Stamp prices go up Monday

A new law regulating the post office makes it easier to raise rates as long as the agency doesn't exceed the rate of inflation. Rates are to be adjusted each May.

But the post office also has introduced a way for people to save money when the price goes up, the Forever stamp, which remains valid for first-class postage regardless of any increases.

With the rate increase approaching, sales of the Forever stamp reached 64 million-a-day in April, postal officials said.

Forever stamps currently sell for 41-cents, but can be used after the rate increase without any additional postage. However, when the rate goes up, so does the price of Forever stamps.

Unlike the Forever stamps, other 41-cent stamps will require additional postage under the new rates, and postal officials said they printed an additional 1.5 billion 1-cent stamps in anticipation of the demand.

Also, for the first time the agency has stamps available at the new rate before the change takes effect.

A set of five 42-cent stamps honoring pioneering journalists went on sale in April, as did a set of four stamps featuring the American flag flying at different times of day.

A 42-cent stamp featuring singer and actor Frank Sinatra will be released Tuesday.

The increase comes just a week after the post office announced it had a loss of $700 million in the second quarter of the fiscal year, blamed largely on declining mail volume and rising fuel prices.