No 2016 Postage Rate increase for First Class Mail

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January 5, 2016

Priority Mail Sees 2016 Postage Rate Increase

usps 2016 rate increase

As we start 2016, there’s good news and not-so-good news regarding domestic postal rate increases.

First some good news

  • No rate increases on First Class Mail (1 oz.) rates – $0.49 remains the base rate for letters
  • Metered First Class Mail also remains the same rate, at $0.485, for 2016
  • Additional ounces for these categories stays at $0.22 – the same rate as 2015.     

However, effective January 17, 2016, Priority Mail sees a bump

  • Priority Mail will increase by a 9.4% average rate in 2016
  • Priority Mail Express Flat Rate Box is being discontinued in 2016
  • Priority Mail Regional Rate Box C is also discontinued in ‘16.

Other 2016 postage rate increases include:

  • First Class Package Service is set to increase 12.8%
  • Maximum weight for FC Package Service Commercial Base pricing is increasing from 13 to 15.99 ounces
  • Commercial Plus pricing for FC Package Service is being eliminated in 2016.

During 2016, Parcel Select Nonpresort is being renamed as Parcel Select Ground. And Standard Post will be renamed Retail Ground this year, as well. 

The average shipping cost is increasing 9.5% in 2016, which translates to about $5.50 per shipment.

Priority mail – any package under 70 pounds with three days – is increasing by a 9.8% average. That’s roughly $6.80 to $18.75, depending on the size of the box being shipped.

The price hikes are the first Priority Mail has seen in three years, and have been delayed until after the holiday season.  These USPS rate hikes come a day after UPS announced an almost 5% rate increase.  A full list of rate changes can be found at the USPS website.

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