Freight Class Made Easy: Top Resources for Every Shipper

09/07/2023 — Jen Deming

When it comes to shipping goods via less-than-truckload (LTL), understanding freight class is essential. Freight class is a numeric code that categorizes different types of products or commodities for shipping purposes. It plays a crucial role in determining the cost of your shipment and other factors such as weight, distance, and additional services. In this comprehensive list of resources, we will delve into the intricacies of freight class, covering everything from the very basics to tools that can help you determine class.

Resources that will help you understand everything you need to know about freight class:

• Understanding the basics of a freight class. 
  Freight classification is a crucial component of LTL shipping, but the system can be complicated. Factors such as density, storage/stowability, and liability all impact class, and the higher the number usually means the higher the rate. This article will help you understand the basics of freight class, and includes information about a valuable tool, ClassIT, that can help shippers accurately determine their product classification.


• Grasp the impact of density in freight shipping.
  Packaging, commodity type, and specs all impact the cost of your freight, but some products have an added layer of mystery (and math) when it comes to class - density. Density is calculated by measuring the height, width, and depth of the shipment, including skids and packaging. Learn more from our insights about why carriers are putting such an emphasis on shipment density and how it affects your freight costs.


• Decipher the complicated nature of an FAK.
  An FAK is a class agreement between a carrier and a shipper, allowing the shipper to move multiple products of different classes at one standardized freight class. Sounds simple, right? The catch is that carriers have held back in entering these agreements more now than they used to. This article takes a closer look at what defines an FAK, what shippers are likely to qualify, and if it’s something that makes sense for your business.


• Master the factors that affect your freight class.
  Freight classification is an essential process in LTL shipping that involves categorizing products based on specific criteria like density, stowability, liability, and handling. Understanding these variables is crucial for calculating the class and cost of shipping. This infographic can help you more easily understand the factors that determine class and how to get it right.

4 Key Factors That Affect Your Freight Class

08/24/2021 — Jen Deming

Freight classification is a type of product categorization unique to freight shipping. It relies on four factors that help determine cost: density, stowability, liability, and handling. Once you have a general understanding of these variables, you can better calculate how your class (and cost) will be determined. 

Freight Class Explained: FAK FAQs

02/27/2019 — Jen Deming

There seems to be an endless number of factors that can affect freight class, and in our last two blog posts, we covered the most significant, including product category, materials, packaging, and density. When we talk freight class with our customers, many shippers ask about a potential or existing FAK (Freight All Kinds) rating, and whether it's getting them the best pricing possible. yes, we're throwing another shipping acronym in the mix. We'll take a look at what it is, which shippers quality, and whether or not it really is right for your business. 

What is an FAK?

An FAK is a class agreement that is established between a carrier and a shipper, allowing the shipper to move multiple products of different classes at one standardized freight class. Essentially, an average class of all the commodities being shipped is determined, and the shipment gets rated at the same class regardless of the product type, making the price fair for both the carrier and the shipper.

How does this differ from a class exception?

A class exception agreement utilizes an umbrella system that may rate a range of actual class items at a lower class. For example,  a business that may ship items classed at 70-200 may be rated at a class 150. Anything above class 200 would ship actual class. A true FAK is extremely rare for a shipper to negotiate with a carrier, as it requires extremely high volume for carriers to determine it worth their while.

How does a carrier determine whether an FAK is possible?

As mentioned above, freight carriers really have a lot of the control and are calling the shots in many parts of the freight industry. A shipper must really be moving a high volume of loads in relatively even amounts in order for lower-classed items to offset higher-classed items, making the compromise worthwhile to the carrier. Originally, when FAK classification agreements were first implemented, they were beneficial to both parties. However, many shippers learned how to manipulate the agreement, shipping risky freight loads at a lower cost, and putting carriers in the hot seat. To combat the misuse of the system, carriers have held back in entering these agreements more now than they used to. 

