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The U.S. Postal Service has proposed several changes set to take effect in July 2025, with rate increases and updated promotional discounts across multiple mail classes. While some of these changes are straightforward, others are more complex and may impact mailers differently depending on their specific presort levels and mail preparation strategies. Here’s a quick breakdown of what you need to know.

Understanding the Pricing Structure

There are three levels of USPS pricing: class level pricing, product level pricing and presort level pricing. While the USPS has shared updates for class and product levels, presort pricing remains unclear, and it’s the most variable due to its reliance on individual mailing files and presort.

Class and Product-Level Pricing Highlights

The average Price Change percentage by Class:

The average price change percentage by Product:

Marketing Mail Letters

• Some presort tiers will see increases up to 11.64%.
• The SCF (Sectional Center Facility) discount drops from $27/M to $17/M.

Marketing Mail Flats

• Presort price increases range from 13% to 18%.
• SCF discounts reduced from $7/M to $3.80/M.
• New container discounts may help offset costs, depending on presort specifics.

Bound Printed Matter

• Two sets of pricing are being published for flats and parcels, due to a proposal to eliminate Bound Printed Matter pricing altogether. A final ruling from the PRC may not come until after the rate case is finalized.

Structural Changes

• USPS proposes eliminating NDC pricing and further reducing SCF discounts for letters, adding complexity to estimating future rates.
• Expect pricing shifts that could result in higher origin pricing, particularly for mail previously qualifying under NDC rates.
• Presorted pricing will be eliminated for Media Mail and Library Mail – only basic rates will remain.

USPS Promotions and Incentives for 2026

New: Catalog Insights Promotion

• 10% discount for eligible catalogs mailed between October 2025 and June 2026
• Must include 12+ pages, be bound/fastened and provide sufficient product, pricing and ordering information

Returning Incentives

• First-Class Mail and Marketing Mail Growth Incentives .
• Expansion of a for third-party providers who bundle ads from multiple businesses into a single mail piece.

Increased Discounts

• Integrated Technology: 5% (up from 3%)
• Tactile, Sensory, Interactive: 5% (up from 4%)
• Continuous Contact: 5% (up from 3%)
• Sustainability and Informed Delivery: remain at 1% each

A Word of Caution: Promotions are great, but USPS considers the value of these discounts as “claimed cap space,” which may justify future rate increases to make up for previously offered savings.

Final Note

All proposed changes are pending PRC (Postal Regulatory Commission) approval. We’ll continue to monitor developments and update you as new information becomes available, especially as presort-level details are released.

Stay tuned and stay prepared!