Question / Help Beefy CPU cant even handle 'faster' preset - Stream lags!

[VenomPlaysPC]

Please help, I tried to stream a non intensive game yesterday, Feed the Beast 'minecraft with mods' and I notice the quality wasn't too good and i had it set on ultrafast so I had a look around and found out the CPU preset makes the stream look better so I increased it 1 by 1 and as I did the 4th, faster preset and fast preset it started to lag but only used 10% of my CPU, Why is this? the game runs perfectly but the stream looks choppy and stuttering, lag. Is their anything I can do to fix it please?
I just streamed for a couple minutes at 3500 bitrate, faster preset and it goes to 35% CPU and it says encoding overloaded, surely my 4790k can handle this?
LOG - https://hastebin.com/keruzofana

 

[BK-Morpheus]

Not really sure, if the CPU can handle 720p 60fps faster preset while gaming (i7-4790K is solid, but not beefy).

The CPU load might be misleading, as the overall usage in percent is not showing bottlenecks on single threads (especially on a system with Hyperthreading).
As you might have already seen, the visual difference between very fast and fast preset is barely noticable, so I would suggest to keep it at very fast and turn off Windows 10 Game DVR.
You might also want to turn off the onboard GPU (Intel HD Graphics).