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U.S. postal rates will increase on May 14

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U.S. postal rates will increase on May 14

Old 02-11-08, 04:23 PM
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U.S. postal rates will increase on May 14

U.S. postal rates will increase in May

Mailing a letter will soon cost a penny more.

The cost of a first-class stamp will rise to 42 cents starting May 12, the U.S. Postal Service said today.

The price of the Forever stamp will go up at the same time, meaning those stamps can still be purchased for 41 cents but will remain good for first-class postage after the rate increase takes effect.

The post office has sold 5 billion Forever stamps since they were introduced last April and plans to have an additional 5 billion in stock to meet the expected demand before the May price change, the agency said.

The charge for other services, such as advertising mail, periodicals, packages special services will also change. Changes in the price for Priority Mail and Express Mail will be announced later, the agency said.

Postage rates last went up in May, 2007, with a first-class stamping jumping 2 cents to the current 41-cent rate.

In the past raising postage rates was a long, complex process involving hearings before the independent Postal Regulatory Commission, a process that could take nearly a year.

However, under the new law regulating the post office that took effect in late 2006, the agency is allowed to increase rates with 45-days notice as long as changes are within the rate of inflation for the previous 12 months. The Postal Regulatory Commission calculated that rate at 2.9 percent through January, limiting the first-class rate to an increase of just over a penny.

Under the new law, postal prices will be adjusted annually each May, the Postal Service said. Officials said they plan to five 90 days notice of future changes, twice what is required by law.

While the charge for the first ounce of a first-class letter rises to 42 cents, the price of each added ounce will remain 17 cents, so a two-ounce letter will go up a penny to 59 cents.

The cost to mail a post card will also go up a penny, to 27 cents

Other increases set for May 12:

-- Large envelope, 2 ounces, $1, up 3 cents.

-- Money Orders up to $500, $1.05, unchanged.

-- Certified mail, $2.70, up 5 cents.

-- First-class international letter to Canada or Mexico, 72 cents, up 3 cents.

-- First-class international letter to other countries, 94 cents, up 4 cents.



Just a penny this year.

I was amazed that the have sold over 5 billion forever stamps and plan to sell an additional 5 billion in the next 3 months
Old 02-11-08, 04:24 PM
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Apropos of nothing, I just want to point out that for those of us born in 1965, the postal rates have roughly paralleled our chronological ages. Who needs to be a Baby Boomer?
Old 02-11-08, 04:26 PM
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Originally Posted by Vibiana
Apropos of nothing, I just want to point out that for those of us born in 1965, the postal rates have roughly paralleled our chronological ages. Who needs to be a Baby Boomer?

It would have been better if it would have paralleled our mental ages
Old 02-11-08, 04:31 PM
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WHAT AGAIN!!, I just finished my rolls of 39 cent stamps + 2 cent addons.
Old 02-11-08, 04:43 PM
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I'm still on my 34 cent stamps + smaller stamps of various denominations.
Old 02-11-08, 04:46 PM
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Is it me, or have we seen more stamp price increases in say the last ten year, than the previous twenty before it?
Old 02-11-08, 04:52 PM
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Time to stock up on some Forever Stamps.
Old 02-11-08, 05:12 PM
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Originally Posted by Deftones
Is it me, or have we seen more stamp price increases in say the last ten year, than the previous twenty before it?
Even so, the fact that someone will come to my house in VA and bring a letter to you in AZ for $.42 is a pretty darn good deal.
Old 02-11-08, 05:27 PM
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[Soap Box]

I for one see this as a trend that government agencies (Bridge and Tunnel Authorities, MTA, Postal Services, Highway Agencies, Schools, etc..) have lost all accountability to the people they service.

When costs increase - they feel that it is acceptable to just pass the cost along to the consumer. Other businesses, would have to re-evaluate employee costs, benefits, inefficiencies, outdated equipment, training, etc to bring themselves back to a profitable state before passing along prices to the consumer.

Now as soon as one of these agencies spend all the money for the year, they vote to increase tolls, stamps, property tax assessments - sometimes multiple times a year!!

I blame the following:
1) No politician wants to be the bad guy.
2)The Bush administration and Congress have been printing money like they they get paid a % of the deficit as a bonus.
3) People have not worried about increased costs of gas, taxes, etc - because $ has been "Free" (just take out a home equity loan, or transfer credit card balances to a 0% card, etc)

I think this Country is in for a rude awaking - and even savers like myself are going to get screwed!

