Tagged: federal budget

WASHINGTON (AP) — The financially struggling U.S. Postal Service says it plans to stop delivering mail on Saturdays, but continue delivering packages six days a week.

In an announcement scheduled for later today, the service is expected to say the cut, beginning in August, would mean a cost saving of about $2 billion annually.

The move accentuates one of the agency's strong points — package delivery has increased by 14 percent since 2010. The delivery of letters and other mail has declined with the increasing use of email and other Internet use.

Congress avoided the automatic tax increases and budget cuts of the dreaded fiscal cliff at the last minute this week with a deal that raises tax rates on individuals with incomes over $400,000 and couples making $450,000.