Posted on 09/20/2023 9:17:56 AM PDT by tired&retired
Total US Revenue
October 2022 through August 2023. (11 months) $3.97 trillion
$ 3.97 ÷11 = $.3609 trillion per month × 12 months = $4.33 trillion Total Revenue for the current fiscal year.
Social Security & Medicare Taxes are 37% of the Total Revenue or $1.60 trillion
Thus all Revenue from All Sources except Social Security and Medicare is $2.727 trillion
Total debt is now $33 trillion
Total Revenue ÷ Total Debt = 8.26 %
Note Social Security and Medicare are currently running a deficit, meaning they do not create a surplus to help the General Fund.
If inflation causes our interest on our National Debt to reach 8.26% it takes 100% of our Revenue to pay interest. Nothing left for any other Goverment Spending.
Current T-Bill rates are approximately 5.5%
Source:
https://fiscaldata.treasury.gov/americas-finance-guide/government-revenue/
As you can see, this house of cards is about to collapse. It's even far worse than these figures show as goverment pensions, such as military pensions are 100% unfunded. This does not include off budget debt.
The USA is far beyond bankrupt.
See corrected figures in the previous post.
Interesting perspective, except his figures are wrong.
Actually, i didn’t miss your point at all. I supported it.
You used only our income and not our borrowing. So did I.
You subtracted for SS & Med. So did I.
You saw the current rate at 5%. So did i.
How does this not support your post? You’re talking to a friend here.
I just imagined what it would be like if we tried to get our act together given the current numbers.
In your example you don’t actually have to stop borrowing at all. If you’re revenue of 433k is steady then you wouldn’t reach a point where you could service the interest. You could indeed pay down the principal and you could take more debt.
Your 433K or $4.33 Trillion total revenue included SS & Medicare of 37% of the total $4.33 trillion.
Thus you need to subtract the SS & Medicare from your figures.
Sorry for the hardh response.
My apologies.
🙏🙏🙏
Ronald Reagan and Tip O’Neal made a deal to combine the Budget to include the Social Security Taxes to distort Revenue and hide the interest as “Net Interest.”
The game has been played ever since.
No problem. Most of us are too used to getting contradicted online. It makes all of us weary at times.
And gave the politicians an excuse to raid SS.
Bingo. There are no SS trust funds as they have all been invested in US Debt and spent.
There are also no Federal Government or Military Pension Funds, other than the individual Thrift Plans.
Everything is PAY AS WE GO.
Totally unfunded.
I doubt very much that the USA will survive the upcoming crisis.
No what will happen is that The Fed will become the market, like in Japan, and buy all the debt.
Add to this the fact that the Ginnie and Fannie mortgages were lent out for 30 years fixed at 2.5 to 5% AND they borrowed the money to lend out short term.
We are upsde down on Trillions of dollars of debt, refinancing at more than our interest charged. This will make the 1980’s S&L crisis look like nothing when the bubble bursts.
Yes, by printing money and causing inflation.
I think about this what makes no sense is 10 year bonds at 4.3
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