Postage Costs Australia: Everything You Need to Know

Australia Post periodically increases the cost to send letters and parcels, affecting consumers and businesses nationwide. For instance, a recent price hike saw the basic postage rate go up by 25%, raising the cost of sending a standard letter from $1.20 to $1.50. 

Here’s a detailed overview of the current postage costs in Australia.

 

Australian Postage Costs Table in AUD: Updated June 2026

ITEM		COST
Small letters		$1.70
Large letters
	Up to 125g	$3.40
	Up to 250g	$5.10
	Up to 500g	$8.50
Parcels up to 5kg		*Using your own packaging
	Small [Up to 500g]	$10.95
	Medium [500g-1kg]	$14.95
	Large [1kg-3kg]	$18.95
	Extra Large [3kg-5kg]	$22.85
Parcels 5kg – 22kg		$22.85 + distance per kg
Express Post letters		$8.85 to $10.85 depending on envelope dimensions
Express Post parcels up to 5kg
	Small	$14.45
	Medium	$18.95
	Large	$23.45
	Extra Large	$31.35

 

Price Increase Overview

The basic postage rate for sending a standard letter within Australia has increased, impacting the average household and businesses that rely on mail services. According to Australia Post, this adjustment is necessary to cover rising operational costs and to maintain the quality of its reserved letter services.

The price hike has been approved by the Australian Competition and Consumer Commission (ACCC), following Australia Post’s proposal and request for a review.

 

 

Recent Changes in Postage Rates (June 2026)

• Basic Postage Rate: The cost of sending standard domestic letters increased from $1.50 to $1.70. A further increase to $1.85 has been proposed for July 2026.
• Large Letters: Large letter rates have also increased. Letters up to 125g now cost $3.40, while letters up to 250g cost $5.10 and letters up to 500g cost $8.50.
• Express Post: The standard DL Express Post envelope increased from $8.85 to $9.00.
• Parcel Post: Parcel Post prices have continued to rise, with further average increases expected from July 2026.
• International Shipments: International letter rates have increased, with a small letter to New Zealand now costing $3.00. Further increases are expected from July 2026.

Impact on Consumers and Businesses

The price increase will affect various segments, including individual consumers, businesses, and online sellers. For instance, eBay sellers and other e-commerce platforms might see higher shipping costs, which could be passed on to customers. Small businesses that rely on mailing services for deliveries and communication will need to adjust their budgets accordingly.

 

Reasons Behind the Price Hike

Australia Post cites several reasons for the price hike, including:

• Rising Operational Costs: Increased expenses in fuel, labour, and infrastructure maintenance.
• Decline in Letter Volumes: A steady decrease in the number of letters delivered, as more communication moves online.
• Need for Service Maintenance: Ensuring the sustainability of postal services over the next five years.

Essentially, the new pricing allows Auspost to reduce losses in the letters business while continuing to meet their community service obligations. However, these pricing changes stir conversations around the financial implications and the future of postal services in Australia. 

 

 

Customer Reactions and Adaptations

While the price increase is necessary from a business perspective, it has led to mixed reactions from customers. Some consumers are concerned about the additional costs they will now incur, while others understand the need for the adjustment to maintain service quality.

 

Potential Savings and Discounts

To mitigate the impact of these price increases, Australia Post offers various discounts and savings options:

• Bulk Mailing Discounts: Businesses sending large volumes of mail can benefit from bulk postage rates.
• Packaging Discounts: Reduced rates for using specific Australia Post packaging.
• Tracking and Proof of Delivery: Enhanced services to ensure packages are delivered with proof and tracking options.

 

Will Prices Increase Again?

Possibly. Australia Post’s pricing update aims to balance the need for revenue with customer satisfaction. The ACCC’s approval of the price increase reflects a thorough review and consideration of all factors involved.

The final decision on these rates will be continuously monitored, with adjustments expected based on market conditions and operational needs.

 

ActiveMail: Your Partner in Direct Mail Marketing

Rising postage rates can have a significant impact on businesses that regularly send customer letters, invoices, statements, direct mail campaigns, brochures, catalogues or promotional material. For high volume senders, even a small increase in postage costs can quickly add up across regular mailouts.

Active Mail helps businesses reduce the complexity and cost of sending mail by providing end to end mailing, printing and fulfilment services. As a verified Australia Post Bulk Mail Partner, we can help you prepare, sort and lodge your mail correctly, while identifying the most suitable postage option for your campaign.

Our team can support every stage of the process, including data cleansing, database management, digital printing, variable data printing, envelope inserting, mail fulfilment, bulk mail lodgement and campaign distribution.

Whether you are sending transactional mail, marketing mail or time sensitive customer communications, Active Mail gives you one experienced team to manage the process from start to finish. This helps improve accuracy, reduce manual handling and make your postage spend work harder.