It’s officially December! And with that, it’s time to send out all your Christmas cards—if you still do that—and send gifts to family and loved ones. That’s why the latest restructuring of the U.S. Postal Service (and therefore its new rates) has left consumers and merchants running around like headless chickens. How much does a stamp cost now? What are the new rates for sending packages? Is it true that prices will change depending on the time of year? Don’t worry, we’ll tell you everything.
USPS new mailing prices
Although the price of the Flash Mail signature stamp will not change—meaning our Christmas cards are safe for now—package shipping rates will change. The fact is that nowadays, fewer letters are sent than large packages, and the USPS has to remain competitive with other private courier services. But don’t worry, all these price increases will take effect on January 18, 2026, so this holiday season will be at the same rates as before.
The increase in parcel rates will not be a fixed price, but rather an average percentage that will vary depending on the weight of the shipment, the distance to be traveled, and the type of service used:
- USPS Ground Advantage prices will increase by 7.8%;
- The Priority Mail fare will go up by 6.6%;
- Parcel Select (for large packages) will increase its prices by 6%; and
- Priority Mail Express will become 5.1% more expensive.
One of the items that will increase in price is the First Class Mail stamp. The current price of the stamp, which was set in July 2025, is 78¢. Prices for traditional mail stamps are not expected to increase until mid-2026, just one year after the first price increase.
Why is USPS rising its prices?
The USPS is an independent, self-financing federal entity. Unlike other government agencies, it does not receive tax money to cover its operating expenses. That is why it must rely entirely on the sale of stamps and services to stay afloat. Until relatively recently, it always needed government assistance, as it was constantly operating at a loss. Because it has to be self-financing, in addition to the decline in the total volume of traditional mail due to the implementation of new technologies, the USPS has been in a semi-permanent financial crisis.
This is why the USPS has decided to focus entirely on parcel delivery. The modern world (with its smartphones and instant messaging, computers and emails) has meant that there are not as many paper letters in circulation, but we still send parcels—perhaps even more than before.
Market-dominant services, which include letters and stamps, are regulated by the regulatory commission. Price increases for these two services are tied to the consumer price index, which means they rise more slowly, only once a year. On the other hand, competitive services are adjusted according to market conditions. This flexibility allows the USPS to raise these prices more often in order to remain competitive with private companies such as FedEx and UPS. This is part of a 10-year strategic plan known as “Delivering for America,” through which the federal agency hopes to catch up and adapt to the actual mailing needs of the American population.
Yes, the USPS has introduced fluctuating rates. This is why if you send packages during the peak Christmas season, it will probably be more expensive than if you sent them during the rest of the year. The agency has opted for a fluctuating price, as a fixed price would mean that consumers would be paying too high a price for the rest of the year. This year’s peak shipping season runs from October 5 to January 18, 2026. After that date, any consumer who sends a package with USPS will pay the base rate, with no surcharge.