Postal service makes money

November 14, InFirst-Class Mail volumes declined by approximately 2. Although mail volume declines were postal service makes money offset by growth in package volume, overall volume for the year declined by 3. However, the flawed business model imposed by law continues to be the root cause of our financial instability. We are seeking reforms that would allow the organization to reduce costs, grow revenue, compete more effectively, and function with greater flexibility to adapt to the marketplace and to invest in our future. Brennan added that addressing these urgently needed reforms would then provide an opportunity to consider broader public policy issues and develop long-term solutions to continue to enable the Postal Service to best meet the needs of the American public. During the fourth quarter ofthe Governors of the Postal Service made a decision to reduce the organization’s debt level to reduce interest rate costs and to better reflect actual borrowing needs. Selected FY and Results of Operations and Controllable Loss This news release references controllable losswhich is not calculated and presented in accordance with accounting principles generally accepted in the United States GAAP. Change in normal cost of retiree health benefits due to revised actuarial assumptions 5. Payments are to be made in equal installments through The Postal Service receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations. For U.

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Postal Service floated a new proposal, which would cut mail delivery to five days a week, in an attempt to save money. Not only is the U. Postal Service delivering less mail — it is now delivering fewer packages after it warned Congress it could run out of cash in the not so distant future. But the decline in package volume — the first decrease in nearly a decade — could spell even more trouble for the financially-stricken agency, as its courier competitors ramp up delivery efforts to compete with the likes of Amazon. Packages were also one area of concentration for the Postal Service as it worked on a reform plan to shore up its finances. The Postal Service experienced a 1. Brennan said in a statement. The last time the agency recorded a profit was more than a decade ago. Throughout recent months, the U. Post Office has considered a number of reforms to attempt to put itself on firmer financial footing.

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Brennan told lawmakers in May the agency is considering scaling back mail deliver to five days per week, from the current six, as it works on a plan to shore up its financial situation. As part of that plan, the Post Office would deliver packages seven days per week. This model, she says, imposes significant costs — like an unaffordable retiree health benefit plan and price caps — on the Postal Service while constraining its ability to raise revenue in order to offset those costs. And if the agency makes all of its mandatory payments — including those retiree benefits — Brennan said the agency would be out of cash in

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Eric Katz. The U. Ongoing volume losses of 3. Fiscal marked the first time in five years that the Postal Service failed to turn a profit on controllable operations. Operating expenses ticked up by 3. Corbett expressed some concern that growth in package and shipping business has slowed, while voicing satisfaction with the stability of marketing mail despite the declines in first-class and periodical volume.

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Read More info. Price Guide. How and where do you get money orders? USPS negotiates the discounted rate for that service with Amazon, as it does all other bulk shippers. We’ll replace money orders that are defective or damaged. Call Saver Packages. If a money order is lost or stolen, you may be able to have it replaced.

Revenue and mail volume is basically flat, but the USPS’ operating expenses are out of control.

Read it. Banking Services. My Post Office. We have updated our privacy policy to better explain how we use data on this site. Price Guide. How do I mzkes Broadband? We help make the important things in life happen. How can I measure my Postal service makes money usage? For general enquiries, complaints or feedback please contact us using our form: Contact us. What Is a Money Order?

You are now logged in. Forgot your password? The U. In its quarterly fiscal reportpublished today, mkaes Post Office reported small decreases in mail volume and overall revenue compared to the same quarter of Its big losses are driven by a sharp increase in poatal, primarily workers’ compensation costs, pension liabilities, and payments for retirees’ health benefits.

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At the time, Postmaster General Megan Brennan bluntly declared that the agency «cannot generate revenue or cut enough costs to pay servkce bills» and predicted that the agency would continue to post losses at «an accelerating rate. That comes even after an increase in the cost of sending first-class mail. It’s not exactly news that personnel costs are driving the Postal Service’s financial problems. And they pay taxes, which the Postal Service does not.