UPS Zones change

UPS Shipping Zones 2025: What the Changes Mean for Your Shipping Costs

by with No Comment BlogBusiness Intelligence

According to some reports, the value of freight shipments across the US is increasing every year. Shipping data is vital for businesses to lower expenses. E-commerce retailers will look for ways to reduce shipping costs. Transportation modes, services, surcharges, and delivery speed affect shipments. Businesses require reliable shipping carriers that suit their business needs.

Leading shipping carriers like FedEx and UPS offer various services and pricing models. Calculating shipping costs is complex as shippers have to consider many variables. Shipping expenses are calculated based on delivery speed, destination, package weight, etc. Further, the US Shipping Zones are used by shipping carriers to calculate shipping expenses.

Understanding US shipping zones helps businesses optimize their delivery options. Shippers can make cost-effective decisions regarding their freight and parcel deliveries. Here, we will discuss the US shipping zones and the latest changes in the UPS Shipping zones. In addition, we will look at new UPS surcharges introduced in March 2025.

Understanding US Shipping Zones

The geographical distance for package delivery is a US Shipping Zone. The US Shipping Zone calculation is across the 48 contiguous US states. Alaska and Hawaii have separate Shipping Zones. The shipping zone calculation is on ZIP codes. It is from a package point of origin to its destination. It helps companies calculate package shipping time and shipping costs.

Usually, the calculation of US shipping zones starts from 2 to 8. It varies slightly between shipping carriers. The Zone number is bigger when the destination ZIP code is further from the origin ZIP code. The division of the US Shipping Zones is as

  • Zone 2: within 150 miles of the origin
  • Zone 3: 151-300 miles from origin
  • Zone 4: 301-600 miles from origin
  • Zone 5: 601-1000 miles from origin
  • Zone 6: 1001 – 1400 miles from origin
  • Zone 7: 1401 – 1800 miles from origin
  • Zone 8: 1801+ mile radius from the origin

FedEx and UPS have their Shipping Zone numbers for different services. Moreover, the package weight across the Shipping Zones influences the shipping costs. For example, FedEx First Overnight service for a five-pound package in Zone 2 amounts to $82.45. On the other hand, in Zone 4, for the same services and package weight, the charges increase to $142.05.

UPS numbers Shipping Zones for internal purposes. For instance, UPS Next Day Air Early service numbers its Shipping Zones as Zone 102 to Zone 108. Another service, UPS 2nd Day Air A.M., numbers its Shipping Zones from Zone 242 to Zone 248.

Shipping calculator tools are available on the websites of many shipping carriers. It helps businesses estimate their shipping costs. FedEx has a particular site for calculating shipping rates based on origin and destination ZIP codes in the US. On the other hand, it is different for UPS as it allows the user to enter the first three digits of a ZIP code and then sends a corresponding Excel sheet for calculations.

UPS Shipping Zones

UPS Shipping Zones vary for US domestic shipping and to other countries like Canada and Mexico. The shipping rate calculation also varies based on the package weights and services.

UPS has a service guide that supplies complex information. Experts in this field can understand its rules and fees. Audintel provides simplified information to shippers.By leveraging our knowledge of UPS Shipping Zones, we offer several cost-effective strategies to businesses.

UPS Shipping Zones change

UPS announced recently that the US shipping zones will change for some origin/destination ZIP code pairs from March 24, 2025. Some experts believe that these changes will affect shipping costs. However, Audintel has a different outlook towards these statements.

Our Analysis of the UPS Shipping Zone Change

We have analyzed the “ZIP code pairs/combinations” of UPS based on the March update. The changes are for some ZIP code combinations. Our analysis shows:

  • Previously, UPS had 365,000 ZIP combinations. Now, it has increased to 1,164,000. These values indicate that UPS has fine-tuned its delivery commitments.
  • Out of the 1.1 million ZIP combinations, about 54,854 sets of ZIP combinations are different. Further, 30% of these changes resulted in higher zones. But, 70% of these changes saw a decrease in Shipping Zones.
  • Packages shipped to densely populated cities in areas like New Jersey were affected.
  • Shipping packages to remote locations will be costly for businesses.
  • A higher density of packages to cities will cost less with the lowering of the shipping zones.

The outcome of Audintel’s analysis

Analysis of shipping data will help reduce shipping costs for businesses. Shipping rate changes announced by carriers need thorough scrutiny. It will help shippers make well-informed decisions. Audintel has software tools that provide shippers with data visibility. We also alert shippers regarding new surcharges introduced by shipping carriers.

UPS announced changes in new rates

UPS announced a few surcharge updates and new fees affecting shipping costs. These changes include:

  • UPS Fuel surcharge

UPS Fuel surcharges are subject to change weekly. However, from March 10, 2025, UPS has adjusted fuel surcharges for UPS Ground Domestic and UPS SurePost® services. The increase in fees is 0.5%. A fuel surcharge applied to each package can increase shipping costs. Consolidation of shipments to reduce the shipping frequency will save money.

