Postage Rates for Small Packages are Increasing Rapidly

Posted by Rod Connors on 14th Jul 2026

Postage Rates for Small Packages are Increasing Rapidly

Postage rates have changed rapidly over the last few years.  We ship a lot of very small packages; most of the time under 1 pound.  Postage in July 2005 for a small 1st class package was under $1.00.  Rates over the years slowly went up.  However, the last few years have been very different.  1st class is now called ground advantage and the lowest rate is close to $6.00.  These prices are with a commercial discount.  Full retail at the Post Office is much more expensive. 

We keep records of every order ever placed, every invoice, and the cost of every package ever sent out.  We can look at exact dates and tell you the exact price paid for a package going back 22 years!  We can look back at July 4th, 6 years ago in 2020 and tell you we were paying $2.84 for the majority of our small packages.  In 15 years the price went up about $1.50.  Now in just 6 years that price is $5.92 for the majority of our small packages.  That is more than a 100% increase in just 6 years!  We anticipate the prices will be going up much higher much faster unfortunately.

Going into our 22nd year of online beading sales it is tough!  This year is tougher than any we have faced before.  We had to raise our shipping charges and will soon need to raise them again as they are still not covering our shipping expenses.  In the past if a small item was missing or broken, we could send it out for a $1.00.  Now, that missing or broken item costs $6.00 to ship.  If the original order was $5.00 plus $6.00 shipping and now we are spending an additional $6.00 on shipping we are losing money and cannot operate for long.  We now ask our customers if we can send this item with their next order or if we can give them a credit.  We quality check every order we send to minimize errors.  It is just too costly to make a mistake these days.


November 8, 2026 Update: Small Package Postage Now Exceeding $8

When we originally wrote this article in July 2026, we were concerned that the cost of shipping our typical small packages had increased from approximately $2.84 in 2020 to $5.92 in 2026. Unfortunately, just a few months later, we are seeing even higher postage costs.

On November 8, 2026, we checked USPS Click-N-Ship for a small padded bubble mailer weighing just 3 ounces and measuring 10 x 8 x 1 inches, going to Alpena, Michigan 49707. The lowest available USPS shipping price was $8.02 for Ground Advantage Cubic. Regular Ground Advantage was $8.19, and Priority Mail was $13.77. These were commercial rates, not full retail postage prices.

We Compared Other Shipping Services

We also checked Stamps.com for a similar lightweight package. USPS Ground Advantage was quoted at $8.07, while UPS Ground Saver was $11.21. The package dimensions entered for this comparison were slightly different, but USPS Click-N-Ship remained the least expensive eligible option in our comparison.

We regularly compare shipping services to find competitive prices for our customers. Unfortunately, even with commercial discounts, shipping a very small package has become increasingly expensive.

What This Means for Small Online Businesses

At Bead3, many of our customers purchase small quantities of beads, jewelry-making supplies, and other inexpensive items. A customer might order just a few dollars' worth of beads, but shipping that small order can now cost much more than the merchandise itself.

We have maintained records of every order and shipping expense since starting our online business in 2004. Looking back at those records, we commonly paid approximately $2.84 to ship small packages in July 2020. Our recent $8.02 example is approximately 182% higher than that amount. While these are not identical shipments to identical destinations, the comparison illustrates the growing shipping costs our business faces.

USPS has also implemented temporary holiday shipping price increases effective October 4, 2026, through January 17, 2027. These seasonal increases add to the challenges small online businesses face when shipping lightweight merchandise.

Our Commitment to Bead3 Customers

We recently reviewed and adjusted our shipping charges to better reflect the postage rates we are actually paying. We understand that nobody likes paying more for shipping, and we don't like increasing our shipping charges either.

Our goal remains the same: offer a tremendous selection of beautiful beads, jewelry-making supplies, and DIY jewelry-making kits at competitive prices while keeping shipping charges as reasonable as possible.

We will continue comparing shipping services, looking for savings, and working to provide our customers with the best value we can. Current shipping options and charges are displayed during checkout before an order is completed.

Thank you for supporting Bead3 and small online businesses like ours!

Updated November 8, 2026.