USPS Stamp Prices Set to Rise After $9 Billion Loss

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The cost of a stamp with USPS is on the rise, and it comes as the nation's postal service reports a $9 billion loss in income last year. (Photo credit: Element5 Digital / Unsplash)

As the saying goes, a dollar isn’t what it used to be. Of course, pennies are no longer being minted either.

Now, the cost of mailing a letter in the United States is on the rise.

Starting on Sunday, July 12, the cost of a postage stamp will be increasing, and this change comes as the United States Postal Service has reportedly not made a profit in over 10 years.

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What Are The New Postage Rates?

“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 wrote in a news release in April of 2026.

Continuing, USPS said, “The Postal Service generally receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations.”

That news release then included notice that the USPS issued a recommendation for a price increase on stamps, notably bringing its First-Class Mail Forever stamp from 78 cents to 82 cents.

The current postage costs, compared to USPS’ proposed new costs, are as follows:

  • Letters (1 ounce) are 78 cents, and are proposed to increase to 82 cents;
  • Letters (metered 1 ounce) are 74 cents, and are proposed to increase to 78 cents;
  • Domestic postcards are 61 cents, and are proposed to increase to 65 cents;
  • International postcards are $1.70, and are proposed to increase to $1.75 cents; and
  • International letter (1 ounce) are $1.70, and are proposed to increase to $1.75 cents.

July 12 was noted as the date that these changes would go into effect, with the Postal Regulatory Commission making the final determination.

Notably, the Forever Stamp was first introduced in 2007, costing 41 cents and conceived as something that customers can purchase in bulk and never have to worry about the stamp losing its value.

Now, at 82 cents as of July 12, 2026, the Forever Stamp will now be double that 2007 price.

Contributing to the perceived need for the increase in costs is the USPS’ ongoing financial woes.

In May, the Postal Regulatory Commission released its Fiscal Year 2025 report, documenting dramatic monetary losses.

The report states:

“The Postal Service recorded a net loss from operations of $2.7 billion. Compared to FY 2024, the increase of $0.9 billion in net loss from operations was the result of a $1.8 billion increase in operating expenses, partially offset by an increase of $1 billion in revenue.”

This increase in operating expenses happened even as the total volume of mail decreased by by 3.7%, the Postal Regulatory Commission noted, adding, “When Non-operating Expenses are included, the net operating loss of $2.7 billion results in a net loss of approximately $9 billion.”

For the past 10 years, the USPS has had a negative income, with 2016 being the last time that its net operating income was profitable.

This chart illustrates the poor financial performance of USPS over the past decade:

The United States Postal Regulatory Commission released this graph in its Fiscal Year 2025 report, showing consistent losses in net income over the past decade. (Image: Postal Regulatory Commission)

The Postal Regulatory Commission then stated that its overall net deficit is at approximately $41.6 billion, as of the end of 2025, and that figure consists of “an accumulated deficit of $57.7 billion offset by capital contributions of $16.1 billion.”

While USPS reports it “had more cash on hand” in 2025 than in 2024, it goes on to say that “it had much less in short-term investments, and it stayed at its full $15 billion borrowing limit without paying any of that debt down.”

According to the report, 70% of USPS expenses are related to employee pay and benefits, with 2025 seeing 15,000 fewer employees than in 2024, with 5 million more hours of overtime and but 12 million fewer total work hours.

In the USPS’ April news release, the postal service added, “Notwithstanding the adjustment, the Postal Service’s mailing prices remain among the most affordable in the world.”

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About the Author

Grant Bromley

Howdy, I’m Grant, a multimedia storyteller and lover of the arts. Whether it’s Copland’s ballet Rodeo or Peckinpah’s iconic Western Pat Garrett and Billy the Kid, I have an appreciation for works that engage with the American mythos. Covering news, I help tell the stories that define our shared tomorrow.

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