When we have mail sent to us, it’s usually to one of two places: our homes or places of work. Each offers pros and cons, which may have us frustrated with either choice.
Fortunately, a third option available is the PO box. It has its own drawbacks, but it may be a feasible solution for receiving your mail securely.
This does add to your expenses though, so it’s best to know what to expect before subscribing to the service.
So how much does a PO box cost? Read on to find out.
What Is a PO Box Used For?
Let’s first explore what a PO box is and what it’s used for.
“PO box” stands for “post office box,” and as the name indicates, you rent one from your local post office. Both individuals and businesses can rent them.
Most people use PO boxes for security and privacy. You don’t have to give the sender your home or business address. Also, only you have access with a key, and your packages are sent to a secure facility, which reduces the chance of your items being stolen.
Plus, it’s convenient to use PO boxes for online shopping if you won’t be home for the delivery or if you’re traveling and need a temporary address. The latter is also convenient if you’re a digital nomad and need a professional address while you’re traveling the world.
How Much Does a PO Box Cost?
On average, you can expect to pay between $25 to $75 a year for a small PO box. However, there are many factors that affect how much the cost of a PO box.
Below, we’ll go over what can change how much you’re charged for this service.
Location
As you may have already noticed, things in your local area may cost a certain amount compared to other places in the nation. This is due to the cost of living (COL), or the amount of money someone needs to live somewhere comfortably.
In general, urban areas have higher COLs, which means you’ll probably have to pay more for a PO box. But if you get one in a rural area, it’ll take more time and gas money to access, which isn’t very convenient.
Demand and Availability
Businesses will always price their services and products based on demand and availability. In some rarer cases, PO boxes in urban areas will be cheaper if there’s a low demand for them.
Otherwise, if you see high prices and you’re somewhere that’s not metropolitan, this may be because there aren’t very many PO boxes and they’re highly coveted.
Size of the Box
Post offices will offer several sizes to accommodate consumer needs. They range from XS to XL, and as the sizes get bigger, the prices get higher.
You might be tempted to get an XS PO box to save money, but all it can contain is letters and small packages. If you’re planning on using the PO box for business or online shopping, it may be a wiser decision to get a bigger box instead.
Duration of Rental
Ultimately, PO box rentals are never a permanent solution, although some people opt for very long-term contracts. On the other hand, you can rent them on a monthly basis too.
While monthly contracts are more flexible, they do cost more. Signing a multi-month or year contract usually means you’ll receive nice discounts.
Additional Services
Some post offices may offer additional services with your mailbox rental. For example, you can add:
- Package acceptance
- Signature confirmation
- Mail forwarding
Obviously, if you pick any of these services, there will be additional fees. However, they can make your life much more convenient.
Renewal Fees
Do you want to extend your contract after the rental period expires? Then you might get charged a renewal fee.
This fee will depend on your local post office’s policies, as well as the rental duration you choose.
Additional Fees
As we’ve just mentioned, each post office will have its own policies. Because of that, you can expect additional fees for things like key deposits, key replacements, or late payments.
Make sure you do your due diligence and ask about any potential extra charges before renting a PO box. That way, you’re not caught off guard when you receive the bill for something.
Get a Virtual PO Box Instead
A PO box may seem quite affordable, but you’re still tied down to a physical location for your mail. Plus, it’s not always feasible to use a PO box for an LLC.
A much better option is a virtual PO box, or virtual mailbox. Here at Business Anywhere, we’ll collect your mail securely, sort out the junk mail, and scan everything else to upload to our dashboard.
You can log on wherever you are to see what’s been collected. We can even receive your packages and forward those (along with pieces of mail) to your current location.
In addition, we have other services that are beneficial for entrepreneurs. For instance, we can help with business registration and be your registered agent too. This gives you a more hands-off approach, enabling you to focus on your true passions more.
Get Your Mail Anywhere in the World
The answer to the question, “How much does a PO box cost?” is a complicated one. While in most cases it’ll cost you under $75 a year for a small box, there are many other factors at play that can affect how much you pay.
In any case, there are better options out there, such as virtual mailboxes. This service costs a little more, but is still very affordable. The significant added convenience is more than worth it to subscribe to a digital PO box instead.
Sign up with Business Anywhere to get your own virtual mailbox now. We can also get your company registered if you haven’t done it yet.
