LTL vs FTL Shipping: Which Method Saves You More Money?
Two Ways to Move Freight — One Is Almost Always Better for You
When you need to ship freight, one of the first decisions you’ll face is whether to use LTL (Less-Than-Truckload) or FTL (Full Truckload) shipping. The right choice depends on your shipment size, budget, and timeline — and picking wrong can cost you hundreds or thousands of dollars per shipment.
Table of Contents
Here’s a clear, no-nonsense breakdown of when to use each — and how to decide.
The Core Difference
LTL (Less-Than-Truckload): Your freight shares trailer space with shipments from other companies. You pay for the space you use, not the whole truck.
FTL (Full Truckload): You book the entire trailer for your freight alone. Whether you fill it completely or not, you’re paying for the full truck.
Think of LTL as a bus (shared, stops along the way, cheaper per person) and FTL as a private car (dedicated, direct, more expensive but faster).
Side-by-Side Comparison
| Factor | LTL | FTL |
|---|---|---|
| Shipment size | 1-10 pallets (150-15,000 lbs) | 10+ pallets or 15,000+ lbs |
| Cost | $200-$2,000+ per shipment | $1,500-$5,000+ per shipment |
| Pricing model | Per hundredweight (CWT) + freight class | Flat rate per mile or per load |
| Transit time | 2-7 business days | 1-5 business days |
| Handling | Multiple touches (loaded/unloaded at terminals) | Minimal handling (loaded once, delivered direct) |
| Damage risk | Higher (more handling, shared space) | Lower (dedicated trailer, fewer touches) |
| Tracking | Terminal-to-terminal updates | Real-time GPS tracking common |
| Flexibility | Scheduled pickups, carrier terminals | Direct pickup and delivery, more scheduling flexibility |
When LTL Is the Better Choice
Your shipment is under 10 pallets or 15,000 lbs
This is the clearest indicator. If you’re shipping 1-6 pallets, FTL is almost never cost-effective. You’d be paying for empty trailer space. LTL lets you pay only for what you use.
You’re shipping regularly but in small quantities
Manufacturers and distributors who ship to multiple customers daily rarely need full trucks for each. LTL lets you service many customers with smaller, more frequent shipments.
Budget is the priority
For smaller shipments, LTL is significantly cheaper. A 2-pallet shipment from Dallas to Atlanta might cost $400-600 via LTL. The same lane via FTL would be $1,800-2,500 — even though you’re only using 10% of the trailer.
You can tolerate slightly longer transit times
LTL shipments pass through carrier terminals for consolidation, which adds 1-3 days compared to FTL. If your delivery isn’t time-critical, the savings are worth the wait.
When FTL Is the Better Choice
Your shipment fills more than half a trailer
Once you’re above 10-12 pallets or approaching 15,000 lbs, FTL rates start competing with — or beating — LTL. At this volume, you’re paying for a lot of LTL space, and the per-pound savings diminish.
Speed matters
FTL shipments go direct from pickup to delivery. No terminal stops, no consolidation, no waiting. If your freight is time-sensitive (perishable goods, production materials, customer deadlines), FTL gets it there faster.
You’re shipping fragile or high-value goods
Every time freight is handled — loaded, unloaded, moved between trailers at terminals — there’s a risk of damage. LTL shipments get touched 4-6 times in a typical transit. FTL? Loaded once, delivered once. For fragile or valuable freight, the lower damage risk justifies the higher cost.
You need guaranteed delivery windows
FTL offers more precise scheduling. If your customer requires a specific delivery time (common in retail and manufacturing), FTL’s direct service makes that easier to guarantee.
The Break-Even Point
The crossover point where FTL becomes cheaper than LTL depends on the lane, freight class, and accessorials, but here’s a general rule of thumb:
- Under 5,000 lbs: LTL is almost always cheaper
- 5,000-10,000 lbs: Compare both — LTL usually wins but the gap narrows
- 10,000-15,000 lbs: Toss-up — get quotes for both
- Over 15,000 lbs: FTL is usually cheaper and faster
The only way to know for sure is to quote both options. Some platforms let you compare LTL and FTL rates side by side, which makes the decision easy.
The Hidden Cost Most Shippers Miss
When comparing LTL and FTL, most shippers look at the line-haul rate and stop there. But LTL has accessorial charges that can close the gap quickly:
- Liftgate delivery: $75-150
- Residential delivery: $75-125
- Inside delivery: $100-200
- Re-delivery fee (if receiver isn’t available): $100-200
A $600 LTL shipment with liftgate + residential delivery + inside delivery becomes $950. At that point, FTL might have been cheaper — and your freight would have arrived sooner with less handling.
Always include accessorials when comparing. The cheapest option isn’t always what it looks like at first glance.
Can You Get the Best of Both Worlds?
Yes — there are a couple of hybrid options:
Volume LTL (VLTL)
For shipments that are too big for standard LTL but don’t need a full truck (typically 6-12 pallets or 5,000-12,000 lbs), volume LTL offers better rates than standard LTL without requiring a full trailer commitment.
Partial Truckload
Similar to VLTL, partial loads fill 25-75% of a trailer. The freight goes direct (like FTL) but at a reduced rate since the carrier can fill the remaining space with other freight.
Making the Right Call
The decision tree is simple:
- Is your shipment under 5,000 lbs and 6 pallets? → LTL
- Is your shipment over 15,000 lbs or 10+ pallets? → FTL
- Is it somewhere in between? → Quote both and compare total cost (including accessorials)
- Is it time-sensitive or fragile? → Lean toward FTL regardless of size
The worst thing you can do is default to one method without checking. A 5-minute comparison can save you hundreds per shipment.
EagleLoad lets you compare LTL and VLTL rates instantly from multiple carriers — so you always pick the option that saves you the most. Try it free with no credit card required.
Sources: FreightWaves, DAT Freight Analytics
