OnTrac vs. UPS: shipping costs and surcharges
The short version
- List rates: comparing the two tariff tables cell by cell, OnTrac is lower in 190 of 1,050 weight and zone cells, equal in 207 and higher in 653. The unweighted mean across cells is 0.9% above UPS; that is not a shipment-weighted estimate.
- Fuel: OnTrac’s national fuel surcharge is 26.75% this week against 29.50% at UPS Ground, worth about 2% of the total. OnTrac’s West Coast schedule, at 29.75%, removes that advantage.
- Additional handling: by weight, OnTrac charges $32 to $42 by zone against $46.50 to $58.75 at UPS. By dimension, UPS is lower, at $30 to $40.50 against OnTrac’s $32 to $42.
- Holiday: OnTrac adds $1.00 per residential package, more than UPS’s $0.50 to $0.75.
- Negotiated: in our 10 lb example, equal discounts leave OnTrac slightly cheaper and a UPS discount ten points deeper reverses it. Other weights, zones and surcharges can come out differently.
On published rates, OnTrac and UPS cost almost the same to ship a typical parcel. OnTrac’s 2026 list rates are within about 2% below to 3% above UPS Ground’s daily rates in every weight and zone, and the two carriers’ residential and delivery area charges differ by cents. In the residential examples below, OnTrac comes out 0.5% to 2.1% cheaper at list, mostly because its national fuel surcharge is lower this week. Handling charges split the other way depending on the trigger: OnTrac is much cheaper on a package that triggers additional handling by weight, 17% in our example, and slightly more expensive on one that triggers it by dimension. For a shipper with negotiated rates, the carrier with the deeper discount on your lanes usually wins, and that is a question of your agreements, not the rate cards.
OnTrac markets savings of 10% to 35% compared with national carriers. That is OnTrac’s claim, without a published method; the comparison here shows where savings of that size could and could not come from.
The pricing basis
The comparison uses published rates only, so it can be checked by anyone:
- OnTrac: 2026 Base Rates, effective January 3, 2026, and the current surcharge schedule; fuel on the national schedule, 26.75% for October 26 to November 1, 2026.
- UPS: 2026 UPS Ground daily rates, the edition updated May 10, 2026, and Rate and Service Guide charges; UPS Ground fuel, 29.50% for the same week.
- Fuel is applied to the base rate plus residential and handling charges at both carriers.
- Billable weight is the greater of actual and dimensional weight. The dimensions given keep dimensional weight at or below actual at a 139 divisor, except where stated.
- No delivery area, signature or demand charges. Holiday charges are discussed separately below.
- Each example assumes the same zone at both carriers. Real lanes need each carrier’s zone chart for your origin, because the same ZIP pair can fall in different zones, and OnTrac does not serve every destination.
Package examples at published rates, excluding demand surcharges
| Package | Assumed zone | OnTrac total | UPS Ground total | Difference |
|---|---|---|---|---|
| 2 lb, 8 × 6 × 4 in, residential | 3 | $26.22 | $26.74 | OnTrac $0.52 lower (1.9%) |
| 5 lb, 12 × 9 × 6 in, residential | 4 | $29.99 | $30.63 | OnTrac $0.64 lower (2.1%) |
| 10 lb, 14 × 12 × 8 in, residential | 5 | $34.30 | $34.91 | OnTrac $0.61 lower (1.7%) |
| 20 lb, 18 × 14 × 10 in, residential | 6 | $48.91 | $49.17 | OnTrac $0.26 lower (0.5%) |
| 55 lb, 20 × 16 × 14 in, commercial; additional handling by weight | 4 | $101.69 | $122.52 | OnTrac $20.83 lower (17.0%) |
| 20 lb, 50 × 12 × 10 in, commercial; additional handling by length; bills at 44 lb dimensional | 4 | $97.81 | $96.23 | UPS $1.58 lower (1.6%) |
Published rates as described above, priced for the week of October 26, 2026, with no demand, delivery area or signature charges. Illustrative zones, not verified lanes. Compiled by ebb Logistics.
