In Postal 2, the player takes on the role of the Postal Dude, a tall and thin red-headed man with a goatee, sunglasses, a black leather trench coat, and a T-shirt with a grey alien's face printed on it. Postal Dude lives in a dilapidated caravan trailer on land behind a house in the small town of Paradise, Arizona, with his nagging wife, who is identified in the credits as simply "The Bitch". The game's levels are split into days of the week starting Monday and finishing Friday.
The game also features a cameo by Gary Coleman, acting as himself, who appears early on as the objective of one of the game's tasks (travel to the local shopping mall to get Gary's autograph). The player can choose to fight and kill Coleman or simply have the book signed peacefully (after enduring a long line-up). The Dude twice mistakes Coleman as having starred in What's Happening!! and The Facts of Life, when he actually starred in Diff'rent Strokes. Regardless of the Dude's actions, the police storm the building in an attempt to arrest Gary Coleman and a gunfight ensues which invariably results in Coleman's apparent demise, with or without the player's help.