The United States Postal Service (USPS) has faced growing financial pressure and increased scrutiny in recent years—and several recent changes are raising questions for nonprofit leaders and donors alike.
In late 2025, USPS updated how it applies postmarks, shifting them from the date mail is dropped off to the date it is processed at a regional facility. Then, in early 2026, the Postal Regulatory Commission (PRC) approved a new rate-setting framework, prompting concern about future postage increases.
Not surprisingly, these developments have fueled speculation across the nonprofit sector. Let’s separate fact from fiction and focus on what actually matters for nonprofits.
USPS has changed the definition of a “postmark.”
Historically, a postmark reflected the date a piece of mail was accepted by USPS—whether collected by a carrier, dropped at a retail location or inducted at a BMEU. That date was often treated as the official mailing date.
Now, the postmark reflects when the mail is first processed on USPS equipment, not when it is dropped off.
As a result, there may be a one- to two-day (or longer) gap between when mail is deposited and when it is postmarked.
There are three primary drivers behind the new postmark definition:
1. Network changes means fewer processing facilities, longer transportation routes and mail often sits before the first processing scan
USPS needed postmarks to reflect actual operational handling, not customer deposit timing.
2. Deposit-based postmarks had become increasingly inconsistent. Processing-based postmarks are:
3. Postmarks are now directly tied to automated processing scans, reducing manual intervention and local discretion.
In theory, the change applies to all mail—but the impact varies.
The most affected types of mail are:
Mail less affected by the change are marketing mail, which are rarely deadline-driven, and pieces of mail where the “received by” date matters more than the postmark date.
Because postmarks may now lag behind drop-off dates, the following scenarios could be negatively impacted:
While USPS says they prioritize these types of mail, they have not guaranteed same-day processing.
Generally, USPS advises everyone to mail early, not rely on last-day-of-deadline mailings and to use tracked or time-definite products when critical.
This change creates several tangible challenges for nonprofits:
Transparency is key. Let donors know that USPS changes are outside your control—and clearly communicate what is within theirs.
No. And this is an important point to clarify.
USPS has not eliminated PRC oversight, and the CPI cap has not simply disappeared.
What has changed:
What has not changed:
CPI was once the primary limiter. Now, additional authorities may allow larger increases in certain years, particularly when USPS cites structural cost pressures.
Flats, marketing mail, and products tied to declining volumes or higher handling costs are most vulnerable—complicating nonprofit budgeting and campaign planning.
While nonprofit mail retains discounted rates, it is not shielded from structural increases. In some cases, the gap between nonprofit and commercial rates may narrow.
If you partner with a nonprofit marketing agency, a long-term strategy is essential to avoid surprises. Here’s how we approach it at RKD Group:
There’s no need to panic about runaway postage rates. Yes, upward pressure will continue, and disciplined planning is more important than ever.
But USPS remains under significant political and regulatory scrutiny, and it is not in its interest to price mail out of the market. Maintaining mail volume still matters.
With thoughtful planning, clear communication and the right partners, nonprofits can navigate these changes without losing momentum.