The holiday shopping season is already upon us, and while you’re budgeting for gifts and sales tax, don’t forget to factor in the hidden killer of your budget: Holiday shipping surcharges.
If you run a small business or plan to mail out gifts to family, you need to check pricing now. Major carriers — including UPS, FedEx, and even the USPS — impose temporary “peak season” surcharges to handle the massive influx of packages between fall and the new year.
These temporary fees start early and often run through the middle of January. Knowing the dates and the surcharges is the only way to protect your wallet.
The Two Shipping Surcharges to Watch
The price hike generally comes in two forms.
The Small, Universal Fee
This is a flat-rate fee applied to nearly every package shipped during the peak window. While it may seem small, it adds up quickly for small businesses or those mailing a lot of gifts.
For example, based on pricing sourced through Pirate Ship, UPS Ground services will incur a per-package fee that jumps during the highest peak window:
| UPS Ground Peak Window | Per-Package Surcharge |
| Oct. 26 – Nov. 22; Dec. 28 – Jan. 17 | $0.40 |
| Nov. 23 – Dec. 27 (highest peak) | $0.60 |
The Handling Fee
This is where the price of shipping can get completely out of control. Carriers dramatically increase their charges for packages that are bulky, heavy, or oddly shaped (like a golf club or a framed mirror). If your package requires “Additional Handling” or is classified as “Large,” be prepared for a massive fee.
Using UPS pricing as an example, here are the fees during the highest peak window (Nov. 23 – Dec. 27):
| Category | Price |
| Additional Handling | $10.80 |
| Large Package Surcharge | $107.00 |
If your package accidentally triggers the Additional Handling fee — which often happens for packages over 70 lbs or with a longest side over 48 inches — you’re paying an extra $8 to $10 on top of all other charges.
Your Money-Saving Action Plan
You can’t stop the surcharges, but you can avoid paying more than you should.
Ship as soon as possible: The highest surcharges for most carriers are concentrated around the Black Friday and Christmas crunch. If you can get your packages shipped before the November 23 high-peak start date (or wait until after Christmas) you will save the highest per-package fees.
Measure your packages: Do not guess on package dimensions or weight. Use a reliable scale and tape measure. Even a slight mismeasurement can trigger that $10+ “Additional Handling” fee that eliminates your profit or doubles the cost of your gift.
Compare prices: Never assume one carrier is the cheapest. Holiday surcharges change the entire pricing landscape. Use a comparison tool (like a third-party shipping software) and check UPS, FedEx, and USPS rates for every shipment, especially for larger items. The smallest fee difference can save you hundreds of dollars by the time January rolls around.