The line detail for the 10 lb package shows how close the carriers are. OnTrac: base $20.46, residential $6.60, fuel $7.24, total $34.30. UPS: base $20.46, residential $6.50, fuel $7.95, total $34.91. The base rates are identical; OnTrac’s residential charge is 10 cents higher; the whole difference is fuel.
The 20 lb zone 6 package shows the opposite pull: OnTrac’s base rate is $31.99 against UPS’s $31.47, and the fuel advantage only just outweighs it. On heavier packages to distant zones, where OnTrac’s list rates run 2% to 3% above UPS’s, a small change in the fuel gap can make UPS the cheaper list option.
Where the differences come from
| Cost element | OnTrac, 2026 | UPS, 2026 |
|---|---|---|
| Base rates | Within −2% to +3% of UPS Ground, cell by cell; higher on heavier packages to distant zones | Ground daily rates |
| Fuel, week of October 26, 2026 | 26.75% national; 29.75% West Coast | 29.50% Ground |
| Residential | $6.60 | $6.50 |
| Delivery area, residential | $6.60; extended $8.80 | $6.55; extended $8.85; remote $16.50 |
| Large package | $265 to $325 by zone | $219.50 to $286 commercial; $254.50 to $331 residential |
| Holiday residential, ground | $1.00, October 24, 2026 to January 15, 2027 | $0.50 from October 25; $0.75 from November 22 to December 26; $0.50 to January 16, 2027 |
Sources: OnTrac surcharges and rates page; UPS 2026 Rate and Service Guide and value-added service rates; OnTrac and UPS fuel pages; UPS demand surcharge schedule, 2026.
Additional handling: the trigger decides which carrier is cheaper
OnTrac charges one additional handling amount per zone band whatever triggers it. UPS prices by trigger, and its weight-triggered charge is the highest of its three:
| Zone band | OnTrac, any trigger | UPS, dimension trigger | UPS, weight trigger |
|---|---|---|---|
| 2 | $32.00 | $30.00 | $46.50 |
| 3–4 | $36.00 | $33.25 | $50.75 |
| 5–6 | $40.00 | $38.50 | $56.25 |
| 7–8 | $42.00 | $40.50 | $58.75 |
Sources: OnTrac surcharges and rates page, zoned amounts in effect since March 7, 2026; 2026 UPS Rate and Service Guide, additional handling.
So a package over 50 lb pays $14 to $17 less in handling at OnTrac, while a package that is only too long or too wide pays $1.50 to $2.75 more. A shipper of heavy goods may find a real saving here; a shipper of long, light goods will not.
Fuel and the holiday season
OnTrac’s fuel advantage depends on the schedule. A shipper billed on OnTrac’s West Coast schedule pays 29.75%, more than UPS. OnTrac can apply that schedule where there is no written agreement, so check the terms that govern your account. Our OnTrac fuel surcharge guide explains which applies.
In the holiday season, OnTrac’s $1.00 residential demand charge is $0.50 more per residential package than UPS’s until November 22, and $0.25 more from then to December 26, before fuel. On the 10 lb example, with fuel on the demand charges, that leaves the two carriers level in late October: $35.57 at OnTrac and $35.56 at UPS. Our OnTrac demand surcharge guide has the full schedule.
Negotiated rates: an illustrative comparison
Few shippers with volume pay list rates at either carrier, and this is where the real answer lies. The figures below are an illustration with assumed discounts, not rates any shipper has been offered. They use the 10 lb residential package to zone 5.
| Scenario | OnTrac total | UPS total | Lower |
|---|---|---|---|
| Both carriers: 30% off base, 40% off residential | $23.17 | $23.59 | OnTrac, by $0.42 |
| OnTrac 30% off base; UPS 40% off base; both 40% off residential | $23.17 | $20.95 | UPS, by $2.22 |
| Discount OnTrac needs on base to match UPS at 40% | About 39% in this example: with OnTrac’s lower fuel, it can give about one point less discount and still match | ||
Illustrative. Fuel at 26.75% (OnTrac) and 29.50% (UPS) on the net charges. Your discounts, minimums and fuel terms decide the result, and other weights and zones can come out differently.
