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February 13, 2024Exploring Finance

Federal Budget: Interest Payments Reach $750B

Federal Budget

The Federal Government publishes the spending and revenue numbers every month. The charts and tables below give an in-depth review of the Federal Budget, showing where the money is coming from, where it is going, and the surplus or deficit.

This month saw a $22B deficit.

Figure: 1 Monthly Federal Budget

$22B may not seem like a lot, but January is historically a month with a surplus. That said, four of the last five years have seen January realize a deficit.

Figure: 2 Historical Deficit/Surplus for January

January is the only month other than April that has historically averaged a surplus.

Figure: 3 Current vs Historical

The two Sankey diagrams below show the distribution of spending and revenue for the month and the trailing twelve months.

Figure: 4 Monthly Federal Budget Sankey

Figure: 5 TTM Federal Budget Sankey

The next two charts show the monthly revenue and costs broken down by expense type.

Figure: 6 Monthly Receipts

Figure: 7 Monthly Outlays

Interest Expense has ballooned higher with the Fed’s push to raise rates.

Figure: 8 TTM Interest Expense

The table below goes deeper into the numbers of each category.

Figure: 9 US Budget Detail

Historical Perspective

Zooming out and looking over the history of the budget back to 1980 shows a complete picture. The change since Covid has been quite dramatic.

Figure: 10 Trailing 12 Months (TTM)

The next two charts zoom in on the recent periods to show the change when compared to pre-Covid. These charts show spending and revenue on a trailing 12-month basis period over period.

Figure: 11 Annual Federal Receipts

Figure: 12 Annual Federal Expenses

Data Source: Monthly Treasury Statement

Data Updated: Monthly on eighth business day

Last Updated: Period ending Jan 2024

US Debt interactive charts and graphs can always be found on the Exploring Finance dashboard: https://exploringfinance.shinyapps.io/USDebt/

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