There are many benefits to owning a postage meter within a business setting, and there are many types and sizes available that allow any kind of business to save time when sending large amounts of differently sized or weighted packages anywhere in the world. This guide breaks down the types of postage meters and provides quality purchasing tips too.

1. BUSINESS.COM GUIDE TO POSTAGE METERS

2. CONTENTS
OVERVIEW OF POSTAGE METERS 3
TYPES OF POSTAGE METERS 4
PURCHASING TIPS 6
CALCULATING COSTS 8
COMPARISON CHECKLIST 11
GLOSSARY OF TERMS 13

3. 3
WHO
In simple terms, a postage meter is a mechanical
device that prints a prepaid postage mark directly
onto envelopes, postcards, or adhesive labels—
known as meter tape—which can then be applied to
mail or packages.
HOW
These machines are commonly used by businesses,
as they’re fast, efficient ways to apply and pay for
postage—a process that can be completely automated
when the device is integrated with a computer system.
WHY
There are many benefits to owning a postage meter
within a business setting, and there are many types and
sizes available that allow any kind of business to save
time when sending large amounts of differently sized or
weighted packages anywhere in the world. Due to the
increasing popularity of setting up home businesses,
postage meters are also becoming commercially
available to aid this type of concern as well. In the past,
only large companies or businesses would require a
postage meter.
OVERVIEW OF POSTAGE METERS
“THERE ARE MANY BENEFITS TO OWNING A
POSTAGE METER WITHIN A BUSINESS SETTING, AND
THERE ARE MANY TYPES AND SIZES AVAILABLE THAT
ALLOW ANY KIND OF BUSINESS TO SAVE TIME.”

4. 4
TYPES OF POSTAGE METERS
All postage meters share some features, including
being capable of printing postage for any type of
mailing (domestic or international) and the ability to
refill the postage, either in-person, by phone, by fax,
or by Internet connection. However, there are other
important choices depending on a business’s budget
and volume needs.
Small postage meters are ideal for a business that has
a low volume of mail to be sent throughout a week, but
which still has enough use for the machine to make
renting a machine cost effective. A small machine will
usually need an employee to manually feed envelopes
into it when a postage mark is needed; however, there
are some meters that are semi-automatic. Generally,
these meters will have a speed of 15 to 40 letters per
minute (LPM), a built-in scale that can measure the
weight of mail up to a maximum of 10 pounds, and the
ability to display a customizable graphic on the postage
indicia if desired.
Medium-sized postage meters are ideal for medium
to large businesses that have a large volume of mail
to be sent, as they’re semi-automatic, and envelopes
can be fed into the postage meter without the aid of an
employee. These machines are capable of handling
different sizes and shapes of mail, and they’ll have a
“ASMALLMACHINEWILLUSUALLYNEEDAN
EMPLOYEETOMANUALLYFEEDENVELOPESINTOIT
WHENAPOSTAGEMARKISNEEDED;HOWEVER,THERE
ARESOMEMETERSTHATARESEMI-AUTOMATIC.”

5. 5
general speed of 100 to 200 LPM, a built-in scale that
weighs a maximum of 15 pounds with the option of
adding an external weight system of anywhere up to
100 pounds, as well as the ability to add a customizable
graphic if the company so desires. Models of this size
also have the option of including an attachable moistener
and sealer, which can be an added bonus when there’s a
high volume of mail to be sent out.
The largest postage meters have a massive number
of functions and advantages that the smaller ones do
not possess. Similar to the other machines, they have
built-in scales that are usually capable of weighing up
to 15 pounds, with the ability to add external scales up
to 150 pounds, and the option of having customizable
graphics—with some machines being able to advertise
on the back or front of the envelopes. However, the
similarities end there. Large postage meters are often
fully automatic, using folders to fold letters if that
function is needed, then using an inserter to insert the
mail into the envelope, followed by adding a postage
mark and moistening and sealing the envelope so it’s
ready to be sent. These machines can run at a speed
of anywhere from 100 to 350 LPM—making them the
fastest machines to use—and ideal for busy mailrooms.
“THE LARGEST POSTAGE METERS HAVE A MASSIVE
NUMBER OF FUNCTIONS AND ADVANTAGES THAT THE
SMALLER ONES DO NOT POSSESS.”

