A method of embedding information in a packet with low overhead is provided. The method includes receiving an IP packet at a first networking device and translating it into an intermediary packet having a non-IP header and a data field. Translating includes copying at least the transport layer data field into the data field of the intermediary packet, compressing the IP header, and embedding out-of-band data into the non-IP header of the intermediary packet. The intermediary packet is sent to second networking device. At the second networking device the intermediary packet is translated into a re-created IP packet. The re-created IP packet is sent toward a destination of the original IP packet.