If your company sends out mails frequently and monthly postage amounts near $50 or more, you should consider purchasing a postage meter. A postage meter, also called a postage machine or mail meter machine is convenient as it spares you frequent trips to the post office to procure adhesive stamps, and get consignments weighed and stamped. With a postage meter, consignments are stamped with the appropriate postage amount, dated postmark or cancellation right at your office. Exact postage amount and postage amount tracking result in 20% cost savings for your business. But it is important to pick the right machine for your business.

How do postage meters work?

Development, usage, postage rates, and support of postage meters are regulated by the country's postal service. The main component – the postage meter – can only be leased while other parts can be leased or purchased from independent vendors. A postage meter holds a fixed postage amount (usually $1000) that can be refilled through pre-paid cards, phone, online postal account or the internet.

The packages are run through a feeder automatically or manually. The dimensions of the feeder vary. Sealers moisten and close the flap of envelopes. The mail is post marked and the amount is deducted from the remaining balance in the postage meter. Three seals on the postage meter display the balance amount, total postage amount dispersed on consignments, and the number of metered consignments respectively. The post marked mail is exited onto the stacker or collection tray of the postage meter.

Advanced Postage Meter Options:

All postage meters can send packages, parcels and mails including Domestic First-Class, Priority, Express, Parcel Post, International and discounted services. Postage meters come in analog and digital styles. A digital postage meter is much more secure because it prints a two-dimensional image that identifies the sender and the destination site. An analog postage meter can be changed to a digital postage meter with the purchase of an additional computer chip. Apart from the standard mail station functions of a postage meter, advanced models offer:

• Bar codes for authentication of sender and receiver
• Automatic postage rate adjustment
• Automatic date advance
• preset programs
• built-in scales

A postage meter has the following components:

• Base: The base of the postage meter machine is the seat on which a mail is transported through the postage meter.
• Built-in scale: The postage meter comes with a built-in scale that weighs consignments and tells you the exact postage amount required for packages, parcels, post cards etc. Analog models apply the amount automatically through the meter. Digital scales enter accurate postage automatically.
• Feeder: A feeder can be manual, semi-automatic or fully automatic. It guides the mail through the meter and stamps the indicia (postal mark). Manual feeders can be inconvenient if large stacks of mails have to be stamped. Feeders come in different speeds ranging from 15 to 270 letters per minute.
• Sealer: Sealers are the most maintenance-intensive parts of meters as they use glue and water to moisten envelope flaps and seal them close.
• Stacker: Low-end stackers can hold a few pieces of metered mails in a tray. High speed postage meters use power stackers that move stamped mails onto a tray via a conveyor system.
• Tape dispenser: A base with tape dispenser ensures correct placement of the postage meter tape on a package. Postage meters use pre-cut or rolled tape dispensers.

How much do Postage Meters cost?

The cost to rent a postage meter can range from $20 to $500 per month depending on the postage mter and its advanced options. Some key things to keep in mind:

• Manual feeders are less expensive, while semi-automatic feeders can cost around $700. Fully automatic feeders are priced at $1200 or more.
• High speed stackers can cost $1000 to $2000.
• Bases that use rolls of postage meter tape cost more than pre-cut dispenser bases, but lead to lower operational costs.
• Simple bases cost a few hundred dollars but advanced options can make the price jump to thousands of dollars.
• Spring scales cost around $30 while digital postage meter scales can cost hundreds of dollars.

Postage meters companies can offer you long-term contracts but one-year contracts are ideal for a small business digital postage meter. Some postage meter suppliers charge a fixed fee that is incremented annually while others base the fee on usage. Deals can also include attractive options such as free postage meter supplies, 1 year free maintenance, free 60 days trial etc.

Assess your business needs, postage volume and budget before you choose a postage meter. Though advanced options can be expensive, they can result in human and financial cost savings.