[/soapbox]
Old 02-11-08, 06:33 PM
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Originally Posted by lordwow
Time to stock up on some Forever Stamps.
don't - http://www.slate.com/id/2166475/
Old 02-11-08, 06:49 PM
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people still use stamps?
Old 02-11-08, 06:54 PM
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I only use them for rebates, but it is a pain having to buy new books all the time.
Old 02-11-08, 06:56 PM
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Originally Posted by DVD Josh
Even so, the fact that someone will come to my house in VA and bring a letter to you in AZ for $.42 is a pretty darn good deal.
I don't disagree. My point in bringing it up is that what has changed in the prior 20 years that did or did not in the past 10 years?
Old 02-11-08, 07:11 PM
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Originally Posted by asabase
I only use them for rebates, but it is a pain having to buy new books all the time.
lots of rebates can be done online now too

btw.. why buy a book at a time? our post office sells them individually
Old 02-11-08, 07:11 PM
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The most important question:

How much will Media Mail rates increase? Hopefully not 30% like during the last increase ($1.84 to $2.13 for 1 pound)?

Another reason to stop using Ebay, Amazon, and Half.com to sell low priced DVDs or books...
Old 02-11-08, 07:28 PM
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Originally Posted by Deftones
I don't disagree. My point in bringing it up is that what has changed in the prior 20 years that did or did not in the past 10 years?
Cost of fuel.
Old 02-11-08, 09:17 PM
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Originally Posted by CPA-ESQ.
[Soap Box]

I for one see this as a trend that government agencies (Bridge and Tunnel Authorities, MTA, Postal Services, Highway Agencies, Schools, etc..) have lost all accountability to the people they service[/soapbox]

One of these things isn't like the others ...
Old 02-11-08, 09:31 PM
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Originally Posted by Duran
Cost of fuel.
Was there a price jump in the cost of a stamp during the oil embargo in the early 70's? I remember paying $.99 per gallon of gas not more than 5 years ago, and the cost of stamps were rising before and after that.

I suspect you are right to some degree, but that can't be the only reason.

Just found an interesting site: http://www.akdart.com/postrate.html

So the cost of a stamp was under 10 cents from 1863 until 1974. From 1974 until now the stamp has risen in price to 41 cents. So, it's has essentially quadrupled in cost in 20 years.

Last edited by Deftones; 02-11-08 at 09:33 PM.
Old 02-11-08, 09:35 PM
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Originally Posted by Deftones
I don't disagree. My point in bringing it up is that what has changed in the prior 20 years that did or did not in the past 10 years?
I would think the increases are needed to create a similar amount of revenue. I don't buy nearly as many stamps as I did 10 years ago with online bill payments.
Old 02-11-08, 10:11 PM
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The more the stamp increases in price:

1) The more emails my relatives receive on holidays

2) The more online paying of bills I pay

3) The more I charge my fellow eBayers

The cost isn't gonna stop at my house, buddy!
Old 02-11-08, 10:48 PM
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Originally Posted by Deftones
Was there a price jump in the cost of a stamp during the oil embargo in the early 70's? I remember paying $.99 per gallon of gas not more than 5 years ago, and the cost of stamps were rising before and after that.
The cost of oil (in real dollars) was highest in the late seventies and today. If you look at the site you referenced, that's exactly when postal rate increases were more frequent.
Old 02-11-08, 10:56 PM
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Originally Posted by CPA-ESQ.
[Soap Box]

I for one see this as a trend that government agencies (Bridge and Tunnel Authorities, MTA, Postal Services, Highway Agencies, Schools, etc..) have lost all accountability to the people they service.

When costs increase - they feel that it is acceptable to just pass the cost along to the consumer. Other businesses, would have to re-evaluate employee costs, benefits, inefficiencies, outdated equipment, training, etc to bring themselves back to a profitable state before passing along prices to the consumer.

Now as soon as one of these agencies spend all the money for the year, they vote to increase tolls, stamps, property tax assessments - sometimes multiple times a year!!

I blame the following:
1) No politician wants to be the bad guy.
2)The Bush administration and Congress have been printing money like they they get paid a % of the deficit as a bonus.
3) People have not worried about increased costs of gas, taxes, etc - because $ has been "Free" (just take out a home equity loan, or transfer credit card balances to a 0% card, etc)

I think this Country is in for a rude awaking - and even savers like myself are going to get screwed!

[/soapbox]
In most industries, there's competition for heterogenous consumers that drives increased quality or decreased price. Until there's a viable alternative to the postal service (FedEx and UPS only compete in packages and overnight envelopes), bridges, tunnels, etc. there exists no free market incentive for the government to reduce and manage costs effectively.

That's the problem with government-run plans.
Old 02-11-08, 11:49 PM
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I gotta get me some of those "forever stamps." I only send about two piece of mail a year, so a couple books should last me for a while.
Old 02-12-08, 12:08 AM
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In all fairness, postage costs went down last year for regular business sized letters over an ounce. I think size and shape pricing is ridiculous, but it is cheaper for some letters.

Has the post office always been as self supporting as it is now (if it even is now--I have just heard that it pretty much pays for itself). If it used to be more subsidized, that could account for all the recent price hikes.
Old 02-12-08, 01:04 AM
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I don't mail anything anymore. My girlfriend, on the other hand, mails all of her bills. I'm not sure why. Nothing for me to worry about.

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