Lower Postage Is a Perk for Nonprofits but It Is Going Up

Yes, less than a year after the last postage increase, the U.S. Postal Service has proposed new rates that would increase postage costs for nonprofits an average of 8.4 percent. The new rates are not expected to be in effect until at least May 2007.

There will be new postal discounts based on both the weight and shape of mailings, however. Charities could mix periodicals with standard letter-sized mail, for instance, to qualify for discounts on some bulk mailings.

That is small comfort to many nonprofits that depend on massive mailings to raise funds or to distribute educational materials. The Postal Service's proposal is the first step in a lengthy process invloved in setting new rates. But, start juggling the budget for 2007 to accommodate substantial increases in mailing costs.

For beginning nonprofits, get the lowdown on how to apply for nonprofit mailing rates here.