A Peek at Peak Season Surcharges

A Peek at Peak Season Surcharges

Here are a few tips to help save you on your freight, cargo and shipping expenses as we enter the peak season during a COVID-19 pandemic.

KEEP BOTH EYES OPEN !!!

First we have pallets – also known as Less Than a Truckload (LTL). 

LTL is a very practical and economical method of transporting goods over the roadways. 

As per Department of Transportation (DOT) regulations, all pallets traveling by truck in the USA or Canada require a Class and a National Motor Freight Classification (NMFC) Number listed on the Bill of Lading (BOL) documentation.  

Use NMFC item numbers to classify your goods in order to receive the most accurate pricing.

These freight “classes” were created to streamline freight categorization and pricing across the Industry.  Freight classes range from 50 to 500.  The higher class numbers are typically more expensive to ship.  

Here’s where companies pay extra when improperly classifying freight.  

You pay extra fees due to reclassifications when the class is incorrectly applied to an LTL.  

What a lot of companies don’t understand is that the classification can change depending on the volume of the actual items on the pallet.  

Some of the factors that determine freight shipping class are Commodity and Density.

Others are Stowability, Handling and of course Liability which we will get to in a later post. 

Some commodities are not based on Density and have pre-defined freight classes.   Many LTL freight carriers often choose Density-based freight because commodity freight classes can be arbitrary. 

This “Density” class is determined by the total weight in pounds divided by the total cubic feet. 

Mathematically, it goes without saying that freight with a lower density, results in a higher freight class.

Avoid extra fees at the inspection and weigh stations. Contact us to help you properly classify your LTL shipments.  

Lastly here are some examples of what a freight class, commodity and density in pounds per cubic foot look like. 

Class 50 would be something like steel rods, rebar, nuts and bolts with a density of more than  50+  ft.³  

So, the next time you see a  flat bed truck on the road with a bunch of rebar stacked on it you know the class !

Class 70 would be for paper in boxes or food items. The density would range between 15 to 22.5 ft.³ 

Class 100 would be something like wine cases with a density between 9 and 10.5 ft.³ 

Class 110 would be cabinets with a density between 8 and 9 ft.³ 

Class 150 would be bookcases with a density between 6 and 7 ft.³ 

Class 250 would be furniture or Flat screen TVs with a density between 3 and 4 ft.³ 

Class 400 would be light fixtures with a density between 1 and 2 ft.³ 

So, you can see there’s quite a variance and that is why before you ship a LTL, know how to classify it properly.

Peak Season Surcharges are now in effect for small parcels, so plan ahead.  Contact us if you need help.

Click here to learn more from an earlier post.

UPS and FedEx already added Peak surcharges effective October 4 and 5 respectively through January 16 and 17th next year.  Both UPS and FedEx are charging an extra $50 and $52.50 for “Large” and “Oversize” packages. 

So, be aware of your LTL shipments and Don’t be out Classed. We can help you save some of that LTL money so you can use it as a stocking stuffer! Keep an eye out for those Large or Oversized packages…Better still -keep 2 eyes open !

Remember be like the wise old Owl – LTL (Love That Line) and Keep both Eyes Open !

By David Lorusso

CEO /DGL Logistics, LLC

[email protected]

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