As the U.S. Postal Service continues to face financial difficulties, the price of a first-class stamp could soon increase by 4 cents, the USPS said on Thursday, April 9.
The proposed adjustments, which the Postal Regulatory Commission must approve, will see the old price of 78 cents for a first-class stamp replaced with a new rate of 82 cents, effective July 12.
“In the midst of the severe financial crisis facing the Postal Service and continued rising operational costs, the Postal Service is using all available tools, including available regulatory pricing authority, to ensure we can continue to fulfill our universal service obligation and serve the American public,” the USPS said in the release.
But the proposed increase to first-class stamp prices is not the only change. Domestic and international postcards are also set to increase by 4 and 5 cents, respectively.
Increases amid Financial Woes
The increase comes less than a month after USPS officials warned that a price increase was on the way. During an appearance in front of Congress back in March, Postmaster General David Steiner suggested that a price hike on first-class stamps could have gone as high as 95 cents.
For months, Steiner has also warned that the USPS’s financial future is uncertain.
In interviews with Reuters and The Associated Press, Steiner said that without congressional action to lift the agency’s $15 billion statutory debt limit, USPS could struggle to pay vendors or employees by February 2027. The borrowing cap was set in 1990.
Why Is USPS Struggling?
USPS has posted losses in nearly every year since 2007, according to the U.S. Government Accountability Office, totaling about $109 billion through fiscal year 2024.
Mail volume has fallen sharply as Americans move online. USPS delivered 112 billion pieces of mail in fiscal 2024, down nearly 50% from its 2006 peak, according to the Postal Regulatory Commission.
Contributing: Reuters; Michelle Del Rey, USA TODAY
Add a Comment