  • Paper Commercial Invoice Services Surcharge

UPS has imposed a $10 fee for each shipment to the shipper. It is for not providing digital commercial invoices using UPS Paperless® Invoice services before UPS processing. This surcharge came into effect from March 17, 2025.

  • Check Fee and Wire Fee

For every payment done by check or wire transfer, UPS is levying a $25 fee. The fee is applicable on or after March 31, 2025. It is not for Automated Clearing House (ACH) payments.

  • Print Invoice Fee

Each shipper or payor has to pay $5 for a paper-printed UPS invoice copy from March this year.

  • Late Payment Fee

This fee will increase from 8% to 9.9% of the balance of the prior dues. It also includes previous late fees.

Companies can adopt digital payment solutions to avoid the latter three fees. Payment by ACH is encouraged as it will not attract additional charges.

Wrapping up

Free shipping helps businesses get new customers, but free return shipping has challenges. Thus, companies must optimize logistics and use carrier discounts to reduce expenses. Shippers need awareness of carrier fees, which can lower shipping costs. Shipping carriers like UPS announce updates to their customers about the changes in fees and surcharges. In addition, businesses have to face UPS off-cycle changes in their shipping zones and fees. Thus, it is vital that shippers review their carrier contracts and pricing regularly.

Audintel aids shippers in analyzing carrier contracts regularly. Our team members have worked for leading shipping carriers, so they know the intricacies of contract negotiations. Our carrier pricing data analytics can navigate the complexities of UPS Shipping Zones. We calculate shipping costs for businesses based on the complex carrier rates.

To learn more about how UPS Shipping  Zones will affect costs, contact us at
 +1 (619) 354 8539. In addition, visit our Audintel website for information about our AI-enabled audit services, that can be customized to your business needs.

smartmockups_kxoh1cwc-768x568

Receive refunds quickly with Small Parcel Audit Services

by BlogSpend Management

The US e-commerce parcel delivery market reportedly will grow to USD 160.07 billion by 2032. There is increasing demand for speedy delivery services from small parcel delivery companies. For example, the United States Postal Service (USPS) small parcel delivery is economical, especially for last-mile deliveries. However, it has recently faced international shipping disruptions in many countries due to conflicts, winter weather, and local delivery issues. 

So, what if the small parcels arrive late? What do you do if there are shipping invoice errors? Who do you turn to when faced with late deliveries of packages? We hope it is your small parcel audit service provider. If not, you face the uphill task of asking for refunds from small parcel delivery companies.

This article deals with the small parcel audit services and audit points provided by Audintel. Further, we also mention how the small parcel audits recover refunds for clients.

Small parcel audit services

Small parcel auditing services help businesses overcome manual, time-consuming refund claims. The monitoring and tracking of a parcel shipment by each shipper is possible with automatic parcel auditing software. Shippers receive refunds from small parcel delivery companies for inaccurate fees, late deliveries, etc. In addition, small parcel audit services help recover money for their clients by identifying shipping mistakes.

Small parcel auditors provide options for switching small parcel carriers to shippers. Businesses can benefit by choosing a fast, cost-effective small parcel delivery company. Shippers can choose small parcel carriers that are affordable and don’t have hidden charges. The small parcel delivery companies include major players like UPS, FedEx, and USPS. DHL Express, Sendle, OnTrac, etc., are the other small parcel delivery companies.

Small parcel audits review billing inaccuracies, overcharges, and service failures by small parcel carriers. Further, they help to keep shipping costs under control and optimize shipping spend.

Types of Small Parcel Audits

The types of small parcel audits include manual audits, parcel audit software, and parcel audit services.

Manual audits are time-consuming and laborious, requiring employees to examine each invoice by hand.

Parcel audit software automates the manual auditing process. However,  training and optimum use of the software are essential to get positive results.

Parcel audit services are outsourcing of small parcel audits. It avoids the hassle of learning parcel audit software by companies. It provides shipping strategies and ways to obtain refunds from small parcel carriers.

Small Parcel Audit services: audit points identified by Audintel

In this section, we explore the different audit points that impact businesses. In addition, these audits help in getting refunds from small parcel carriers. Audintel identifies various audit points that need periodic checks. These audit points are categorized further into three types of audits.

1. Service Audits

These audits are for deficiencies in services provided by the shipping carriers. The below audit points target the service deficiencies of small parcel carriers:

  • Late Delivery Ground
  • Late Delivery Air
  • Late Delivery International

Shippers receive refunds for late deliveries by small parcel carriers by ground or air. It can be for domestic or international shipments. Small parcel auditing services inform shippers about the delays in package deliveries.

  • Voids

Small parcel carriers generate labels for all packages. Sometimes, these packages may not be shipped. However, the shippers eventually pay for the non-deliveries. Audintel tracks such non-delivery shipments for refunds.

  • Duplicate Invoices

Small parcel delivery companies generate invoices twice for the same shipment. Audintel identifies the duplicate invoices and requests refunds from them.

  • Duplicate Tracking Number

Parcel carriers give duplicate tracking numbers by mistake. Audintel monitors duplicate tracking numbers.