Because the list rates are so close, the comparison largely reduces to the discounts. A 10% to 35% saving, as OnTrac markets it, would have to come from OnTrac offering a deeper discount than your current UPS agreement, from surcharge terms, or from a package mix heavy in weight-triggered handling, rather than from the rate card. Also price the minimum charge: a high minimum at either carrier can override a percentage discount on light packages.
Beyond price
- Coverage. OnTrac does not deliver to every U.S. address, so a shipper using it needs a second carrier for the ZIP codes it does not serve. Check its service area against your destinations.
- Services. OnTrac is a ground network. UPS adds air, international, Ground Saver and a wider set of options for returns, pickups and signatures.
- Transit. OnTrac positions its network as faster than national carriers in its regions. On the lanes you would move, test transit with a pilot rather than relying on either carrier’s map.
- Your UPS agreement. Moving volume to OnTrac can lower your UPS tier and raise the rate on what stays. Price the remaining UPS volume at the tier you would fall to before you move anything, as our UPS vs USPS comparison explains for the same decision with the Postal Service.
How to compare OnTrac and UPS on your shipments
- Take three to six months of UPS shipment data with origin and destination ZIP codes, weights, dimensions and surcharges.
- Remove the destinations OnTrac does not serve.
- Rate the rest at OnTrac using its zone chart for your origin and a quoted or estimated discount, with its surcharges and the fuel schedule your agreement will use.
- Rate the same packages at your current UPS terms, and at the UPS tier you would hold after the move.
- Compare the totals by lane and package profile, not on average: the decision is usually to move some lanes, not all.
That is a shipment-level carrier cost analysis, and it is the comparison we run. Send us your shipment data through our free savings analysis and we will price your lanes at both carriers, with each carrier’s actual zones, and show where OnTrac saves money and where it does not. Our OnTrac rates and surcharges hub has the list rates and main surcharges.
Frequently asked questions
Is OnTrac cheaper than UPS?
At published rates, slightly, in our residential examples: up to about 2%, mostly from fuel on OnTrac’s national schedule. It is much cheaper on packages that trigger additional handling by weight, and slightly more expensive on those that trigger it by dimension. On negotiated rates it depends on the discount each carrier gives you.
Does OnTrac really save 10% to 35%?
That range is OnTrac’s marketing claim. Since the list rates are close to UPS’s, a saving that size would have to come from a deeper negotiated discount, surcharge terms or a package mix heavy in weight-triggered handling. Test it on your own shipments.
Is OnTrac as reliable as UPS?
Reliability varies by region and lane at any carrier. The practical test is a pilot on the lanes you would move, measured on transit and on-time delivery against your current UPS performance.
Can I use OnTrac and UPS together?
Yes, and many OnTrac shippers do, because OnTrac does not cover every address and does not offer air services. The routing rule should be set by lane and package profile, after checking what the move does to your UPS tier.
Sources
- OnTrac, Surcharges and Rates, and OnTrac 2026 Base Rates, effective January 3, 2026, read October 28, 2026.
- OnTrac, marketplaces page, for its 10% to 35% savings claim.
- UPS, 2026 UPS Rate and Service Guide, daily rates for UPS Ground (the edition updated May 10, 2026), residential and additional handling and large package charges; UPS revised rates for value-added services, effective December 22, 2025, for delivery area charges.
- UPS fuel surcharges and OnTrac fuel surcharge pages, for the week of October 26, 2026.
- UPS demand surcharge schedule, 2026.