The U.S. Postal Service (USPS) head, David Steiner, has warned that the 250-year-old agency might soon run out of cash unless Congress steps in. He said the issue could be resolved if Congress allowed the agency to borrow money and raise postage rates.
If the agency continues on its current trajectory, it might soon have no money to pay its workers and vendors within a year. In addition to this, it might result in no or delayed deliveries, leaving the USPS in financial disarray.
According to NPR, Postmaster General Steiner said, “I am not sure that the American public is aware that the Postal Service is at a critical juncture. I know that I wasn’t aware of the extent of it before I took on this role, but at our current run rate and if we continue to pay our required obligations in the same manner as we have done in recent years, then we will be out of cash in less than 12 months.”
The Postmaster General says USPS might be forced to stop deliveries in 2027 if current trends continue.
Postmaster David Steiner says the postal service “will be out of cash in less than 12 months.”
Steiner has has also been on the board of directors of FedEx since 2009.
— More Perfect Union (@MorePerfectUS) March 17, 2026
Steiner, who joined USPS in July 2025, was previously a FedEx board member. As the new postmaster, he has highlighted the decline in the use of the traditional mailing system nationwide and how the regulations are lowering the finances at USPS.
Republican Rep. Tim Burchett of Tennessee joined the conversation, asking Steiner when the USPS could go into crisis. To this, Steiner informed him that USPS could run out of cash as early as October 2026 if it continues providing retirement and other benefit obligations at the current rate. He added that the USPS could be strapped for cash in February 2027 if it defaults on more payments.
The Postal Service does not receive any tax dollars for operating expenses; however, it depends heavily on its sales revenue to continue its operations. Fortunately, it has earned federal relief, but after Steiner’s latest comments, it might not be enough. As has been confirmed, USPS reported a net loss of $9 billion last fiscal year and $9.5 billion in 2024.
The agency has already recorded a $1.3 billion loss in the first quarter of 2026.
The U.S. Postal Service will tell Congress on Tuesday it faces a serious financial crisis, and without significant reforms, it will be out of cash in less than a year. https://t.co/8mXg1S10FX pic.twitter.com/q7diGn522V
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To reverse USPS’s financial decline, the postmaster urged Congress to increase the agency’s borrowing authority. This will give them enough time “that we can use to best determine what the Postal Service should do to best serve the American public,” said Steiner.
Furthermore, he said, “I’m here to tell America that we can do anything you want … If you want the same number of delivery days and post offices, we can do that. But someone has to pay for it.”
Steiner also noted that USPS postage rates are lower than those in other countries. He added that most financial problems could be resolved by raising the standard postage rate from 73 cents to around 95 cents.
