U.S. Postal Rates Increase Again

Lazaro Aleman
ECB Publishing, Inc.

In what is becoming almost an annual announcement, the U.S. Postal Service has filed a notice with the Postal Regulatory Commission (PRC) to change First Class Mail prices in 2023.
These changes for consumers translate into higher rates for postage stamps and other postal services.
Per the proposed changes, which are set to take effect on Jan. 22 if the PRC approves them, as it is expected to do, the increases will raise the prices of First-Class Mail about 4.2 percent overall. The Postal Service says the changes are necessary to offset lower volumes and inflationary pressures.
On average, the price increases range from three to five cents, depending on the product.
Following is a breakdown of the proposed price changes:
• One-ounce letters, which typically take the popular First Class Forever stamp, will go up three cents, from the current 60 cents to 63 cents.
• One-ounce metered letters will also go up three cents, from the current 57 cents to 60 cents.
• Domestic postcards will go up four cents, from the current 44 cents to 48 cents.
• International postcards will go up five cents, from the current $1.40 to $1.45.
• And one-ounce international letters will likewise go up five cents, from the current $1.40 to $1.45.
The single-piece letter and flat additional-ounce price, however, will remain unchanged at 24 cents.
The price adjustments, the Postal Service says, are necessary to generate additional revenue and achieve financial stability as its operating costs continue to rise.
The Postal Service is also seeking fee adjustments for its Special Services products, which include certified mail, post office box rentals, money orders and insurance coverage on mailed items.
Notwithstanding the increases, the Postal Service maintains that the prices of its services remain among the most affordable in the world.
Rate increases by the Postal Service were few and far between in the long-ago past. In recent decades, however, the increases have been coming more rapidly. Since 2000, for example, the price of a First-Class stamp has increased 15 times, from 33 cents in 2000 to 60 cents today. The most recent increase was on July 10, 2022.