USPS: Stamp Of Approval

Hi, today we explore: The history and economics of the United States Postal Service. TOGETHER WITH Today's Topics Hello and happy Sunday! 'Tis officially the season, and all through the houses people are in full festive swing, preparing gifts and cards to send across the country to family and friends. So, today we’re exploring the often unsung hero at the center of the holidays: the United States Postal Service (USPS). Your final Sunday deep dive of 2023 is brought to you by [Incogni]( the personal data deletion service from Surfshark. [Incogni]( game is getting your info wiped from dangerous databases or people search sites — the easiest way to protect yourself from spam, scams and fraud.* Busy season The middle 2 weeks of December often feel like a race against time, and that's particularly true for USPS: the government agency that can trace its roots back to before the very founding of the [United States]( itself. Indeed, between Thanksgiving and Christmas, USPS is at its busiest. At the time of writing (Sunday morning) its [online tracker]( has already clocked over 9.04 billion items of mail and packages accepted this holiday season, relying on its 230,000-strong fleet of iconic trucks, and 500,000+ postal workers, as its little helpers. Often known as just the Postal Service, USPS is one of the few agencies explicitly authorized by the US Constitution, holding a [monopoly]( over the carriage of letter-mail, with records of the cost of sending letters dating all the way back to the 1800s. In 1885, the cost to send a letter was just 2 cents an ounce, today the same privilege — after two price increases this year — will set you back 66 cents, with another price increase [slated for 2024](. For much of the last century, any hikes have broadly mirrored inflation, however, since 1958, the price of letter-sending has outstripped the wider CPI index. Stamps of approval Although we take it for granted today, the very concept of prepayment through stamps is critical. Before prepaid stamps, recipients would foot the delivery bill for the item they were receiving, causing delays, and many simply having to [refuse the letter]( they were set to receive. And so, in 1855, universal prepayment became mandatory for delivery across the country, with the first stamp costing between [5 and 10 cents]( depending on the weight and distance. If you’re someone who sends Christmas or holiday cards, after you’ve selected that perfect card — and attempted to write something that’s not just another happy-holidays-to-you-and-yours type of message — you likely place your trust in a stamp to secure its safe passage. But, how likely is it that your mail makes it on time? About 91%, per [USPS]( standards, with the average first-class mail piece taking 2.5 days to make it to its destination in 2022. Out of office In addition to its fleet of trucks, the USPS has some 26,000 Postal Service-managed post offices across the nation to process all of the letters and packages. That is significantly down on the number that existed in 1901, meaning that today there are roughly one-third as many post offices… for a population that is 5x the size. The boom in post offices in the 1800s tracked closely with America’s expanding frontier, with intrepid business and store owners often taking up the mantle of sorting and distributing much of the mail in local towns and cities, [receiving a commission]( from the government for doing so. That created the truly enormous network of “post offices”, which peaked at 77,000 in 1901. For context on just how expansive that number is, there are “only” ~16,000 Starbucks stores in the US today. [Sponsored by Incogni]( The online profile you didn’t make Ever Googled yourself and found more info than you imagined? That’s down to people-search sites. These directories pull information from just about everywhere: public records, commercial data, your social media. Apart from being a bit weird, these sites make it easy for someone to anonymously check-up on you — or worse, a fraudster to steal your identity. The obvious step is to [erase]( your profile from search sites and data broker databases… but that takes ~304 hours. Instead, you can have [Incogni do it for you](. [Incogni]( removes your data from 60+ people search sites and 120 data brokers and keeps tabs on new entries, ensuring your data stays in [safe hands](. There’s nothing less festive than fraud — so take [55% off Incogni]( over the holidays. [Protect your personal information with 55% off Incogni]( The road to prosperity The rise of rural [free delivery]( which became a permanent service in 1902, dropped the need for many to travel long distances to post offices, kickstarting not only a fall in post office numbers, but also a substantial investment into the country’s road network. However, the long-term downward trend in the number of post offices hasn’t stopped USPS from delivering a mind-boggling volume of mail. Indeed, since 1926, USPS estimates that it has delivered a staggering 5 trillion pieces of [first-class mail]( with approximately 49 billion in 2022 alone. Posting losses While you might imagine that managing a gargantuan mailbag might translate into billions of dollars in the bank for the Postal Service, the truth behind its finances is more complex. Owing to its unique position as both a business and a public service, USPS’s finances are intrinsically tied up with the federal government’s — allowing the organization to rack up losses. Indeed, apart from FY2022, when the agency was offered a reprieve on retiree health benefit payments that translated into an accounting quirk that led to $56 billion in net income, USPS hasn’t turned a real profit since 2006, racking up $7 billion in operating losses in its latest fiscal year, as mail volumes fell. That $7bn loss means that the Postal Service is behind schedule on its 10-year plan, introduced in 2021, to turn the agency's finances around. But, interestingly, America doesn’t really care that it loses money. Indeed, even after multiple postage price hikes, USPS still ranks as one of America’s favorite federal agencies, with 77% of [Americans polled]( by the Pew Research Center having a favorable opinion of it, beaten only by the National Park Service (81% favorable). P.S. The agency that came last in the favorability ratings? The IRS (no surprise there, perhaps). [Sponsored by Incogni]( How did you know that? There’s a lot of information about us online — not limited to what we choose to share. People search sites dig deeper than social media, pulling public records and commercial data on you. Anyone can access these, inviting unwanted calls, checks, or even identity theft. Best to [delete your data]( — but that's easier said than done. [Incogni]( are experts, so they’ll chase hundreds of data brokers and people search sites until your data is wiped. Get 55% off [Incogni’s annual plan]( and start the new year scam-free. Thanks for stopping by! *Sponsored content from Incogni. See you tomorrow, when we return to our regular scheduled programming! Have some [feedback](mailto:daily@chartr.co?subject=Feedback&body=Hi%2C%0A%0AI%20like%20the%20newsletters%2C%20but%20I%20had%20a%20thought%20for%20you...) or want to [sponsor]( this newsletter? Not a subscriber? Sign up for free below. [Subscribe]( Copyright © 2023 CHARTR LIMITED, All rights reserved. You are receiving this email because you opted in via our website. Our mailing address is: CHARTR LIMITED 231 Vauxhall Bridge RoadLondon, SW1V 1AD United Kingdom [Add us to your address book]( Don't want charts in your inbox anymore? Break our hearts and [unsubscribe](.