief
Estes names weight, freight class and the lane (its length, volume and competitiveness) as the main price factors, plus accessorial charges and fuel surcharges.[2] Freight class comes from the National Motor Freight Classification, which NMFTA says keeps LTL shipping consistent by assigning commodities a class from 50 to 500 based on density, handling, stowability and liability.[5] The full breakdown is in how LTL freight is priced, and the side-by-side with truckload is in LTL vs. FTL.
Linear foot and cubic capacity rules
Light, bulky freight can fill a trailer without weighing much, so carriers add rules that charge for space. These are tariff rules, and the thresholds differ by carrier. Two published examples:
| Tariff | Linear foot rule | Cubic capacity rule |
|---|---|---|
| FedEx Freight 100-Y | Item 390 (capacity load): freight using a linear length of 15 ft or more, when it is at least 5 ft wide or no identical article fits beside it. Freight over 15,000 lb also counts. | Items 613/614: shipments over 750 cubic feet with an average density under 4 lb per cubic foot get a minimum charge based on a calculated weight. |
| Magnum LTL 125 | Item 390: a shipment occupying 15 ft of trailer may be charged up to $0.13 per linear foot per actual mile, with a $500 minimum. | Item 390: a shipment occupying 750 cubic feet with density under 8 lb per cubic foot is rated on a calculated weight at 8 lb per cubic foot, class 100. |
Sources: FedEx Freight 100-Y rules tariff[3]; Magnum LTL 125 rules tariff.[4]
Stacking does not necessarily help. FedEx says linear feet are measured as floor loaded even if the shipment could be stacked, with handling-unit length taken from the side a pallet jack can reach.[3] Magnum treats a shipment as floor loaded when bill of lading instructions or packaging prevent use of the space above it.[4]
Why it matters
A shipment that is quoted as LTL can be billed very differently if it trips a carrier's space rule or is reclassified at a terminal. Measuring pallets accurately, marking stackable freight as stackable on the bill of lading, and recording the true handling-unit count all protect the quote; see why was my LTL shipment reclassified.
Example
Illustrative only: a distributor in New Jersey ships eight pallets, each 48 x 40 x 60 in. and 600 lb, to Georgia. On the trailer floor the pallets sit two across with the 48-in. side running lengthwise, so four rows take 4 x 4 = 16 linear feet. At 16 feet the shipment passes the 15-ft space threshold some carriers use, so the shipper checks the carrier's tariff and asks for a volume quote rather than assuming a standard class-based LTL rate.
Related
Related terms
- Co-loaderA co-loader is a non-vessel-operating common carrier (NVOCC) that combines its cargo with another NVOCC's...Glossary
- Full TruckloadFull truckload (FTL) is a shipment that has a trailer to itself, usually moving directly from pickup to...Glossary
- Freight ClassFreight class is the category from 50 to 500 that the National Motor Freight Classification assigns to a...Glossary
- NMFCThe National Motor Freight Classification (NMFC) is the standard, published by the National Motor Freight...Glossary
- Freight DensityFreight density is the weight of a handling unit divided by the space it occupies, stated in pounds per cubic...Glossary
- HundredweightA hundredweight (CWT) in U.S. freight is 100 pounds. LTL carriers quote base rates per hundredweight, so a...Glossary
- Freight ConsolidationFreight consolidation is combining two or more smaller shipments, often from different shippers or suppliers...Glossary
- Accessorial ChargeAn accessorial charge is a fee added to the base freight rate for extra services or events, such as...Glossary
- PalletA pallet is a flat, portable platform, usually wood, with a top deck and a bottom structure that lets a stack...Glossary
- Bill of LadingA bill of lading (BOL) is the document a carrier issues for freight it receives: a receipt for the goods and...Glossary
- Cross-DockingCross-docking is moving freight from inbound trucks or containers straight onto outbound trucks at a dock...Glossary
Related questions
- How Is LTL Freight Priced?LTL freight is priced from a base rate per hundredweight (100 lb) set by the shipment's freight class, its...Answer
- Why Was My LTL Shipment Reclassified?Because the carrier found that the class, weight or description on the bill of lading did not match the...Answer
- LTL vs. FTL: Which Should You Use?Use LTL when your freight fills only part of a trailer and can be handled at terminals along the way; you pay...Answer
- How Many Pallets Fit on a 26-ft Box Truck?On a rental fleet's published interior of up to 25 ft 11 in. long by 8 ft 1 in. wide, floor math gives 12...Answer
- FCL vs. LCL: Which Should You Choose?FCL (full container load) means one shipper books a whole container, pays a flat rate for the box, and the...Answer
- What Are the Main Types of Cross-Docking?Cross-docking is usually classified by when each unit's destination is decided: in pre-distribution...Answer
Frequently asked questions
What does LTL stand for in trucking?
What is LTL freight?
What is an LTL carrier?
How to calculate linear feet for freight?
What is the LTL linear foot rule?
Sources
- Federal Highway Administration, Office of Freight Management and Operations, “Freight Glossary,” Government glossary. Accessed September 30, 2026.
- Estes Express Lines, “What is LTL freight shipping?,” Carrier resource page. Accessed September 30, 2026.
- FedEx Freight, “FedEx Freight 100-Y Rules Tariff (effective January 5, 2026),” Carrier rules tariff. Published January 5, 2026. Accessed September 30, 2026.
- Magnum Logistics, “Magnum LTL 125 Rules and Special Services Tariff (effective April 1, 2026),” Carrier rules tariff. Accessed October 14, 2026.
- National Motor Freight Traffic Association, “What is Freight Class? (NMFC),” Industry standards body. Accessed September 30, 2026.
General operational information, not legal, customs or regulatory advice. Rules and rates change; confirm current requirements with the agency, carrier or contract that governs your shipment.