As it does every year, the US Postal Service is raising its prices for 2023. However, some USPS services are actually decreasing in price, and the price of one service will remain unchanged. Here’s a full breakdown of the 2023 USPS shipping rates.
Table of Contents
- 2023 USPS Shipping Rate Increases
- Approved Changes for Priority Mail Flat Rate Services
- The Above Rates Reflect Retail Pricing, Not Commercial
- How Does the Postal Service Calculate its Price Increases?
2023 USPS Shipping Rate Increases
Across the board, Priority Mail service prices are set to increase by approximately 5.5% in 2023. Priority Mail Express service prices will increase by 6.6%, and prices for First-Class Package Service will increase by 7.8%.
Parcel Select Ground Will Remain Unchanged
In their official communication announcing the Postal Regulatory Commission’s approval for the rate increase, the Postal Service described Parcel Select Ground as a “reliable and economical shipping option” and said there would not be a price increase for this service in 2023. With Priority Mail and Priority Mail Express increasing by 5.5% and 6.6% respectively, more shippers are likely to choose to save money with Parcel Select Ground in 2023 and deal with slower delivery times as a tradeoff.
Approved Changes for Priority Mail Flat Rate Services
While rates for most Flat Rate services are set to increase, prices of some Priority Mail Flat Rate products will decrease in 2023 (taking into account the temporary price increase that USPS enacted in the final quarter of 2022). Here’s how the price of each Priority Mail Flat Rate sub-service will change:
- Priority Mail Small Flat Rate Box – $10.20 (current rate is $10.40)
- Medium Flat Rate Box – $17.10 (current rate is $17.05)
- Large Flat Rate Box – $22.80 (current rate is $22.45)
- APO/FPO Large Flat Rate Box – $21.20 (current rate is $20.95)
- Flat Rate Envelope – $9.65 (current rate is $9.90)
- Legal Flat Rate Envelope – $9.95 (current rate is $10.20)
- Padded Flat Rate Envelope – $10.40 (current rate is $10.60)
The Above Rates Reflect Retail Pricing, Not Commercial
Based on official USPS communication, the rates listed above reflect Retail Pricing levels (what you’d pay at the Post Office) and not Commercial Pricing levels, which refer to a special level of discounted rates that you can access through various online shipping software companies. The Postal Service noted that Commercial Pricing rates for Priority Mail services will increase by 3.6% in 2023.
How Does the Postal Service Calculate its Price Increases?
USPS notes that price adjustments for its shipping services vary by product. While prices for mailing services such as First-Class Mail are based on the Consumer Price Index (CPI), the Postal Service prices its shipping services based on market conditions, such as the cost of fuel, transportation, and the pricing models of other major carriers in the United States.