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U.S. budget deficit for 2026 fiscal year near $2 trillion
CNBC • • general
Key Points:
- The U.S. ended the 2026 fiscal year with a nearly $2 trillion budget deficit ($1.992 trillion), marking a 12% increase from the previous year's $1.775 trillion and the third-highest annual deficit in history.
- This marks the 25th consecutive fiscal year the U.S. has run a deficit, with the last surplus recorded in 2001, highlighting ongoing financial challenges and a rapidly growing national debt now exceeding $40 trillion.
- Major government spending included Social Security at nearly $1.7 trillion and Medicare at almost $1.1 trillion, while net interest payments on the debt surpassed $1 trillion for the first time.
- Individual income tax revenues rose to over $2.8 trillion, helping reduce the deficit, but corporate tax receipts fell by about $70 billion due to recent tax cuts.
- Despite record-high customs duties revenue, refunds following a Supreme Court ruling reduced overall customs income, and the monthly deficit for September was $27 billion, contrasting with a $198 billion surplus the prior year.
