Are You Ready For USPS® 2016 Rate Change?

January 2016 Rate Change ImageEffective January 17, 2016, shipping a package through the USPS® in 2016 could increase on average 9.5%/$5.50 per package.  The proposed increases does not include any price increase for First-Class Mail.

If the Postal Regulatory Commission approves these increases this is what we can expect:

Domestic Products:

Priority Mail® Express – with overnight delivery guarantee/7 days a week will have an overall average increase of 15.6%

The existing structure of zoned Retail, Commercial Base, and Commercial Plus will be maintained.

*In the New Year, Priority Mail Express Flat Rate Box will be eliminated due to low volumes.

Retail – 14.4% average increase

Commercial Base – 17.7% average increase

Commercial Plus – 48.2% average increase (to match Commercial base)

Priority Mail® – with 3 day delivery for packages less than 70 LBS (with prices ranging from $6.80 – $18.75 depending on the size of the box) will have an average increase of 9.8%

Priority Mail® Retail, Commercial Base, and Commercial Plus price categories will be maintained.

Retail – 8.6% average increase

Commercial Base – 9.4% average increase

Commercial Plus – 13.3% average increase

Parcel Select®

On average, prices for Non-Lightweight Parcel Select, the Postal Service’s bulk ground shipping product, will increase 3.1 percent.

Destination entered parcels – 4.9 % average increase

Non-destination entered parcels – 1.9% average increase

Parcel Select Lightweight® – 23.5% average increase

In the New Year, Parcel Select Nonpresort will be rebranded as Parcel Select Ground, and will see a 1.9 percent price increase.

Parcel Select Origin Network Distribution Center (ONDC) Presort and Network Distribution Center (NOC) Presort price categories will be eliminated because of low customer demand and to simplify product offerings.

Parcel Return Service – Overall increase of 5%

First-Class Package Service® – 12.8% average increase

First Class Package Service® Commercial Base weight will be increased from up to 13 ounces to up to 16 ounces.

First Class Package Service Commercial Plus pricing will be eliminated in 2016.

Standard Post™ will be renamed Retail Ground

For a detailed document of all proposed rate increases including International shipping increases:

Stay tuned for more details in other upcoming posts.

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