6. 6
PURCHASING TIPS
There are many choices available when it comes to
postage meters, so finding the ideal model to suit a
business can be challenging. Here are some tips that
can help you decide which machine is appropriate for
your business.
The volume of mail being dealt with should be the
primary deciding factor when determining what size
and type of machine to acquire. Assess how large
the daily and weekly volume of mail is when choosing
between a small-, medium-, or large-sized system. If
the volume of mail is very high but office space is an
issue, there may not be room for a large system; a high-
end medium system could be used in this case. It’s
essential to remember that a small system may need
envelopes to be manually fed into the postage meter,
so this is generally only suitable for businesses with a
low weekly volume of mail. If most of the mail consists
of heavy items that are oddly sized or shaped, it may
be worth investing in external digital scales, as these
are more accurate for weighing an item, hence avoiding
overpayments that may be incurred on postage costs.
If most of the mail is of a similar size and weight, such
as information leaflets or letters, it’s not necessary to
use the largest model of postage meter, even if the
volume of mail being sent is very high. Money can be
easily saved by looking at high-end medium systems
that can handle anywhere up to 200 LPM, sometimes
even more in certain situations, as these systems will
be more cost-efficient in the long run, and the system
can always be upgraded if the speed is too slow.
However, most of these systems are ideal for large
companies sending out bulk informational mail that is
sent in envelopes of the same or similar size.
“ASSESSHOWLARGETHEDAILYANDWEEKLYVOLUME
OFMAILISWHENCHOOSINGBETWEENASMALL-,
MEDIUM-,ORLARGE-SIZEDSYSTEM.”

7. 7
Choose a postage meter that includes online access if
this is within your budget. This will allow for automatic
updates to the postage meter system when the price of
sending mail fluctuates, allowing the machine to stay
current with the costs of sending mail, and avoiding
any fees that could be incurred for underpayment. if a
system doesn’t have online access, some providers of
meters will charge a reset rate when the cost of sending
mail changes, as they may have to manually visit the
office to update the meter.
“CHOOSE A POSTAGE METER THAT INCLUDES
ONLINE ACCESS IF THIS IS WITHIN YOUR BUDGET.
THIS WILL ALLOW FOR AUTOMATIC UPDATES TO THE
POSTAGE METER SYSTEM.”

8. 8
In the United States, postage meters cannot be
purchased or sold— only rented or leased. This is
because postage is considered a form of currency,
which is tightly regulated by the U.S. Treasury. The
United States Postal Service (USPS) determines the
rules and regulations covering the use of postage
meters. The USPS doesn’t sell or rent the meters itself,
because that would interfere with private businesses.
Postage meter add-ons, such as scales, stackers, and
sealers, can be purchased separately or as part of a
postage meter rental contract.
There is some competition between postage meter
providers, so it’s worth comparing prices. Most postage
meters can be rented for $20 to $50 a month,
depending on the capabilities of the system. The meter
provider will probably require a contract with a minimum
amount of time the meter must be rented for. Check the
responsibilities that are expected by your business with
respect to renting the equipment to ensure that they’re
understood and adhered to. Also remember: all postal
fees for mail sent during the month are paid for on top
of the rental fee.
CALCULATING COSTS
“THE UNITED STATES POSTAL SERVICE (USPS)
DETERMINES THE RULES AND REGULATIONS COVERING
THE USE OF POSTAGE METERS.”