  • Lost Claims

Audintel makes claims for refunds to the small parcel carriers for lost packages.

  • Damage Claims

Packages damaged during transit are subject to claims. On behalf of the client, Audintel claims declared value or insurance for the damaged packages.

  • Saturday Pick-Up and Delivery Validation

Small parcel carriers pick up packages on Saturday. They charge extra for Saturday pick-ups and deliveries. Audintel validates such shipments. If there are mistakes made, we claim refunds for clients.

2. Invoice Audits

Invoice errors are a part of small parcel audit services. Here are some audit points that monitor inaccurate invoices:

  • Incorrect Rate

Small parcel carriers publish shipping rates every year. During carrier contract negotiations, both parties decide the charges for each package shipped. However, the small parcel carriers may bill excess to the negotiated rate. It leads to billing with inaccurate rates. Audintel audits the shipping rates levied by the shipping carriers and requests refunds where necessary.

  • Incorrect Discount

During contract negotiations, shippers and small parcel shipping carriers decide on discounts based on the shipping needs. Audintel identifies errors in providing the correct discounts by small parcel carriers, leading to refunds.

  • Incorrect Accessorial

Audintel requests refunds for shippers if accessorial fees, like fuel surcharges, are incorrect.

  • Commercial/Residential Adjustments

Small parcel carriers may charge small parcel delivery to commercial establishments at residential location prices. So, small parcel audit services by Audintel recognize the mistakes made by shipping carriers and request refunds.

  • Address Corrections Air or Ground

Packages requiring air or ground shipping do not necessarily need address corrections. However, Audintel requests refunds when shippers face wrong charges for address corrections.

  • Delivery Area Surcharge (DAS)

Shipping carriers charge businesses a surcharge if the delivery area of the small parcel is in a remote location. Audintel requests refunds when the DAS is inaccurate.

  • Hundredweight Shipments

Small parcel carriers provide discounts for multiple shipments going to one location. Audintel advises opting for alternative suggestions by small parcel carriers to save money.

  • DAS Extended

Small parcel carriers may charge extra for shipments with delivery areas beyond the remote locations. Audintel verifies whether the small parcel shipment is in the delivery area beyond the distant location. It requests refunds for discrepancies.

  • DAS Rural

This surcharge is for rural areas. Small parcel auditors verify the surcharge for accuracy.

  • Contract Negotiations

During carrier contract negotiations with the small parcel carriers, there are discussions on shipping rates and other surcharges. Audintel has an expert team to help shippers in carrier contract negotiations.

  • International Import and Export

Small parcel delivery internationally attracts duties and taxes. Audintel audits the shipments to ensure shippers do not pay extra taxes.

  • Incorrectly Billed Collect Shipments

Audintel checks if the shipments paid by third parties are correct.

  • Weight Accuracy

Small parcel audit services help shippers pay the exact amount for parcel weights. For example, a package that weighs 10 pounds may be charged incorrectly as a 15-pound package.

  • Additional Handling Charges

The Audintel team audits the shipments to verify if the shippers pay extra for handling packages.

  • Fuel Surcharge

Audintel verifies the validity of the fuel surcharge.

  • Hazmat Materials

Packages with hazardous materials have higher prices. Audintel audits the shipping invoices for the correct calculation of the shipment.

3. Compliance Audits

Audits conducted by third parties are compliance audits. It is to check if the shippers and small parcel carriers are following the negotiated terms of the contract agreement. The following audit points are integral to the compliance audits:

  • Contract Rate and Tier Audits

Audintel helps shippers with their contract agreements with small parcel carriers to get the best deal. We have expert negotiators who have in-depth knowledge of carrier contracts.

  • Contract Negotiations

Our negotiating team ensures that the shippers’ contract agreements with parcel carriers are correct and there are no discrepancies.

  • Invalid Account Number Usage

Small parcel auditors identify packages having invalid account numbers.

  • Incorrect billed 3rd Party Shipments using the client account number.

Audintel identifies incorrect third-party account numbers that do not exist. It notifies shipping carriers of incorrect billing of third-party shipments.

  • Special Contract Consideration

Audintel notifies shippers of any mistakes made in the contract negotiations.

Small parcel audit services by Audintel: refunds and savings.

Audintel requests refunds from small parcel carriers for mistakes made by them. We ensure our clients receive money in the accounts from  FedEx, UPS, and other small parcel carriers. As a small parcel auditor, Audintel ensures that its services do not end with just providing software solutions. We also ensure refunds for our customers. We help our clients save money by negotiating discounts with shipping carriers.

Final Remarks

Small parcel audit services help businesses request refunds for mistakes of small parcel carriers. Several eligible refunds are unclaimed by shippers. With the help of small parcel audit services, companies can claim refunds and save money. Audintel experts help shippers cut shipping costs with data insights. We help shippers choose the small parcel delivery company that serves their business needs.  Reach out to us for a demo and benefit from our state-of-the-art services. Contact us at +1 (619) 354 8539 or visit our Audintel website to know more about us.