The State of the Postal Service

The U.S. Postal Service is the only delivery service that reaches every address in the nation: Nearly 167 million residences, businesses and Post Office Boxes. The Postal Service generally receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations.

This page gives a brief overview of the current state of the USPS operations in the areas that matter to you most.

SERVICE

Service performance is a measurement of the speed and reliability of mail services. The Postal Service measures mail from collection to delivery to report on its own performance. Service performance is the speed and reliability with which a postal service meets its established delivery standards. The Postal Service measures on-time delivery of mail from collection to delivery to report on its performance.

MAIL VOLUME

Area chart where volume has decreased from 213 billion pieces in FY 2006 to 109 billion in FY 2025.

In FY 2006, the Postal Service delivered a total of 213 billion pieces of mail. That was its peak. Since then, mail volume has drastically declined.

The Postal Service is self-funded, relying on the sale of its products and services. Revenue is largely generated through the sale of Market Dominant products and package delivery. When mail volume decreases, it directly impacts the Postal Service's ability to generate sufficient revenue to cover its costs.

This chart displays the Postal Service's total mail volume. In FY 2025, the Postal Service delivered 109 billion pieces of mail, a loss of 104 billion pieces, or nearly 50 percent, from FY 2006's peak of 213 billion.

Data source (1970-2025): USPS Periodic Report

Data source (2025): USPS Form 10-K FY 2025

Further Insight

SERVICE PERFORMANCE

Line chart of service performance data for FY 2022-25.

This chart illustrates on-time delivery performance of First-Class Mail, Single-Piece Letters/Postcards in FY 2025 compared to the years prior. Overall, in FY 2025, the Postal Service's on-time performance for Single-Piece Letters/Postcards was approximately 3 percentage points below the Postal Service's on-time performance in FY 2024.

Each year, the Commission must make a written determination as to whether the Postal Service achieved the stated performance target for meeting the established service standards. Here, a “standard” is the number of days the Postal Service has determined it will take a specific type of mail to be delivered.

The Commission compares the percentage of mail pieces that achieve the service standard against the Postal Service's self-established targets.

Effective April 1 and July 1, 2025, the Postal Service implemented a two-phase service standard change. Phase 1 introduced distance-based adjustments with a mix of shorter and longer standards for some mail, and Phase 2 reduced the applicable service standard for some mail.

Data source: USPS Service Performance Dashboard

Further Insight

FINANCIAL

The Postal Service is generally funded by ratepayers (customers who pay for its services), rather than taxpayers. Congress did, however, authorize taxpayer-funded support for the Postal Service in the Postal Service Reform Act of 2022. In general, the Postal Service relies on the sale of postage, products, and services to fund operations. The Postal Service continues to face long-term systemic challenges to its business model.

NET INCOME

Bar graph from FY 2007 to FY 2025 where FY 2025 showed a $9 billion loss.

The Postal Service's financial position continued to worsened in Fiscal Year 2025 compared to Fiscal Year 2024. Overall, the Postal Service has not covered its costs since 2006, when mail volume was at its peak. At the end of 2025, the Postal Service reported a $9 billion net loss for the fiscal year.

Data source (2007-2024): PRC Financial Report

Data source (2025): USPS Form 10-K FY 2025

Further Insight

RATES

Line chart with icons of stamps that show that prices have increased from 41 cents in 2007 to 78 cents in 2025.

The Postal Service has been increasing rates as its costs go up. The Postal Service raised the rate of the forever stamp from $0.73 in January of 2024 to $0.78 in July of 2025.

Data source: Rates for Domestic Letters

Further Insight

OPERATIONS

Total Factor Productivity is the measure of change in resources that the Postal Service uses as its workload changes.

TOTAL FACTOR PRODUCTIVITY

Line chart of total factor productivity where 2024 showed a decrease of -0.12 percent. On average, the growth for 1972 to 2000 was 0.34 percent per year, which increased to 0.98 percent per year for the 2001-2015 time period. Since 2015, TFP decreased 0.75 percent per year, on average.

Total Factor Productivity is the ratio of total output relative to total input. In layman's terms, TFP measures how many resources an organization is using to provide its products and services.

Data source: Financial Report (FY 2024) [PDF]