What the 2016 USPS Rate Increase Means for You and Your Business

If you primarily ship your products via the United States Postal Service, you can expect some big changes coming in 2016 with the first USPS rate increase in 3 years. The rate hike, starting January 17th, also comes with many other changes that may even lower your shipping costs.


usps rate increase

What USPS Services Are Affected?

According to stamps.com, Priority Mail Express services will see an average price increase of 15.6%. Regular Priority Mail will see an increase of 9.4%. Both the Regional Rate Box C and Express Flat Rate boxes will be discontinued. Along with the priority changes, First Class Packages will see an increase in price of 12.8%.

The Good News

However, there is some good news that has the potential to save your business bigtime. First Class letters weighing 1 ounce or less will stay at their current price of $0.49. Not only that, but according to The Washington Post, the previous price hike in 2013 will be discontinued this spring, bringing first class stamps even lower to $0.46.

The biggest news though, comes with a new rule rolling out the same time as the USPS price increases. The standard 13 ounce limit on First Class packages will now be 15.99 ounces- just under 1 pound. This has the potential to save, especially for smaller products and shipments.

What You Can Do to Keep Shipping Costs Low

  • If a shipment hovers around 1 pound, take advantage of the new 15.99 ounce rule and fit your shipments into the first class sweet spot.
  • If you currently use a box being discontinued, plan ahead! Experiment with other box and shipping options for your products.
  • With first class letters being the cheapest since 2013, now is a great time to take advantage of Direct Mail Marketing.

Make sure to be prepared this January and take advantage of the new cheaper USPS options. Don’t use the postal service? Learn more about the UPS and FedEx changes earlier this year.

What the 2016 USPS Rate Increase Means for You and Your Business was last modified: January 7th, 2016 by Zack
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