If you are a rockstar at optimizing the packaging and maneuverability of your high-class freight, taking into consideration density, fragility, and stowability, you have a better shot at obtaining an FAK. Basically, if you can get your freight to operate like a lower class, you may be rewarded with a lower class.

What's the catch?

If anything proves true in freight shipping, it's that nothing is as simple as it seems. An FAK can seem like an awesome idea with a few drawbacks, but even if a shipper does manage to acquire an FAK with a carrier, it doesn't mean it's exclusively beneficial. Keep in mind that carriers are in charge and the parameters in place are pretty much at their discretion. If you are not shipping lots of mixed pallet freight, it just doesn't make sense. Small to medium-sized businesses that have one or two major commodity types won't see the same benefits of an FAK as facilities that are mass producing many types of products would.

If you are typically shipping lower-classed items, keep in mind that your "average" class could potentially be higher than your actual class, because you are essentially increasing your minimum charge. It may save you on the one-off shipment, but it's hurting you in the long run. The same goes for a class exception strategy. Carriers are not likely to be open to lumping any of your shipments of a higher class into this tier, no matter how infrequent they are. Because of this, your tired structure will likely reflect a higher average class, which is essentially over-classing your shipments. 

Another notable consequence of FAK implementation is that carriers will often limit liability on these shipments. In many carrier tariffs, verbiage is in place that the carrier is responsible for the price per pound on the freight class being paid. This is very different from actual class. If you are shipping a high value load at a very low class, even if the damage claim is won, the payout would be minimal compared to the value of the shipment. 

What's my class?

Now that we've gone over how an FAK can affect freight class, let's take a look at an example shipment that would create a difference for shippers with and without an FAK. We can use a hypothetical where we are a shipper with an FAK agreement in place. If the actual freight class of our shipment falls within 70-200, we are rated at 150.

In this example we will be looking at a pallet of popped popcorn, in boxes, measuring 40 x 48 x 52 and weighing 315 lbs. This is a common shipment that would typically be rated as density-based, and would have a high class due to the fact its density is low. We will use ClassIT in order to determine the actual class and compare it versus the FAK. 

With the search tool, we use the keyword "popped popcorn." It's important to note the distinction between popped popcorn and popcorn kernels because popped popcorn is much less dense, and a higher-classed shipment than raw kernels. Our shipment best falls into the Foodstuffs Group, which is a general group of foods, beverages, and other types of non-perishable items that are broken down into many articles usually determined by density:

FAK is just another added layer to the very complicated topic of freight classes. While they may sound like a great alternative to paying actual class, it's pretty clear that with the current state of the freight shipping industry, carriers are dictating the terms for shippers. FAK agreements are rare, and it's likely they aren't the best option available to lower freight cost anyway. The most important thing for shippers to consider isn't an FAK or even a discount percentage - it's what you are paying for your freight. A qualified freight broker can help alleviate the stress of shopping rates, and make sure you are paying for freight at the class that's right for you.

Freight Class Explained: Demystifying Density

02/20/2019 — Jen Deming

 

1. Multiply the length, width, and height (42 x 46 x42) to get the total cubic inches (81,444).
   
2. Divide the total cubic inches by 1,728 to get the total cubic feet (47).
3. Divide the weight of the shipment (500 lbs.) by the total cubic feet (47). This will give you a density of 10.65.

Looking at the chart, we see that because of our crated packaging type, the top 4 subgroups are applicable. 10.65 falls under the subgroup 3, or class 92.5. In this class example, it is important that dimensions and weight are accurately measured in order to calculate the true density (and appropriate class) for the shipment. It's also crucial to note once more that packaging makes a huge impact. See how high the classes jump if the product is palletized or in packages other than secure crates or boxes.

LTL services are in higher demand than ever before. National freight carriers are in the driver's seat, and doing what they can to limit troublesome shipments - including those with a low density and high freight class. Once you've optimized your shipments for carriers, many shippers wonder about whether a Freight All Kinds (FAK) agreement may be a worthwhile perk. Next, we'll take a look at what goes into that FAK and if it's right for your business.  The freight specialists at PartnerShip can guide the way so you aren't stuck staring at your calculator, and a high freight bill. Call 800-599-2902 to speak with a representative, or get a quote today.

