STORIES OF IMPACT / US Deficit Hits Record $1.1 Trillion In First 5 Months Of 2025 As February Taxes Failed To Cover Even Half Of Spending

US Deficit Hits Record $1.1 Trillion In First 5 Months Of 2025 As February Taxes Failed To Cover Even Half Of Spending

In February the US government spent a staggering $603 billion, a 6% increase from the $567 billion a year ago...

... while it collected just $296 billion in tax revenues...

... which resulted in a $307 billion budget deficit for the month, which means that all tax revenues collected by the US government in February were less than the deficit! Said otherwise, the US spent more than twice what it collected in February.

Which in turn, means this February's deficit was just shy of the highest on record, and only the post-covid shock of 2021 was greater...

... and pushed the cumulative total for 2025 to $1.147 trillion, covering 38% of all US spending in fiscal 2025.

The cumulative budget deficit for the first 5 months of fiscal 2025 is the highest on record, surpassing even the fiscal shock from the depths of the post-covid response

Source: U.S Department of the Treasury | Bureau of the Fiscal Service