Update: Proposed Postage Rate Increases For Your 2018 Budget

The United States Postal Service (USPS) announced their proposed 2018 postage rates with an effective date of Sunday, January 21, 2018.

Note, these rates are preliminary as the Postal Regulatory Commission (PRC) still needs to review and comment on the proposed changes. Currently, there is not a definitive timeline around when this review will take place.

Proposed Rate Change Adjustments for 2018:

Marketing Non-Profit Letters

• Local Entry: Pricing went up between 0.6 – 3.2%, depending on the tier
• NDC & SCF Drop Shipping: Pricing went up between 2.1 – 6.7%

Marketing Non-Profit Flats
There was a significant swing with -20% on 5-digit per piece rates compared to a 9.95% increase on ADC sorts so the impact will vary based on the volume and tiers within each mailing.

• Local Entry: Pricing went down between 0.2%, depending on the tier
• NDC Drop Shipping: Pricing went down 0.8%, depending on the tier
• SCF Drop Shipping: Pricing went down 3.2%, depending on the tier

First Class Presort Letters 

• Some of the pricing tiers went up and others went down, with an average of a 0.2% increase

First Class Full Rate Letter (Under 1oz)

• Pricing went up by 2.0%

First Class Full Rate Flat (Under 1oz)

• Pricing went up by 2.0%

First Class Presort Flats

• The 5-Digit Category: All weight brackets went up with between 1.6 – 6.2% increase
• The balance of the tiers went down on average of 3.4%

Marketing Commercial Letters

• Local Entry: Some of the pricing tiers went up and others went down, with an average of a 0.2% increase
• NDC & SCF Drop Shipping: Pricing went up an average of 1.4%

Marketing Commercial Flats
There was a significant swing with -43% on 3-digit per piece rates compared to a 9.2% increase on MADC sorts, so the impact will vary based on the volume and tiers within each mailing.

• Local entry: Pricing went down between 8.2%, depending on the tier
• NDC Drop Shipping: Pricing went down 0.8%, depending on the tier
• SCF Drop Shipping: Pricing went down 9.0%, depending on the tier

Important to Know: Because there is no Board of Governors at this time, the USPS is stating they cannot approve any Mailer Incentive Programs for 2018. Some popular incentives from 2017 included: Mobile Shopping and Tactile, Sensory & Interactive Promotions.

We will keep you informed as additional updates develop. Stay tuned for our 2018 Postage Rates Chart which will be published once rates are finalized with the PRC.