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Omaha small business owners face tough choices as the USPS implements a temporary 8% shipping surcharge

Omaha small business owners face tough choices as the USPS implements a temporary 8% shipping surcharge
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OMAHA, Neb. (KMTV) — Omaha small business owners share how the temporary 8% USPS shipping surcharge impacts their ability to compete with large online retailers.

  • According to a USPS statement, the temporary change is meant to cover rising transportation costs.
  • The surcharge went into effect on April 26th, 2026 and will last until Jan. 17, 2027, at which time USPS says they will evaluate if a more long-term change is needed.
  • JJ Feregrino, owner of Keyfob.com, says he has learned to adjust slowly, finding lower-cost supplies and making operational changes before passing any costs on to customers.

BROADCAST TRANSCRIPT:

The United States Postal Service is raising shipping prices with a temporary 8% surcharge, and for anyone with packages to send, it may have them rethinking whether to ship at all. For online sellers, Omaha business owners tell us the increase hits even harder.

According to a USPS statement, the temporary change is meant to cover rising transportation costs. USPS says even with the surcharge, its rates remain lower than competitors’ fuel surcharges. The surcharge went into effect on April 26th, 2026 and will last until Jan. 17, 2027, at which time USPS says they will evaluate if a more long-term change is needed.

Seven years ago, Kadi Knight started her small business, Thyme for Real Medicine, selling both in-person and online. When she heard about the USPS surcharge, she worried about competing with giants like Amazon, who offer free shipping.

"I do it because I love it and I want to help people and I feel like I am with my products and my services," Knight said.

For JJ Feregrino, owner of Keyfob.com, price increases are nothing new in his industry. He says he has learned to adjust slowly, finding lower-cost supplies and making operational changes before passing any costs on to customers.

"Don't adjust until you realize there's a problem, um, and try to find ways to solve the problem yourself before you pass it along to the consumer," Feregrino said.

For Knight, the decision whether to raise her prices is still on the table. Despite this new challenge, she says it is still worth it to keep going.

"It's a tough decision because I'm trying to be competitive and it's hard when I can't offer free shipping and I don't have the capabilities of ordering everything in bulk like large corporations do, so," Knight said.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.