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March 31, 2025

Parcel, LTL Freight or Crated Freight

Three systems can move your shipment, and they are priced, handled and protected completely differently. The parcel network takes boxes up to roughly 70 pounds and within set size limits, handled by conveyor and sorted automatically. LTL freight takes palletised or crated loads, handled by forklift, priced by class and density. Specialised crating and freight takes what neither of those will safely accept. Most shipping problems come from putting something into the first system that belonged in the second or third. Here is how to tell which one you are in before the carrier tells you.

The Three Systems at a Glance

Parcel LTL Freight Crated / Specialised
Typical limit Around 70 lb, set size limits Pallet-sized, hundreds to thousands of lb Effectively unlimited, built to the item
How it is handled Conveyors, chutes, automated sortation Forklift and pallet jack Forklift, sometimes rigging
How it is priced Weight and dimensional weight Freight class, density, distance Quoted per shipment
Protection Whatever you packed it in Whatever you packed it in Engineered around the item
Liability Limited, tariff based Limited by class and weight Depends on arrangement
Best for Durable, replaceable goods Stable, palletisable goods Fragile, oversized, high value

The critical point in that table is the protection row. Neither the parcel network nor LTL provides any. Both assume you packed for the handling they apply. The difference between an intact arrival and a claim is decided before the carrier ever sees it.

Signs Your Shipment Has Outgrown the Parcel Network

  • It is over the weight limit. Standard parcel services commonly cap around 70 pounds. Confirm current limits with your carrier, since they vary by service.
  • It exceeds size limits. Length and girth restrictions frequently bite before weight does, particularly on long or bulky but light items.
  • You are paying oversize or additional handling surcharges. These are the carrier telling you your shipment does not fit the automated network. Once they appear regularly, freight is often cheaper.
  • It cannot go on a conveyor safely. Parcels are dropped, slid down chutes and sorted mechanically. Anything that cannot survive that is in the wrong system regardless of what it weighs.
  • You are double boxing heavily to compensate. If protection is becoming most of your packing cost, a crate on a pallet usually costs less and works better.
  • Its value exceeds parcel liability by a wide margin. Declared value coverage has limits and exclusions. For high value goods the risk sits with you regardless of what you declared.

What Changes When You Move to LTL Freight

LTL means your shipment shares a trailer with others, moving between terminals and being handled at each transfer. Two things change immediately.

First, pricing works differently. LTL is priced on freight classification, which reflects density, stowability, handling and liability. Classification is maintained through the NMFTA system. Density is the part you can influence: a tightly built crate on a correctly sized pallet classifies and prices better than a loosely packed, oversized one containing the same goods. This is the freight saving most shippers never examine, and it is covered further in our post on how custom crates save money.

Second, handling changes character. Your shipment is now moved by forklift by operators who have never seen it and have no idea what is inside. That is an argument for a crate rather than against one: fork entry from two sides, a load bearing top because it will be stacked, and clear marking on multiple faces are what make a shipment survivable in that environment. The engineering detail is in our guide to how wood crates are engineered.

Worth knowing as context: the LTL market itself has been reshaping. FedEx completed the spin-off of FedEx Freight on 1 June 2026, establishing its LTL business as an independent public company. Structural changes of that kind tend to bring pricing and service adjustments over time, so if you ship LTL regularly it is worth reviewing rates and classification periodically rather than assuming last year's arrangement still holds.

When You Need Crated or Specialised Freight

A pallet and shrink wrap works for stable, self supporting goods. It stops working when any of these apply:

  • The item cannot bear the weight of what will stack on it. Trailers are loaded to the ceiling.
  • It has no flat base or no safe lift points. Irregular shapes need a structure built around them before they can be handled at all.
  • Surfaces cannot be touched. Finished, painted, polished or glazed surfaces need to bear load through a frame, not against packaging.
  • It is crossing a border. Solid wood packaging must be heat treated and stamped under ISPM 15 or it can be held or refused. We apply the stamp in house.
  • It is irreplaceable. Liability limits are calculated on weight and class, not on what the item means to you.
  • It contains lithium batteries. Regulated as dangerous goods, with rules varying by mode. See lithium battery shipping.

At that point you are into custom crating and freight shipping, and often white glove delivery at the far end if the destination has no dock.

The Cost Comparison Nobody Runs

Shippers usually compare the packaging line item and stop there. The comparison that matters includes four numbers:

  • Packaging cost per shipment, divided by how many trips the container will make.
  • Freight cost, including surcharges and the effect of dimensions on price in whichever system you are using.
  • Expected loss, meaning realistic damage probability multiplied by the full cost of a failure, not just the item's replacement value.
  • The cost of the date being missed, which is usually the largest and almost never budgeted.

Run those four and the answer is often counterintuitive. Moving up from parcel to palletised freight frequently reduces total cost on heavy items despite the higher headline rate. Moving up to a crate frequently reduces it again on anything fragile or repeated.

What We Do at Each Level

If you are unsure whether you need a freight forwarder or a customs broker, we have a short explainer on the difference.

Not Sure Which System Your Shipment Belongs In?

Send us dimensions, weight, what it is, where it is going and how often you ship it. We will tell you whether it is a parcel, a pallet or a crate, and quote whichever is right. If the answer is a box, we will say so and sell you the box. Call 702-748-4973 or 1-833-801-9084 toll free, email contact@lasvegascrating.com, or request a quote online.

Frequently Asked Questions

Standard parcel services commonly cap around 70 pounds per package, with size limits based on length and girth that often apply before weight does. Limits vary by carrier and service, so confirm current figures directly. Above those thresholds you are into freight.

Parcel moves individual boxes through automated sortation, priced on weight and dimensional weight. LTL moves palletised or crated loads by forklift between terminals, priced on freight classification which reflects density, stowability, handling and liability. Neither provides protection; both assume you packed appropriately.

It can. Freight pricing responds to density and dimensions, so a tightly built crate on a correctly sized pallet often classifies and prices better than a loose or oversized load of the same goods. It also removes the surcharges that accumulate when a shipment does not fit the parcel network.

A pallet suits stable, self supporting goods that can bear stacking. A crate is needed when the item cannot support weight on top, has no safe lift points or flat base, has surfaces that cannot be touched, or is crossing a border where wood packaging compliance applies.

Carrier liability on LTL is limited by freight class and weight rather than by the value of your goods, so recovery is frequently well below replacement cost. This is why packaging is the real protection and why high value shipments warrant separate cargo insurance. Speak to your broker about coverage.

FedEx completed the separation of FedEx Freight into an independent public company on 1 June 2026. Structural changes of this kind generally lead to pricing and service adjustments over time. If you ship LTL regularly, review your rates and freight classification periodically rather than assuming existing arrangements carry forward.

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