A reminder that the USPS will NOT be raising First Class, Marketing Mail or Parcel rates in January 2025.
The “Temporary Price Increase” for Packages will end on January 19, 2025.
The USPS has filed with the Postal Regulatory Commission its intention to file a rate case in April 2025 to go into effect July 2025 (likely July 13th). They have stated that they will be requesting most, if not all, of their pricing authority. The July 2025 rate case will be the last rate case the USPS will have “retirement rate authority” (historically .8%-1.4% but could be upwards of 1.8% in July).
While the Market Dominant estimate is 6.8%-7%, remember that once annually USPS has an optional two percentage points to apply to non-compensatory classes (Periodicals) and they are mandated to increase the rate for products in compensatory classes that do not cover their costs (Media/Library Mail, Marketing Mail Flats and possibly Carrier Route Flats).
For budgeting purposes, industry recommended budgetary increases are as follows:
First-Class 6.8%
Marketing Mail Letters 6% – 6.3%
The USPS has also signaled that they will resume the twice a year price increases in 2026 and 2027.
