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The Treasury just declared the U.S. insolvent. The media missed it
Fortune via Yahoo ^ | 3/23/2026 | Steve H. Hanke, David M. Walker

Posted on 03/23/2026 7:08:54 PM PDT by logi_cal869

The U.S. government is insolvent. That’s not hyperbole — it’s the conclusion drawn directly from the Treasury Department’s own consolidated financial statements for fiscal year 2025, released last week to near-total media silence. The numbers: $6.06 trillion in total assets against $47.78 trillion in total liabilities as of September 30, 2025.

Importantly, the $47.78 trillion in reported liabilities does not include the unfunded obligations of social insurance programs like Social Security and Medicare — those are disclosed separately in the off-balance-sheet Statement of Social Insurance (SOSI).

The government’s consolidated balance sheet position, excluding the SOSI, deteriorated by nearly $2.07 trillion between FY 2024 and FY 2025, reaching a staggering negative $41.72 trillion. Total liabilities are now nearly eight times the value of reported assets. The largest drivers were a $2 trillion increase in federal debt and interest payable (now $30.33 trillion) and a $438.8 billion increase in federal employee and veteran benefits payable (now $15.47 trillion).

The Off-Balance-Sheet Iceberg The off-balance-sheet picture is even more alarming. The 75-year unfunded social insurance obligation surged by $10.1 trillion in a single year, rising from $78.3 trillion in FY 2024 to $88.4 trillion in FY 2025 — driven primarily by a $6.9 trillion jump in projected Medicare Part B shortfalls and a $2.5 trillion increase for Social Security. The Treasury’s Statement of Long-Term Fiscal Projections shows the 75-year fiscal gap widening from 4.3% of GDP in FY 2024 to 4.7% in FY 2025.

If the $88.4 trillion in 75-year off-balance-sheet obligations were added to the $47.8 trillion in official balance sheet liabilities, total federal obligations would now exceed $136.2 trillion — roughly five times U.S. annual GDP.

(Excerpt) Read more at yahoo.com ...


TOPICS: Chit/Chat
KEYWORDS: deficit; inflation; nationaldebt
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To: jeffersondem

“The federal government only has 6 trillion dollars in assets?”

Yet the feds owe $47,000,000,000,000 on the national debt, the Congress piling on some $6 billion every day.

In reality they have no assets, The Great Collapse may very well happen in our lifetime.


21 posted on 03/23/2026 8:18:22 PM PDT by quantim (Victory is not relative, it is absolute.)
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To: EnderWiggin1970

Non Sequitur


22 posted on 03/23/2026 8:19:46 PM PDT by TexasGator (\//1.'1/11.1II11.X11111.1~I11:/)
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To: EnderWiggin1970

Option 2a:
If the Democrats are in power, tax the rich. Increase the top tax rate to 90% or more. This might stave off the collapse, but only for a few years.

Option 4:
Seize all retirement accounts, and replace the money with 30-year government bonds paying 2%. Use the seized money to pay off the debt.

As crazy as that sounds, I did read an article where it was seriously discussed.


23 posted on 03/23/2026 8:26:47 PM PDT by Leaning Right (It's morning in America. Again.)
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To: TexasGator

How so? Do you understand what insolvency means?


24 posted on 03/23/2026 8:26:49 PM PDT by EnderWiggin1970
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To: Leaning Right
Ramping up tax rates like that would teach everyone once and for all the the Laffer Curve is for real - taxes would plummet, not rise, as capital would flee and investment plummet and a depression would ensue.

Seizing retirement accounts is why I advised "prepare for the storm." It's going to get ugly for somebody, maybe everybody.

25 posted on 03/23/2026 8:29:16 PM PDT by EnderWiggin1970
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To: EnderWiggin1970
He is if he then proceeds to spend $130,000/year on himself.

Exactly. Well said.


26 posted on 03/23/2026 8:59:55 PM PDT by chud
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To: quantim; LouAvul; jeffersondem

https://freerepublic.com/focus/f-chat/3944410/posts

13 years ago, IER estimated the worth of the government’s oil and gas technically recoverable resources to the economy to be $128 trillion, about 8 times our national debt...

…IER estimated the government’s coal resources in the lower 48 states to be worth $22.5 trillion for a total worth to the economy of fossil fuels on federal lands of $150.5 trillion, over 9 times our national debt.

Most of the coal resources in Alaska are deemed to be federally owned and are estimated to be 60 percent higher than those in the entire lower 48 states but are not included in these estimates.


27 posted on 03/23/2026 10:01:39 PM PDT by DoodleBob (Gravity's waiting period is about 9.8 m/s²)
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To: logi_cal869

Yay! Does that mean we can’t afford to “print” money/debt anymore?


28 posted on 03/23/2026 10:12:36 PM PDT by If You Want It Fixed - Fix It
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To: Leaning Right

“Option 4:
Seize all retirement accounts ...”

I too think this but it won’t solve the problem.


29 posted on 03/24/2026 3:31:56 AM PDT by KingLudd
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To: Organic Panic
Every time government spends money they call it an “investment.”

Im going to be like government from now on, too. Every time I take a dump and flush it down the toilet I’ll say “Now that’s a smart investment.”