Freight Class Explained: Bring on the Basics

02/13/2019 — Jen Deming

Freight class is a critical component of shipping your LTL loads. But it's confusing and making a guesstimate is risky business. Your shipment's freight class plays a huge part in from everything from your initial freight rate estimate to your payout for any potential damage claims. How can a little number mean so much?

What is a freight class?

Prior to understanding class number, shippers need to grasp the importance of the NMFC, or National Motor Freight Classification. Every type of product or commodity has a numeric code assigned to identify it within a categorical system, similar to a UPC used within a grocery store. The code also breaks down these products into over-arching groups, which then tell you how to class your product. There are 18 freight classes that range from 50 to 500. Your freight class helps the carrier determine how much to charge for your shipment, along with other factors such as weight and distance traveled, as well as any additional requested services. Typically, the higher the class, the more expensive the subsequent freight rate.  

What factors determine a freight class?

There are four factors that influence the classification of different commodities; each affects the difficulty in transporting the freight and increases the freight class. 

• Density - The space an item takes up as it relates to weight. The higher the density, the lower the classification. Low density shipments take up a lot of space but weigh less, making the shipment unprofitable to carriers. More classifications are becoming density-based as capacity becomes crunched and larger, less standard types of freight are entering the network to be shipped.
• Storage/Stowability - This refers to how easily freight can be stored and stacked on the truck, and how much space it takes up. Similar to density, if a shipment is large, oddly-shaped, or difficult to fit in the truck, the load becomes undesirable. .A higher freight class is assigned in order to reflect the added work to fit in the load.
• Handling - Similar to storage and stowability, the more difficult it is to load and unload a shipment affects freight class. A shipment that requires more creativity and flexibility to load and unload will increase the class.
• Liability - Carriers assign higher freight classes to "high risk" shipments in order to limit their accountability for those shipments that are more likely to be damaged in transit or have an increased risk for freight theft. If you have high value or fragile products, it will be reflected in a higher freight class to offset that risk.

Let's say we have a shipment of slate blocks which are in 3 creates that are 4 ft. by 4 ft. and 515 lbs. each. We see two groupings that actually fall into the same Item or NMFC number, which is 90280. This is considered the "Gravel or Stone Group; consisting of gravel, sand, slag, slate, or stone, as described in items subject to this grouping." If we select "Slate Blocks, Pieces or Slabs, NOI" we are brought to the following breakdown of articles. You can see how specific it gets regarding packaging, usage, and dimensions. 

By looking at our shipment of crated slate blocks, we can see that our sample shipment falls under the 90280 Slate Blocks Pieces or Slabs group:

It goes even further than that, breaking down into subgroups which determine freight class depending on packaging and size. This is why it is imperative to know the precise weight and dimensions of your shipment. In our example, our slate blocks are in crates 48 in. long, which falls under the subgroup 4 - class 65. Compare that to crated slate blocks longer than 96 in., which would be class 85. This is an increase, but shouldn't affect pricing drastically. When packaging type is adjusted, however, the class is increased significantly. By palletizing the slate blocks (subgroup 1), freight class jumps to 250. At this weight, the final freight rate can be raised by hundreds of dollars.

In the Slate Blocks, Pieces or Slabs group, you can also reference three separate notes that are relevant to the details of the shipment:

These details are notable, because it gives further direction on how best to package your freight for both safety and security. In 90282, the note states that "pieces or slabs 2 in. or less in thickness" must be boxed or crated and marked "fragile." We see more packaging direction in 90283 regarding exposed surfaces and edges and requirement for wrapping and other protection. This is to hopefully limit damage, but shippers must also be mindful that if freight falls within this category, and it is not packaged as directed, a damage claim will likely be denied by the carrier. 

