Why are the prices of stamps increasing? The US Postal Service has achieved the largest increase in several decades

The United States Postal Service announced Sunday the largest increase in stamp prices since 1991, according to The hill. But why are the prices of stamps increasing now and what stamps does it affect?

The stamps affected by the increase are the stamps "forever". The increase of 5 cents was first proposed in October. United States today reported. Regulators approved the price increase in November, according to The hill. Now, the stamps "forever" will cost 55 cents, according to United States today. In 1991, the price of a "forever stamp" rose from 25 cents to 29 cents – 16%.

The hill reported that during the 2018 fiscal year, USPS had recorded a net loss of $ 3.9 billion. "The governors believe that these new rates will allow the postal service to remain competitive while providing the agency with the necessary revenues," wrote USPS in a statement at the announcement of the first price increase in October. . "The postal service receives no taxes on operating expenses and relies on the sale of postage, products and services to finance its operations."

Priority courier fixed-rate mail – these iconic red, white and blue boxes and envelopes – will also increase by 5.9%, according to United States today. For example, a small single-rate box will now cost $ 7.90 instead of $ 7.20, according to a list of USPS.

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