30 posted on 03/24/2026 3:39:27 AM PDT by Sirius Lee ("Never argue with a fool, onlookers may not be able to tell the difference.)
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To: DoodleBob; LouAvul; jeffersondem
So what? You can’t take a lump of coal into a bank teller and drop it on the counter for a deposit. There is no interest payment on these resources either not including the $1 trillion we are now paying on that interest every year.

The national debt isn’t $39 trillion. One economist says it’s actually $100 trillion

The real problem here is the uniparty Congress who spends our money with reckless abandon - and the RINOs just love having the debt limit put on hold. The GOPe is worthless on this and pundits just blab 'it is always like this' when they likely lose this fall for the usual reasons. Ultimately it is the voter's fault and they will have to pay, glad I'll be dead.

For fun:

If the debt was $1 per mile that distance would fly by the nearest star Proxima Centauri on it’s way to Alpha Centauri. Even at the speed of light it would take years.

31 posted on 03/24/2026 4:56:15 AM PDT by quantim (Victory is not relative, it is absolute.)
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To: quantim

“You can’t take a lump of coal into a bank teller and drop it on the counter for a deposit. There is no interest payment on these resources either not including the $1 trillion we are now paying on that interest every year.”

I agree the federal government spends too much.

I don’t follow your thinking when you imply federally-owned energy resources have no value.


32 posted on 03/24/2026 5:38:18 AM PDT by jeffersondem
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To: logi_cal869
The asset estimate is ludicrously low, especially when you count mineral, timber and oil and gas on Federal land.

Not to mention all the office buildings and trillions of dollars in weaponry.

33 posted on 03/24/2026 6:30:01 AM PDT by pierrem15 ("Massacrez-les, car le seigneur connait les siens" )
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To: pierrem15

I thought so too.

Not true ($6 trillion is accurate):

https://www.fiscal.treasury.gov/reports-statements/financial-report/where-we-are-now.html


34 posted on 03/24/2026 8:03:13 AM PDT by logi_cal869 (-cynicus the "concern troll" a/o 10/03/2018 "/!i!! &@$%&*(@ -')
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To: pierrem15

Easy to forget that the government doesn’t create anything, ya know?


35 posted on 03/24/2026 8:03:55 AM PDT by logi_cal869 (-cynicus the "concern troll" a/o 10/03/2018 "/!i!! &@$%&*(@ -')
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To: logi_cal869

But it does have legal title to a lot of stuff.


36 posted on 03/24/2026 9:26:34 AM PDT by pierrem15 ("Massacrez-les, car le seigneur connait les siens" )
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To: logi_cal869
Other significant government resources not reported on the Balance Sheet include the government’s power to tax and set monetary policy, natural resources, and stewardship assets. Stewardship assets, including heritage assets and stewardship land, benefit the nation (e.g., national monuments, national parks) and are intended to be held indefinitely.

Even apart from National Parks and Monuments, there are vast resources locked away on Federal land like the North Slope.

The quote above is like saying, "I don't wish to part with my art collection because of its intrinsic aesthetic value."

The bankruptcy judge is unlikely to agree.

37 posted on 03/24/2026 9:31:37 AM PDT by pierrem15 ("Massacrez-les, car le seigneur connait les siens" )
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To: jeffersondem

“...federally-owned energy resources...”

Of course these Fed sources of energy, minerals etc. have value, the problem is they don’t pay out TRILLIONS a year for the mess Congress throws on the debt.

Easy to blame the unaccountable dem/uniparty/RINO congressional members for that, however the voters will vote themselves a cookie every time, hence the unfathomable debt.

The first rule in quicksand is to quit digging yet Congress will spend away until this country collapses ←←← that date is the big question.


38 posted on 03/24/2026 9:59:56 AM PDT by quantim (Victory is not relative, it is absolute.)
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To: quantim; LouAvul; jeffersondem

The problem is that the debt problem is solvable, but many people would rather live in fear.

It’s a called an asset sale. Put the land and mining rights up for sale - competitive bidding. Live stream it. Put it on eBay.

Let any firm or not for profit bid on it. Or individual; if the Sierra clubs can raise $1t to buy 400 square miles of Alaska and make it off limits to ExxonMobile, so be it. That’s highest bidder wins.

Is there a lack of leadership or will to make this happen? Yes.

But it’s one thing to be treading water in the middle of the ocean with other people. It’s another thing to see land but tell everyone “it’s too hard to swim there; we’re gonna die anyway.”


39 posted on 03/24/2026 11:24:16 AM PDT by DoodleBob (Gravity's waiting period is about 9.8 m/s²)
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To: quantim

“Of course these Fed sources of energy, minerals etc. have value, the problem is they don’t pay out TRILLIONS a year for the mess Congress throws on the debt.”

The headline wasn’t about rate of return; the headline stated the “The Treasury” declared the U.S. insolvent.

I doubt that because the U.S. government has a lot of assets - more than $6 trillion I think.

My home doesn’t produce income for me but it is a big part of my net worth. My home - and my oil and gold reserves if I had such - must be taken into account to figure whether or not I am solvent.


40 posted on 03/24/2026 11:29:18 AM PDT by jeffersondem
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