Freight class, in addition to weight and distance traveled, is critical in determining a shipment rate. Specific details relating to product and packaging can greatly affect the NMFC code and final freight class. A shipment of slate blocks may sound simple enough, but things can get a bit more complicated once you start looking at different commodities. Density-based shipments can further befuddle shippers, and understanding these types of classifications is the next type of class breakdown we will tackle. The experts at PartnerShip can lend expertise so you can stop scratching your head. Call 800-599-2902 to speak with a representative, or find your freight class online.

How to Calculate Freight Density for Shipping

01/11/2019 — Leah Palnik

Density is a major factor in determining your freight class and your total shipment cost. In fact, many LTL carriers are relying more and more on freight density over actual weight to determine your rate. That's why it's important that you understand what freight density is and how to calculate it.

Freight density defined
Freight density measures how heavy a shipment is relative to the size of the shipment. The higher the density, the lower the classification and vice versa. A shipment with a high freight density weighs a lot relative to its size, such as densely packed books. A package with a low freight density weighs little relative to its size, such as a box filled with Styrofoam.

How to calculate freight density
Step 1. Measure the height, width, and depth of the shipment in inches. Measure to the farthest points, including skids or other packaging. On shipments with multiple pieces, repeat Step 1 for each piece.

Step 2. Multiply the three measurements (height x width x depth). The result is the total cubic inches of the shipment. If you have multiple pieces, multiply the height x width x depth for each piece. Take the results for each piece and add them together to get the total cubic inches

Step 3. Divide the total cubic inches by 1,728 (the number of cubic inches in a cubic foot). The result is the cubic feet of the shipment.

Step 4. Divide the weight (in pounds) of the shipment by the total cubic feet. The result is the pounds per cubic foot, i.e., density.

• For multiple pieces, add the weight of each piece together before dividing by the total cubic feet of the shipment.
• Round fractions to the nearest full cubic foot number.

Calculating freight density will also provide you with a recommended class for your shipment. The freight class chart below is an abbreviated scale you can use to help estimate the freight classification for your shipments.

Helpful tools
There are many factors that determine your freight class, aside from density, so these are estimates only. If you're looking for help to find your freight class, our team is standing by. For a quick and easy way to figure out your shipment density, check out our freight density calculator.

What You Need to Know About Freight Class Changes

08/10/2017 — Jen Deming

Weight, density, distance, and freight classification are all important variables that help to determine your LTL freight rate. Periodically,the National Motor Freight Traffic Association (NMFTA) will update and rework these freight classes in order to keep up with industry changes when needed. One such change went into effect on August 5, 2017 and has adjusted the NMFC class breakdowns on several categories of freight shipments. What are these changes and how will they affect you as a shipper?

The most significant change is seen in the categories of LTL freight that are classed according to a shipment's density or pounds per cubic foot.Typically, the lower the density, the higher the shipment will be classed (and the higher your rate will climb). Commodities such as Plastic Articles (15660), Wire Goods (198080) and Clothing (49880) are affected by this freight class update in addition to 138 other density-based freight classes.

The good news for shippers is that the new 11-tier system will provide a lower freight class for LTL shipments that are VERY dense (over 22.5 lbs per cubic foot).  If you are currently shipping loads that fall within this category, the lower freight class will potentially save you money going forward.

The other change affects mid-ranged LTL freight shipments with a class of 4-6 pounds per cubic foot previously set at class 150. With the new 11-tier breakdown, these shipments will be increasing to an updated class 175. Illustrated below, is the adjusted 11-tier classification system that will be replacing the former 9-tier model. Bold-faced density descriptions (subs) are the revised breakdowns.

It's important to mention that shippers with a FAK on certain types of commodities will also be affected. For example, if a shipper has been regularly shipping actual class 150 items at a FAK 100, and the density is 4-6 lbs per cubic foot, the shipment will now move at actual class 175 and the FAK will no longer apply.

