US Budget Deficit Shrinks in August, Year-to-Date Flat at $1.97 Trillion
Smaller outlays and lower interest payments helped cut the monthly gap 52%, while the year-to-date deficit stayed near $1.97 trillion, Treasury said.
- On Friday, the Treasury reported the U.S. federal budget deficit for August shrank to $167 billion, while the fiscal-year-to-date budget gap totaled $1.97 trillion.
- Interest payments on the federal debt totaled $1 trillion over the 11 months through August, exceeding defense spending while Spending on Social Security and Medicare steadily boosted federal outlays.
- Unadjusted outlays in August fell 24% to $527 billion, while receipts rose 5% to $360 billion, aided by a $12.8 billion influx of customs duties after months of declines.
- Treasury Secretary Scott Bessent pledged to unveil a fiscal consolidation plan in coming weeks, following the Supreme Court's ruling that previous tariff hikes were illegal.
- The Congressional Budget Office warned U.S. debt as a ratio of gross domestic product could reach 106% by 2030, as total public debt outstanding surpassed a record $40 trillion last month.
22 Articles
22 Articles
U.S. monthly deficit exceeds $166.8 billion in August; shortfall for fiscal 2026 tops $1.9 trillion with month to go | Northwest Arkansas Democrat-Gazette
WASHINGTON -- The United States had a $166.8 billion monthly deficit in August, adding to an annual deficit that has exceeded the previous fiscal year's total. , 4501109, 4501108
The Economic Times
US budget deficit shrinks in August, year-to-date flat at $1.97 trillion
The US federal budget deficit decreased significantly in August. This reduction occurred due to lower spending and some payment shifts. However, the fiscal year-to-date budget gap remained largely unchanged. August receipts saw an increase, including customs revenue after refunds. The overall deficit for eleven months exceeds the projected full-year 2025 deficit.
Federal budget deficit reaches $2T in first 11 months of fiscal year 2026, CBO reports
Federal budget deficit hit $2 trillion after 11 months of fiscal year 2026, the CBO reported. Social Security, Medicare, Medicaid and national debt interest drove spending higher.
U.S. 2026 budget gap hits $1.97 trillion with month left to go
The federal budget deficit hit $1.97 trillion for the first 11 months of the fiscal year, one of the highest such figures on record and leaving the debt burden heading within a few years to levels unseen in U.S. history.
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