In 1866 he was put in charge by the Prussian government of federalizing the postal service that had long been privately run by the noble Thurn und Taxis family.
Stephan's career then moved quickly up the ranks, as he was named Postmaster General of the German Empire in 1876, the Undersecretary of State in charge of the post office in 1880, and the Minister of Postal Services for Germany in 1895.
[1] When Stephan began his work as a postal worker, Germany was divided into 17 independent states, each with its own separate policies and fees.
The word creations mandated by von Stephan in the 1870s gained circulation at post offices and among its workforce, but many times the Greek or French original term was retained by German speakers.
Thus at home people would say "frankieren" for putting stamps on a postcard or letter envelope (Briefumschlag) among themselves, but switch to "freimachen" (absolve from stamp-debt, thus permitting delivery) when at the post office.