What can shippers do to empower themselves and ensure they are doing the most they can to keep their LTL freight shipping costs low? At PartnerShip, you work directly with a dedicated freight specialist who will assist in calculating the accurate density of your shipments, and their proper freight class. Additionally, PartnerShip expertly audits your freight bills and will check for common invoicing errors, such as incorrect discounts and carrier mistakes—which cost your company money and affect your bottom line! If you are unsure on how to proceed with classifying your freight, or have a shipping challenge and don't know where to begin, PartnerShip can help point you in the right direction.

Find your freight class online!

What Determines LTL Freight Rates? 9 Things You Should Know

02/16/2017 — PartnerShip

An Introduction to Freight Classes

06/27/2016 — PartnerShip

Tips for Avoiding Freight Reweighs and Reclassifications

12/11/2014 — Matt Nagel

Efficiently managing your freight costs is key to keeping your bottom line in tip-top shape. One of the more common ways your freight costs increase is by the reweighing or reclassification of your freight. Carriers have the right to inspect your shipment if they deem necessary and these incidents can trip up even the most experienced shippers.

When it comes to avoiding reweighs and reclassifications, the best defense is a good offense. Doing your homework on best practices for shipping your freight and closely following these practices will give your freight the best chance of getting to it’s destination without being hit with unexpected charges.

Below we have some points of emphasis to remember before shipping your freight:

Know your freight classes: Less-than-truckload Freight Class refers to the National Motor Freight Classification (NMFC) and it is the category of your LTL freight as defined by the National Motor Freight Traffic Association (NMFTA). Your shipment's LTL freight class determines the carrier's shipping charges. It identifies the size, value and difficulty of transporting your LTL freight.

We know determining your freight class is one of the more cumbersome aspects of freight shipping, and that's why we've developed an entire ePaper on the subject, and a helpful Find Your Freight Class' tool for our customers. We ask a few simple questions about your commodity and point you in the right direction.

Stay up-to-date on industry changes: Like any industry, the freight industry is constantly changing and adapting. For example, NMFC changes evolve to accurately reflect a commodity's “transportability.” The NMFTA will post any changes on their website - regularly reviewing these types of resources will keep you in the know on the important changes that affect your freight.

Pay close attention to your shipment’s weight: Obviously very important to not being hit with a reweigh is getting it right the first time.

• All weights on the BOL should be exact weights, not approximations!
• Remember to include the weight of the pallet and other packaging in the final total weight
• Have your scales tested and calibrated often – we would recommend annually, but there’s no harm in more frequent fine tuning.

Work with an experienced partner you can trust: Even after doing your homework and following guidelines, the freight industry can be a complicated world to navigate. Working with a 3PL partner like PartnerShip allows you focus on your company and us to focus on the freight. We have a team of dedicated freight specialists that can guide you to provide accurate shipment information that will avoid reweighs and reclassifications. As a free service, we even audit your freight bills for errors or unnecessary charges that sometimes arise, and we have the industry knowledge to fight to correct any discrepancies.

Keeping the above tips and advice in mind when shipping your freight will help you stay ahead of the curve and eliminate any unwanted billing surprises. If you have additional questions about reweighs or reclassifications, or would like to learn more about PartnerShip, contact us today at 800-599-2902 or email sales@PartnerShip.com.

NMFC Changes That Could Affect Freight Shipping Rates

04/05/2012 — Scott Frederick

The National Motor Freight Classification (NMFC) is a standard for thousands of commodities likely to be shipped by carriers who agree to use this system. Factors such as weight, item type, dimensions, density, and valuation, among others, are used to determine the NMFC. The NMFC identifies what you are shipping and its freight class, which ultimately affects your freight shipping rates.

Frequent freight shippers and users of the NMFC will want to take note of some changes to the classification system – which will be effective April 14, 2012:

As always, PartnerShip is here to help you determine your commodity's NMFC. Contact us at 800-599-2902 or email select@PartnerShip.com with any questions. Our freight experts stand ready to help you with your freight shipping or to provide you with LTL freight quotes if needed.