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What are packing dimensions and shipping weight?

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I am working to setup real-time carrier shipping for my products, but I'm not completely clear on what weight and dimensions I should be using.
'Shipping Weight' and 'Packing Dimensions' are specified, but the descriptions of each aren't clear.

I am using USPS Priority Mail shipping.

Should I:

  1. Use the weight and dimensions of my actual product not including the packing materials or box?
  2. Use the weight and dimensions of my product including the packing materials and box?
  3. Do something else?

Thanks in advance for any expertise you can lend.

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