Friday, Aug. 17, 2001

Saving money on mail

By Al Marguerat

If your church mails a newsletter, chances are you are paying too much for postage. One of the best kept secrets is the "periodical classification," a method of classification and postage used by most magazines, newspapers and other publications. Converting a church newsletter from standard bulk mail to periodical can save as much as 30 percent for in-county addresses.

For churches that mail newsletters with first class postage, because of the bulk mail 200 piece minimum, there is even better news. Potential savings could exceed 60 percent since there is no minimum number required to qualify for the periodical permit. Theoretically, a church could mail as few as a dozen or less newsletters and still qualify for the periodical rates.

The catch? All out-of-county addresses will cost a little more per piece, but in most cases this number is small and is offset by the in-county savings. In addition, the one-time fee for a periodical permit is $350 compared to $125 for the standard bulk permit. Newsletters must be mailed at least four times a year.

Another way to save on postage is to make certain the addresses are certified by a Coding Accuracy Support System (CASS) and include a barcode. This process can save an additional 50 percent or more. The U.S. Postal Service (USPS) requires addresses to be CASS certified at least every 180 days. The USPS will provide the initial CASS certification free of charge. This will give your church the opportunity to research and update incorrect or incomplete addresses. Several mailing and software companies provide fee-based CASS certification.

Here are examples of actual savings experienced by two churches:

Trinity Baptist Church in Raleigh mails approximately 1,200 newsletters per week, including 200 to out-of-town addresses. Under the standard bulk system and without the CASS certification discount, the postage cost about $144. After converting to a periodical classification, the cost dropped to $112 for an annual savings of $1,600. But with CASS certification, the cost dropped to $73, providing an annual savings of almost $3,700.

A second example is WestLake Baptist Church in north-central Wake County. With a mailing list of only 120, the church's newsletter did not qualify for the standard bulk permit. To mail them at first class rates would cost almost $40, but with the periodical mailing rate, the cost is only $13 even without the CASS certification, a savings of more than 67 percent.

There are several things a church needs to do to convert to a periodical classification. First, a Postal Service Form 3501 (Application for Periodicals Mailing Privileges) must be completed and submitted to the local Business Mail Entry Unit (BMEU), along with the one-time fee of $350. Two copies of a sample newsletter, in its final, folded form, should also be submitted. It is wise to keep the folded newsletter size within "letter-size" parameters (6.125" x l1.5"). The newsletter will need to include a prescribed mailing statement within the first five pages (it does not have to appear on the front or in the address area). See Quick Service Guide Publication 95, pp 46-60, for the necessary requirements and paperwork.

For additional information, check out the Postal Service's Web site at www.usps com. Click on "Service Guides" to access the Domestic Mail Manual (DMM) and Quick Service Guides, then click on "Forms" to access a Postal Service Form 3501 application and a sample periodical postage statement (Postal Service Form 3541).

(EDITOR'S NOTE - Al Marguerat serves WestLake Baptist Church in Raleigh as bivocational pastor/church planter.)

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