Taxes are deferred, so less money is taken out of the employee’s paycheck. This reduction allows the Postal Service to continue to reduce interest costs. FORTUNE may receive compensation for some links to products and services on this website. The higher revenues were driven largely by price increases and continued growth in the Shipping and Packages business, where revenue increased $1.3 billion, or 6.1 percent, which more than offset revenue declines in First-Class and Marketing Mail as a result of declining volumes in that segment of its business. The federal government doesn’t have a central website for finding unclaimed money. Compensation and benefits expenses increased by $994 million due to contractual wage increases, and retirement benefits expenses increased by $320 million due largely to the higher amortization costs of unfunded benefits. For U.S. Anachronistic and balky though it may be, voters of all political persuasions appear to adore the post office: 91% of Americans view the U.S. Under the Postal Accountability and Enhancement Act of 2006, the USPS is required to pay $5.4 billion to $5.8 billion annually, through 2016, to pay for future retiree health benefits. The US government demands that the post office lose a lot of money. That is not a surprise for an organization losing large amounts of money each year. Payments are to be made over a 30-year rolling period based on OPM invoices. In addition to the EPA’s recent bungles, the U.S. Controllable loss is defined as net loss adjusted for items outside of management’s control and non-recurring items. In addition, USPS provides health benefits to its retirees, as other government employers—but not all large private employers—do. The post office or whichever department has still rendered the service, so even though the expense would show on the requesting departments budget, and it would show as income for the department providing the service. Postal Service is covered, as are all federal nonmilitary agencies, under the Federal Employment Retirement System (FERS), which pays all of its employees a pension in accordance with how much they were paid during their career, what kind of work they did, and how long they worked for the federal government. USPS has lost $69 billion over the past 11 fiscal years—including $3.9 billion in fiscal year 2018. Visit PayScale to research U.S. It is part of the federal government, but it has been an independent agency since 1971. US/Canada Attendee Dial-in: 844-340-4622   Conference ID: 4784052, Attendee Direct URL: https://usps.webex.com/usps/onstage/g.php?MTID=e69d71470912231e158a0fa994cc2da23, If you cannot join using the direct link above, please use the alternate logins below: Postal Service reported operating revenue of $71.1 billion for fiscal year 2019 (October 1, 2018 - September 30, 2019), an … Subscribe to the USPS YouTube channel, like us on Facebook and enjoy our Postal Posts blog. The ONLY thing the Federal Government has done to (NOT FOR) for the USPS and we mailers in the past is to steal from us.They look at us as free money that they can then spend elsewhere.Even if taxation initially came with more liberal postal reform legislation they eventually do not keep their promises.The annual payment of $29 Million for revenue foregone is a good example. The total volume of mail and packages delivered during the year declined by 3.8 billion pieces or 2.6 percent, driven largely by First-Class Mail declines of 1.8 billion pieces, or 3.1 percent, and Marketing Mail declines of 1.6 billion pieces, or 2.1 percent. WASHINGTON - The U.S. WASHINGTON - The U.S. Transportation expenses increased by $323 million as the Postal Service continued to experience increases in fuel prices and highway contract rates. They want $25 billion for the post office. The USPS, the US Postal Service, is not subsidized by taxpayers. Market data provided by Interactive Data. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell My Personal Information | Ad Choices  USPS’s total unfunded liabilities and debt ($143 billion at the end of fiscal year 2018) have grown to double its annual revenue. They need that money so it can work and they can take these millions and millions of ballots." Transfers allowed from eligible employer plans and traditional retirement accounts (IRA). It does receive reimbursement for lawmakers mailings (franked mail) and to subsidize non-profit’s special mailing discounts (which is underfunded). Postal Service (USPS) salaries, bonuses, reviews, benefits, and more! Technically, yes. The PCSRSFRA also required much of the reduction from the previous pension outlay levels to be put toward lowering the USPS’s debt and funding an escrow account. In accepting the position, Franklin dedicated his efforts to fulfilling George Washington's vision. Since 2006, the USPS has been obligated to pay around $5 billion a year into a trust fund for future potential retiree health benefits. The U.S. FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. However, Congress gives it no funds from other federal revenue sources,. Each department balances it's books by moving money around internally. “We continue to adjust to declining mail volume and remain focused on leveraging our unique and unrivaled network to gain new customers and grow profitable revenue in the increasingly competitive package business,” said Postmaster General and CEO Megan J. Brennan. In the late 1980s, Frank was so upset that lawmakers decided to tap the USPS for about $800 million that he launched a successful campaign to get the USPS taken “off the federal budget.” The postmaster general won that symbolic point, arguing that “we don’t use a penny of tax money.” ETF and Mutual Fund data provided by Morningstar, Inc. Dow Jones Terms & Conditions: http://www.djindexes.com/mdsidx/html/tandc/indexestandcs.html. Package volume grew slightly at 16 million pieces, or 0.3 percent, continuing a multi-year trend of declining mail volumes and increasing package volumes, although package volume growth slowed considerably during the year. First, Americans need a guarantee that their mail will help them get through crises like this one, and the USPS needs money to do it. While government bureaucrats are notoriously inefficient at their core missions, such as the EPA polluting the Animus River, the one thing they are consistently efficient at is losing taxpayer dollars. USPS likely will continue to lose money despite the efforts of its employees and leadership. The data for this free service are provided by the U.S. S&P Index data is the property of Chicago Mercantile Exchange Inc. and its licensors. USPS is experiencing unprecedented volume increases and limited employee availability due to the impacts of COVID-19. 5  Represents the annual portion of the normal cost payment due September 30, 2019, and 2018, attributable to revised actuarial assumptions and discount rate changes. Selected FY 2019 and 2018 Results of Operations and Controllable Loss Average Salaries. Offers may be subject to change without notice. Alternate URL: https://usps.webex.com USPS was “set up” to run with no taxpayer money, and continues to do so. This is similar to the process within businesses. Follow us on Twitter, Instagram, Pinterest, and LinkedIn. Event Number: 824 136 345, The briefing will also be available on live audio webcast (listen only) at: Payments are to be made in equal installments through 2043. Aviation mail security & hazardous materials, http://about.usps.com/who-we-are/financials/welcome.htm, https://usps.webex.com/usps/onstage/g.php?MTID=e69d71470912231e158a0fa994cc2da23, http://about.usps.com/news/electronic-press-kits/cfo/welcome.htm. This was driven by an increase in workers compensation expense of $3.5 billion, of which $3.4 billion was directly the result of changes in discount rates outside of management's control. All rights reserved. 2  Net amounts include changes in assumptions, valuation of new claims and revaluation of existing claims, less current year claim payments. 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