Stamp Prices Go Up Another Penny

Stamp prices have gone up another penny. Starting today, the price for a one-ounce first-class letter will be 45 cents instead of 44 cents.

It may only be a penny but it could go a long way to help the struggling post office. Official say that the additional cost will generate an additional $888 million in annual revenue. The Washington Post reports that the price increase will not effect Forever Stamps that were purchased before Sunday.

When Postmaster General Patrick Donahoe initially announced the stamp price increase, he said:

“The overall average price increase is small and is needed to help address our current financial crisis. We continue to take actions within our control to increase revenue in other ways and to aggressively cut costs. To return to sound financial footing we urgently need enactment of comprehensive, long-term legislation to provide the Postal Service with a more flexible business model.”

The post office has made several changes this year in an attempt to stay afloat. The postal service will stop next day delivery and they will close several offices this year.

The current price increase comes among a labor dispute. The U.S. Postal service and two of its labor unions have failed to reach an agreement. The Washington Post reports that the dispute may eventually require a ruling by an arbitrator.

Do you still use the postal service?