The United States Postal Service raises the price of stamps on January 1. 22. Photo: Luke Sharrett/Bloomberg via Getty Images
Postage stamp prices rise on Sunday for the third time in nearly 17 months. The costs of sending a letter by certified mail and insuring the parcels will also increase.
Why is it important: Inflation has pushed up prices on just about everything and the US Postal Service says the roughly 4.2% increase in first-class mail “will offset rising inflation”.
- Effective Jan. 22, USPS will also increase money order fees and PO box rental fees.
Increase in postage rates
Retails: With the new rates, the postage for a 1 ounce letter is 63 cents, compared to 60 cents previously.
- 1-ounce metered letters cost 60 cents, down from 57 cents.
- Postcards sent domestically cost 48 cents, down from 44 cents.
- International postcards and 1 ounce letters are $1.45, a 5 cent increase.
- Certified mail charges, which are in addition to postage and other charges, are reduced from $4 to $4.15. The fee with an adult signature increases by 45 cents, from $10.35 to $10.80.
Increase in the price of Forever stamps
backtrack: The Postal Service began selling Forever stamps in 2007, when they cost 41 cents.
Our thought bubble: Forever stamps help lock in current prices to avoid feeling the impact of rate increases.
- Someone with the original 2007 Forever stamps saves 22 cents with every letter they send after Sunday.
- And if you still have Forever 2018 stamps that cost 50 cents each, you’ll save 13 cents with the old stamps.
Prices for stamps in the future
And after: Further price increases are expected as part of Postmaster General Louis DeJoy’s 10-year Delivering for America plan “to achieve financial sustainability.”
What they say : “In less than a decade, Americans could be paying well over a dollar to post a single letter,” Kevin Yoder, executive director of advocacy group Keep US Posted and a former congressman, told Axios.
- “The mail industry must be prepared to continue to use our authority to raise the prices of market-dominant products at an uncomfortable rate,” DeJoy said at the May Postal Service Board of Governors meeting.
- Jason Dies, executive vice president of Pitney Bowes, said costs were rising for other carriers as well, and the increases would impact consumers if companies didn’t change their current shipping processes.
- “Consumers will see higher shipping costs or slower delivery options as businesses seek to cut costs by trying to keep free shipping going,” Dies told Axios.