Current Federal Debt and Deficit
Every month, the U.S. Treasury releases data on the federal budget, including the current deficit or surplus. The following reflects budget data for April, the seventh month of fiscal year (FY) 2026.
Current Federal Deficit
$215B
Federal Budget Surplus for April FY26
$258B
Federal Budget Surplus for April FY25
The federal government reported a surplus of $215 billion in April FY26, down $43 billion from the $258 billion surplus recorded in April FY25. The federal government typically generates surpluses in the month of April due to the inflow of tax payments.
Spending in April FY26 was $623 billion, $31 billion higher than in April last year. Categories that saw the largest increases were the Department of Veterans Affairs ($8 billion more than April FY25), Social Security ($7 billion), and net interest costs ($7 billion). Receipts were down by $13 billion in April FY26 compared to the previous year: individual income tax receipts decreased by $22 billion, and corporate income taxes declined by $11 billion. Offsetting those and other revenue losses were $12 billion in increased payroll tax collections and $6 billion in increased customs duty collections.
Cumulative Federal Deficit
$1T
Cumulative FY26 Deficit
$1T
Cumulative FY25 Deficit (through April FY25)
Seven months through FY26, the deficit was $95 billion below last year’s level. Total outlays were $4.3 trillion, $114 billion higher than the same period in the previous year. That increase was driven mainly by three categories: Social Security spending was up by $50 billion, stemming from cost-of-living adjustments and some retroactive payments; Medicare outlays increased by $39 billion; and net interest rose by $37 billion. Partially offsetting those and other increases was a $20 billion decrease in spending related to the Environmental Protection Agency (EPA).
Receipts are up by $210 billion in FY26 compared to the previous year: individual income tax receipts have increased by $80 billion, and customs duties collections rose by $129 billion, largely due to the increase in tariffs, though the auspice under which they were collected for much of the past year has recently been ruled unconstitutional. Partially offsetting those and other revenue gains is a $57 billion decrease in corporate income tax collections.
National Debt
$31.1T
Debt Held by the Public at the end of April FY26
$28.7T
Debt Held by the Public at the end of April FY25
The FY26 deficit through the first seven months is the third largest in the last six years. The debt held by the public is approaching its post-World War II high as a percentage of gross domestic product and is rising rapidly, driven by aging demographics, rising healthcare costs, inadequate revenues, and skyrocketing interest costs. The good news is that there are many solutions available to improve our fiscal outlook and put our nation on a stronger path.