Did you figure this out?
I use the transcoding for one tv in the house and it works great. Our firestick doesn't seem to like the default MPEG streams; it would stutter a lot. But 1080 mkv movies are smooth. So, I transcode the live tv to 720 mkv and it plays fine.
One 1080 MPEG tv channel transcoded to 720 MKV uses roughly 50% of my G3220 Pentium processor. Transcoding to 480 used less, I think it was 25-30% if I remember correctly. 1080 MPEG to 1080 MKV (just for fun) used 90-100% and caused buffering on the tv.
I just send the straight mpeg stream from tvheadend to the livingroom tv.
My plan was to use this information and passmark scores to figure out what cpu I wanted to upgrade to. In the end, I decided that my current setup is low power and working fine so until I add a tv or something I'm just sticking with it.
I'm no transcoding expert but thought I would share my experience. Hope it helps.