Universal Service Fund Contribution Factor Projected at 37.6% in 2026
Believe it or not, that 37.6 percent is down from the current 38.1 percent.
WASHINGTON, Dec. 16, 2025 – The Universal Service Fund’s contribution factor will likely be 37.6 percent in the first quarter of 2026, down slightly from its record high.
The contribution factor is the amount of interstate and international voice revenue telecoms will pay into the roughly $8 billion-per-year fund. The program has been funded this way with few major changes since the 1990s, but now focuses much more on supporting broadband than voice services.
The new contribution factor was announced Monday by the Federal Communications Commission. It was proposed by the Universal Service Administrative Company, a nonprofit that does the fund’s accounting work for the agency.
Jake Neenan
Member discussion