The U.S. Postal Service is asking Congress for authority to sharply increase first-class Forever stamp prices from the current 78 cents to 90–95 cents — and potentially as high as $1 — to help avert a looming financial collapse.
Postmaster General David Steiner delivered the warning in congressional testimony on March 17, 2026, before the House Oversight Subcommittee on Government Operations. He told lawmakers the agency could run out of cash in under 12 months without major reforms, citing a $9 billion net loss in fiscal year 2025 and mail volume that has halved over the past 15 years.
“Raising the price of first-class stamps to as high as 95 cents would largely solve our controllable loss,” Steiner said, adding that U.S. stamps remain the cheapest in the industrialized world — even as the Postal Service delivers across far greater distances than many other nations. “There are only three things that any company can do to improve financial performance — sell more products, raise prices or cut costs.”
The proposal goes beyond routine inflation-linked adjustments and would require new congressional approval plus review by the Postal Regulatory Commission. Steiner also called for raising the agency’s $15 billion statutory borrowing limit (unchanged since the 1990s) and changes to pension and workers’ compensation rules.
Without action, the USPS has warned it may have no choice but to end six-day delivery or close some post offices. The hike, if approved, could take effect later in 2026 or in 2027. The current 78-cent price remains unchanged for now.
The plan underscores the challenges facing America’s 250-year-old postal system as it battles declining letter mail in the digital era while trying to maintain universal service. Lawmakers from both parties expressed concern at the hearing but emphasized the need for accountability alongside any new funding flexibility.
