Not So Funny (Again)

Usually, Friday posts contain humor in the form of a funny photo, but there's nothing fun about this post — keeping in touch by mail will cost more.

By Monday it will cost you more to mail a first-class letter in the U.S. and even more to mail internationally, including Canada.

So if you want to get Forever stamps at the current rate to use after the increase, you need to do it today, Friday, or tomorrow, Saturday. 

Because the latest United States Postal System (USPS) rate increase takes effect on Sunday, July 14, raising first-class (Forever stamp) postage. It's a  7.8% increase, the second one this year, the first was in January. 

What are the new prices?

The current price of a 1 ounce letter is 68 cents, which will jump 5 cents to 73 cents. The additional-ounce price for single-piece letters goes from 24 cents to 28 cents.  Domestic postcards will be up from 53 cents to 56 cents. The biggest increase is for international letters with a 10-cent hike from $1.55 to $1.65. (You can buy Forever stamps at the current $1.55 rate before Sunday.)

Current and Higher USPS costs as of July 14, 2024

That's not all — special services products like Certified Mail and money order fees will also cost more. But, there's some good news for postal box holders with no price increase in  rental fees, and there's also a 10 percent price reduction in postal insurance when mailing an item.

As someone who enjoys sending cards for birthdays, special occasions and holidays and also still writes and mails old-fashioned snail-mail letters, I wanted to learn more.

Why do stamp prices keep going up?

Stamp prices have increased more often and by greater amounts. This is the sixth price hike since Jan 2021. Sure, inflation is a factor, but not the only reason, other expenses play a bigger part. I learned that the rate hike includes the obligation to pay retirees' pension and health benefits, responsible for more of the increase than inflation.

According to the USPS, as changes in the mailing and shipping marketplace continue, price adjustments are needed to reach the financial stability it seeks in a 10-year, Delivering for America plan announced in March 2021 aimed at making its services more efficient. However, this apparently will increase mailing costs too.

First-Class Mail (FCM) is the highest revenue generating class of mail. It alone accounts for $24.5 billion (over 30 percent) of the $78.2 billion in total operating revenue for the USPS fiscal year. That's why setting the optimal price for FCM is considered to be integral to its overall financial standing. 

Unfortunately, that's meant price increases have come more often for letter writers.

How often I wondered?

The USPS has increased the price of first-class postage 18 times since January 2000 and raised prices more often in recent years, five times between January 2021 and January 2024.

By comparison, from the 1970s to the 2000s, the USPS increased rates 3 to 4 times per decade. But, since July 2007, a first-class stamp has increased 54 percent, from $0.41 to $0.63 in June 2023. In 2020, the USPS increased prices three times from January 2021 to June 2023, and five times between January 2021 and January 2024.

This does seem excessive, yet I read that despite a 54 percent price increase since July 2007, the USPS is among postal systems that have raised prices the least amount between June 2018 and June 2023. 

The famous mail scene from Miracle on 34th Street

Also, the U.S. has the largest domestic mail market worldwide, delivering more mail than any other postal system. The next largest domestic markets, Japan and Germany, each represent 6 percent of domestic mail volume. The UK and France collectively handled 7 percent of the world’s domestic volume. 

Are U.S. stamps still a good buy?

According to a ranking by the USPS Office of the Inspector General (OIG), the price of a U.S. first-class stamp is cheaper than in many other developed countries.

The OIG compared the U.S. to 30 other nations selected by country size and postal service revenue, and the ability to source reliable data. The list included much of the European Union, along with other countries including Canada, Japan, Brazil and Russia.

Four countries had cheaper postal rates than the U.S. And, while other postal services raised prices in recent years, the U.S. increases were considered moderate compared to these.

While learning this information was somewhat helpful, I'm still dissatisfied with constant hikes. However, they won't deter me from sending cards and letters, perhaps a few less. In this age of emails and texts, there's still nothing like receiving a piece of personal mail.

This past week, I bought stocked up on Forever stamps which are available for domestic and international mailings at the current rates of 68 cents and $1.55. These stamps never expire and can be used indefinitely. While my supply won't last forever, it will lessen the need to pay the higher prices — at least for a while.

How about you — If you're a card/letter writer will the increases mean less mailings? 

The weather has been a major news topic this week. It's been 🥵  in Nashua, NH, but not as awful as in so many U.S. states where folks have been affected, not only by unrelenting heat, but natural disasters and power failures. We hope relief comes soon.

Enjoy Your Weekend, Everyone

Stay as cool & hydrated as possible