New USPS Prices Announced for July 2024: What to Expect

Juilia Ruskin
4 Min Read

Starting July 14, 2024, the U.S. Postal Service (USPS) will increase prices across many of its services. This change is part of their 10-year “Delivering for America” plan to stabilize their finances and improve services. This article covers the details of these changes and what they mean for you.

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USPS Price Increases in July 2024

The cost of first-class Forever stamps will rise from 68 cents to 73 cents, a more than 7% increase. While this might seem small, it adds up with the high volume of sales. The Forever stamp price has been steadily increasing since 2021, when it cost 55 cents. The plan aims to raise $44 billion by 2031, with first-class mail making up over 30% of postal revenue in 2023.

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Other price changes include:

  • Additional-ounce price for single-piece letters: Increasing from 24 cents to 28 cents.
  • International postage: International postcards and 1-ounce letters will go up by 10 cents, from $1.55 to $1.65.

However, not all prices are increasing. Post office box rental fees will stay the same, and postal insurance costs will decrease by 10%.

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Reasons Behind the Price Increase

The USPS requested these price hikes from the Postal Regulatory Commission. If approved, they will take effect on July 14 and affect most services. The USPS says these changes are crucial for financial stability due to shifts in the mailing and shipping markets.

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Stamp prices last increased in January, marking the third hike in 12 months. This pattern has been ongoing, with previous increases in July 2023, January 2023, and July 2022. The upcoming hike will be the sixth since March 2021 to help alleviate economic burdens.

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Financial Challenges of the USPS

The USPS reported a $6.5 billion net loss for the year ending September 30, 2023. Much of this loss is due to a decline in first-class mail, now at its lowest volume since 1968. Despite the decline, first-class mail still generated about $24.5 billion, or 31% of postal revenue in 2023.

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The “Delivering for America” Plan

The “Delivering for America” plan aims to create a sustainable financial future for the USPS, which has been struggling with decreasing mail volumes and rising operational costs. The planned price increases are expected to help address these challenges and provide funds for ongoing operations and improvements.

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If successful, these changes will help the USPS better serve its customers and compete with private mail services.

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When will the USPS price increases take effect?

The new prices will start on July 14, 2024.

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How much will the cost of a Forever stamp be?

The cost will rise from 68 cents to 73 cents.

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Are all USPS services getting more expensive?

No, post office box rental fees will stay the same, and postal insurance costs will decrease by 10%.

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Why is the USPS raising prices?

The USPS is raising prices to stabilize its finances and improve services as part of its “Delivering for America” plan.

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How often have USPS prices increased recently?

This will be the sixth price increase since March 2021.

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An up-and-coming tax attorney passionate about educating readers on tax planning and mitigation strategies. Juilia articles offer practical advice and actionable tips to help individuals and businesses navigate the intricacies of tax law with confidence.
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