The U.S. Postal Service (USPS) has announced proposed price adjustments for mailing services, set to take effect on July 13, 2025, pending approval by the Postal Regulatory Commission (PRC). The changes include a 5-cent increase in the cost of a First-Class Mail Forever stamp, raising the price from 73 cents to 78 cents.
Key Changes in Pricing
The proposed adjustments will increase mailing service product prices by an average of 7.4%. Among the specific changes are:
- First-Class Mail (1 ounce): From $0.73 to $0.78
- Metered Letters (1 ounce): From $0.69 to $0.74
- Domestic Postcards: From $0.56 to $0.62
- International Postcards and Letters (1 ounce): From $1.65 to $1.70
- Additional Ounce for Single-Piece Letters: From $0.28 to $0.29
Additionally, the USPS is introducing a 12% reduction in postal insurance rates for mailed items.
In line with a directive from the PRC, USPS has filed two sets of rates for Marketing Mail and Package Services products. These proposals address potential structural changes, including the elimination of Bound Printed Matter and an expansion of Marketing Mail categories. Only one set of rates will be implemented on July 13, depending on PRC approval.
The PRC will review the proposed changes before they are finalized. Customers can access detailed pricing information under Docket No. R2025-1 on the PRC’s website or through USPS’s Postal Explorer platform.
Earlier this year, USPS implemented price changes for shipping services on January 19, 2025:
- Priority Mail and Priority Mail Express: Rates increased by approximately 3.2%.
- USPS Ground Advantage: Prices rose by an average of 3.9% for retail and commercial services.
- Parcel Select: Experienced an average increase of 9.2%, with certain entry points seeing hikes as high as 10.3%.
In July 2024, USPS enacted its largest-ever rate increase for a Forever Stamp, raising the price from 68 cents to 73 cents—a nickel jump similar to the proposed July 2025 hike. These adjustments are part of USPS’s Delivering for America plan, a 10-year strategy aimed at achieving financial sustainability through price increases and operational reforms.
In a September filing with the Postal Regulatory Commission, the U.S. Postal Service announced plans to resume twice-yearly price increases following the July 2025 hike. These increases are scheduled for January and July in both 2026 and 2027, subject to the approval of the Postal Service’s Board of Governors.
The USPS has faced persistent financial challenges, posting a $9.5 billion net loss in fiscal year 2024 despite generating $79.5 billion in operating revenue. Declining first-class mail volumes and rising operational costs have compounded these difficulties, prompting the agency to rely on rate increases as a key component of its recovery strategy.
Former Postmaster General Louis DeJoy, who resigned in March 2025, previously warned customers to expect “uncomfortable” price hikes after years of what he described as a “defective pricing model.” DeJoy argued that these increases were overdue and essential for the USPS’s long-term viability.
While USPS is self-funded and competes with private delivery services for parcel shipments, it is not designed to function purely as a profit-driven enterprise. Its operations are governed by legal mandates aimed at binding the nation together through reliable communication infrastructure—a principle reaffirmed in the Postal Reorganization Act of 1970.
The United States Postal Service is not a typical business but an independent agency of the federal government explicitly authorized by the Constitution. Its mission is rooted in public service, providing universal access to mail delivery regardless of geographic location or profitability.
The USPS operates under a “universal service obligation” (USO), requiring it to deliver mail to all communities, including rural areas where private carriers often avoid service due to higher costs. Unlike private companies, USPS cannot prioritize profitability over accessibility.
