TRENTON, NJ – Sending a letter in New Jersey is about to get more expensive in January as the U.S. Postal Service once again raises the price of a standard first-class stamp.
The United States Postal Service (USPS) announced on Friday its intentions to increase the price of first-class mail stamps from 66 cents to 68 cents, effective Jan. 21.
This price adjustment proposal awaits the nod from the Postal Regulatory Commission. If approved, the new prices would signify a 2% rise in mailing services product prices, a significantly smaller increment compared to previous hikes. Since the beginning of 2019, when the stamp cost was 50 cents, prices have surged by 32%. In the meantime, the volume of first-class mail witnessed a 3% drop last year, marking its lowest in half a century. This volume has decreased by 51% since 2006.
Attributing the proposed increase to ongoing inflationary pressures on operational costs and the lingering effects of an earlier flawed pricing model, USPS emphasized the need for these adjustments to boost their much-required revenue.
First-class mail, commonly utilized for bill payments and letter correspondence, represents the prime revenue source for USPS. In 2022, it accounted for $24.2 billion or 31% of the total USPS revenue of $78.8 billion.
After securing financial relief from the U.S. Congress, implementing consistent price hikes, and adopting reforms, USPS reported in April a reduction in anticipated losses up to 2031 by over half. Moving forward, the agency has adopted a biannual stamp price increment strategy, which is projected to result in an added revenue of $44 billion by 2031.