USPS Postage Rates Increase

The Postal Regulatory Commission has approved the USPS requested postage rate increases, with rates noted below all effective on Sunday, May 31, 2015.
 
Our thanks to our friend David Wysong at AllMail USA for reducing the 133-page PDF published by the Postal Regulatory Commission titled Order No. 2472 into something we could share with members.

The overall average of all increases is about 2%, but as in years past, the weight of the increases is always more pronounced in certain classes of mail.

First-Class Mail – (Stamps only) – Keeping the masses happy, this rate remains unchanged at 49¢.

Metered Mail – Currently, businesses that use metering machines or a service such as Stamps.com receive a 1¢ discount on every piece of letter-sized mail, this discount will be reduced to 0.5¢ so metered mail will increase from 48¢ apiece to 48.5¢ apiece.

Individually mailed postcards will increase 1¢ as well going from their current rate of 34¢ to 35¢ with discounts allowed for pre-sorted mail.

Standard first-class international mail will increase from $1.15 apiece to $1.20 apiece.

First class presort mail for letter-sized pieces, currently averages around 41¢ apiece and will be closer to 42¢ apiece.
 
Presort Standard Mail – Presort standard letter-sized mail is scheduled to increase 1.741%. Average rates for this style of bulk mail are currently around 28.5¢ apiece, and will now increase to about 29¢ apiece. Letter-sized mail is generally considered 6.125″ x 11″ or smaller but there are some exceptions due to weight or aspect ratio (shape).

Presort standard flat-sized mail (aka “catalogs”) will increase 2.549%. Average rates for this style of bulk mail are currently around 48.5¢ apiece, and will now increase to about 52.5¢ apiece. Due to the USPS’ failing to cover its’ total cost of delivery, Catalog-sized mailers have been consistent target for higher than average annual rate increases.  As noted by David at Allmail USA, the USPS only has to maintain the rate cap for an entire rate class, thus they can minimize the increase at one rate point to allow above average increases elsewhere.
 
Presort postage varies greatly and if your company mails, speaking to your mail service provider should be high on your “to do” list in order not to be surprised down the road.
 
David Wysong also reminded us that other rate adjustments are currently in the works as the “temporary” Exigent (read that as Emergency) Rate increase put in to effect January 2014 is estimated end in late July.  Once the total of “lost” revenue the PRC allowed the USPS to recover due to the “GREAT RECCESSION”, the USPS must stop collecting the Exigent Rate, rolling back the 4.3% it added in 2014 from new rates.
 
The USPS sued the Postal Regulatory Commission (PRC) over their final decision soon thereafter. The DC Federal Court still as yet to rule on the USPS’s request to make this increase permanent (as requested by the USPS in their original request) or to remain in place if the Court remands the order back to the PRC to be ruled on again. The USPS in their attempt deal with the multi-billion dollar annual losses, have closed processing plants as well as introduced a multitude of new regulations that could affect our members that rely on mass mailings of promotional material. Stay tuned.

Contact Info:

David M Wysong, President –  Allmail USA Inc
8517 Mid County Industrial Dr  – Saint Louis MO 63114-6011
314-426-6245 Office  –  314-426-2755 Fax
dwysong@allmail-usa.com. S