USPS Subsidized or 3.5 million People Getting Free Healthcare. Your choice.


My fingers were flying over my desktop calculator this morning. The USPS is subsidized by a staggering amount. Reports say the total is $15 Billion per year.

Much of that loss is paid for by the Medicare Fund. That means Medicare has Billions of dollars less for the treatment of sick people. It is shocking that the Post Office is robbing the Medicare Fund.

$15 Billion means nothing to the average person. It is difficult to comprehend how much money that is. They don’t understand what that sum could do if it were spent elsewhere.

Since this is a hard concept to understand here is my example.

The $15 Billion that the USPS is subsidized now costs the American taxpayer annually is the equivalent of giving 3.5 million people free health care.

I am pretty sure the founding fathers of the USA, 250 years ago never thought that USPS would be delivering junk mail and Amazon packages.

When I worked for USPS, it became apparent to me very quickly that we were nothing more than a delivery service for junk mail and Amazon parcels. Amazon uses the postal service because postal rates are significantly lower than anyone else. The fact is that the Post Office lost money on each Amazon package is not a concern for Amazon.

That is pretty simple.

It is only fair that the shippers pay enough so that the taxpayer doesn’t have to subsidize the post office. The $15 Billion loss is the equivalent of $96.00 per delivery point per year or $2.63 per package.

It is my opinion that the post office is a quasi-government business that no longer serves its original purpose and mandate. The traditional business of first class mail is no longer viable for this organization.

USPS must be privatized. Sell it for 1 dollar if need be. The public should not be paying for the post office. Let the private sector turn USPS into the equivalent of FedEx and UPS. USPS does not have to be subsidized.

Let the new USPS compete with other carriers.

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Michael Kitson COO