What is the federal Universal Service Fund?
The Universal Service Fund (USF) is a system of subsidies, fees, and funding designed to increase access to telecommunications for everyone who lives in the United States.
Why do I pay federal Universal Service Fund?
The money is used to help organizations like schools, libraries, and rural health care providers that operate in high-cost areas by giving them discounts on telecommunications services. The fund supports programs that provide discounted essential service and free service installations to income-eligible families.
How does the Universal Service Fund work?
The FCC has defined the support mechanism by which eligible schools and libraries will receive support from the universal service program. Specifically, schools and libraries do not receive direct funding from the program. Instead, they receive discounts on the costs of services provided by vendors.
How much is the federal Universal Service Fund fee?
33.4%
In April 2021, the Federal Communications Commission started collecting a 33.4% contribution factor for the Federal Universal Service Fund (FUSF), its highest rate ever. This fee is assessed on the interstate and international portions of your phone bill, including cellular, landline, and VoIP.
How much is the Universal Service Fund fee?
In April 2021, the Federal Communications Commission started collecting a 33.4% contribution factor for the Federal Universal Service Fund (FUSF), its highest rate ever. This fee is assessed on the interstate and international portions of your phone bill, including cellular, landline, and VoIP.
How much is the universal service fund fee?
Who is exempt from USF?
Under FCC rules and policies, only telecommunications service providers (including resellers) that pay Federal USF contributions directly to USAC are typically exempt from paying the Federal USF charges to underlying providers such as Zoom Voice Communications.