9. 9
Beyond the monthly rental fee, there are many small
or hidden fees when renting postage meters that can
really add up:
• Insuring the machine
• Adhesive tape or labels
• Special inks required by the meter
• Fee for refilling the machine with postage
• Fee for resetting the postal rates in the machine
• Property taxes on the equipment
• Lease-termination fees
• Scale rental fee or purchase price
• Other add-ons: stapler, sorter, stacker, sealer, etc.
However, there are a few ways to lower the cost of
supplies. Some postage meters will only use a narrow
range of paper types and envelope sizes. Most
providers will offer to sell these specific items, but the
cost will usually be higher than that of comparable
supplies at an office-supply store. Ask if your meter will
require special ink only available from the equipment
provider. Special inks can cost 15 or 20 times more
than generic inks purchased from an office-supply
store. Ideally, you want to use adhesive meter tape that
is readily available from such stores—not special tape
only available through the equipment vendor.
“IDEALLY, YOU WANT TO USE ADHESIVE METER
TAPE THAT IS READILY AVAILABLE FROM SUCH
STORES—NOT SPECIAL TAPE ONLY AVAILABLE
THROUGH THE EQUIPMENT VENDOR.”

10. 10
There are two main ways of refilling the postage meter
with authorized postage. They are known as the pay-as-
you-go system and the prepay system.
With the pay-as-you-go system, the postage meter
tracks the costs of all postal items sent within a set
time period, which is usually a month. At the end of this
time, the provider bills the business for the postage
costs incurred during that month. Most postage-meter
providers charge for this service, usually in the range of
$20 a month.
The prepay option allows a business to fill a postage
meter with a set dollar amount that will be drawn down
each time a letter or parcel is stamped. An automatic
debit from an account can be arranged for this type of
payment system, ensuring that the meter will never run
out of funds.
Until recently, most postage meters had to be refilled at
an official U.S. post office, which could require standing
in line for long periods of time. But now, most postage
meters can be refilled electronically without having to
take the meter to the post office and without requiring a
visit from the equipment provider.
“THE PREPAY OPTION ALLOWS A BUSINESS TO
FILL A POSTAGE METER WITH A SET DOLLAR
AMOUNT THAT WILL BE DRAWN DOWN EACH TIME
A LETTER OR PARCEL IS STAMPED.”

11. 11
This checklist will help you quickly assess
the best vendor for your needs.
Basic Costs
Monthly Base Charge
Insurance for the Meter
Property Tax on Meter
Setup Fee
Per-item Fee
Refill Fee
Reset Fee
Lease-termination Fee
Basic Features
Manual Envelope Feed
Automatic Envelope Feed
Letters Per Minute
Customizable Graphics
Integrated Scale
Maximum Scale Weight
Prints on Envelopes
Maximum Envelope Dimensions
Prints on Postcards
Maximum Postcard Dimensions
My Needs Vendor 1 Vendor 2 Vendor 3
POSTAGE METERS CHECKLIST

12. 12
This checklist will help you quickly assess
the best vendor for your needs.
Prints on Adhesive Tape
Special Tape Required
Special Ink Required
Online Refills
Additional Options
Moistener and Sealer
Expandable With External Scale
Folds Letters
Inserts Letters
Applies Adhesive Seals
Mail Sorter
Mail Stacker
Bundles Mail
Service Options
Maintenance Contract
Pay-as-you-go Postage
Prepay Postage
Online Refills
Phone Refills
Automatic Refill
Automatic Reset
Training Available
Training Videos Available
My Needs Vendor 1 Vendor 2 Vendor 3

13. 13
Folder: A piece of machinery that folds letters or
documents to a specific preset shape so the item fits
inside an envelope.
Franking: The act of applying postage to a
piece of mail.
Inserter: This machinery inserts an unfolded or
prefolded letter or document into an envelope.
Letters per Minute (LPM): The number of letters a
postage meter can stamp with a postage mark within
the time period of one minute. This is the primary way to
compare the speed of two different meters.
Moistener: This machinery moistens the sealable part
of an envelope so it can be sealed by a sealer.
Postage Mark: Also called the “indicia,” this is the
ink marking that is printed on the top of an envelope,
postcard, or meter tape. The postage mark shows
the date on which the item was posted, the amount
of postage, and the location it was posted from. The
postage mark might also contain a bulk-mail permit
number and a customizable graphic and/or message.
Postage Meter: The machine that prints a postage mark
onto an envelope, card, or meter tape, thus proving that
postage has been paid by the company sending the item.
Sealer: The part of the postage meter that seals an
envelope after it has been moistened by the moistener.
GLOSSARY OF TERMS