The latest federal picture is stark, with a $1.7 trillion deficit projected for FY 2024 even as public debt held by the public climbs to $26.3 trillion by the end of FY 2023. How did the United States get from a structural deficit estimate of 3.9 percent of GDP and an Oct peak monthly deficit of $352 billion to a cash basis deficit around $2.0 trillion. We break down the budget ledger line by line, including what is driving the spending overrun versus revenue shortfalls, and how much of the damage is simply the cost of interest on a growing debt stack.
Key Takeaways
- Federal budget deficit FY 2023: $1.70 trillion
- Deficit as % of GDP FY 2023: 6.3%
- Primary deficit FY 2023 (excl interest): $1.04 trillion
- U.S. public debt held by the public reached $26.3 trillion at end of FY 2023
- Intragovernmental holdings of debt: $7.0 trillion as of Sep 2023
- Total gross federal debt: $33.2 trillion end FY 2023
- FY 2023 total outlays were $6.13 trillion
- Mandatory spending in FY 2023: $3.8 trillion (62% of total)
- Discretionary spending FY 2023: $1.7 trillion (28%)
- In fiscal year 2023, U.S. federal government total receipts were $4.44 trillion
- Federal individual income tax receipts in FY 2023 amounted to $2.18 trillion
- Payroll taxes (social insurance) collected $1.61 trillion in FY 2023
- State and local government total revenue 2022: $3.1 trillion
- State own-source revenue 2022: $1.8 trillion
- Local own-source revenue 2022: $1.9 trillion
In FY 2023 the US ran a $1.70 trillion deficit, about 6.3% of GDP, with debt held by the public rising to $26.3 trillion.
Related reading
01 · Category
Budget Deficits20 stats
01
Federal budget deficit FY 2023: $1.70 trillion
02
Deficit as % of GDP FY 2023: 6.3%
03
Primary deficit FY 2023 (excl interest): $1.04 trillion
04
Cumulative deficits FY 2021-2023: $5.0 trillion
05
CBO baseline deficit projection FY 2024: $1.6 trillion
06
FY 2023 unified budget surplus/deficit reconciliation: -$1.695T
07
Off-budget deficit FY 2023: -$152 billion (Social Security)
08
On-budget deficit FY 2023: -$1.54 trillion
09
Structural deficit estimate 2023: 3.9% GDP
10
Cyclical component of deficit 2023: ~2.4% GDP
11
FY 2023 monthly deficit peak Oct: $352 billion
12
Cash basis deficit FY 2023: $2.0 trillion approx
13
Deficit financed by borrowing: $2.1 trillion gross
14
Historical avg deficit 1970-2023: 3.7% GDP
15
Post-WWII avg surplus/deficit: 0.1% GDP surplus
16
Bipartisan Policy Center deficit tracker Sep 2023: $1.7T
17
Adjusted deficit excl COVID relief FY 2023: $1.4T
18
Interest share of deficit growth 2023: 18%
19
Revenue shortfall contrib to deficit FY23: 9%
20
Spending overrun contrib FY23: 91%
Interpretation
Budget Deficits Interpretation
The numbers paint a picture of a government that's running a rather enthusiastic tab, as even after stripping away the temporary sugar high of the pandemic and a humming economy, our core spending habits are essentially on a $1.4 trillion annual bender funded by the national credit card.
02 · Category
Federal Debt25 stats
01
U.S. public debt held by the public reached $26.3 trillion at end of FY 2023
02
Intragovernmental holdings of debt: $7.0 trillion as of Sep 2023
03
Total gross federal debt: $33.2 trillion end FY 2023
04
Debt held by public as % GDP: 98% in 2023
05
Interest cost on public debt: $875 billion projected FY 2024, but FY23 $659B
06
Foreign holders of U.S. debt: $7.6 trillion (Japan $1.1T, China $0.8T) Sep 2023
07
Federal Reserve holdings of Treasury securities: $4.9 trillion Sep 2023
08
Mutual funds hold $3.6 trillion in Treasuries Sep 2023
09
State and local govts hold $1.2 trillion Treasuries Sep 2023
10
U.S. individuals hold $1.8 trillion in Treasuries Sep 2023
11
Pension funds hold $1.0 trillion Treasuries Sep 2023
12
Banks hold $3.2 trillion Treasuries Sep 2023
13
Insurance companies hold $0.6 trillion Sep 2023
14
Debt limit was raised to $31.4 trillion in Dec 2021, breached Jan 2023
15
Average interest rate on marketable debt: 2.5% end FY 2023
16
10-year Treasury yield averaged 3.96% in 2023
17
Maturity structure: 30% debt matures within 1 year Sep 2023
18
T-bills outstanding: $5.9 trillion Sep 2023
19
T-notes outstanding: $15.5 trillion Sep 2023
20
T-bonds outstanding: $4.8 trillion Sep 2023
21
Inflation-protected securities: $0.5 trillion
22
FRNs outstanding: $0.2 trillion Sep 2023
23
SLGS outstanding: $0.2 trillion
24
Total debt growth FY 2023: +$2.0 trillion
25
Projected debt to GDP 2033: 122%
Interpretation
Federal Debt Interpretation
The United States is living on an expensive, globe-spanning credit card, where the annual interest is now a gargantuan line item, its own citizens and the world are major lenders, and nearly a third of this mountain of bills comes due every year just to be refinanced at higher rates, painting a picture of a fiscal future where our national budget is increasingly just a pass-through to our creditors.
03 · Category
Federal Expenditures27 stats
01
FY 2023 total outlays were $6.13 trillion
02
Mandatory spending in FY 2023: $3.8 trillion (62% of total)
03
Discretionary spending FY 2023: $1.7 trillion (28%)
04
Net interest on debt FY 2023: $659 billion (11%)
05
Social Security outlays FY 2023: $1.35 trillion
06
Medicare spending FY 2023: $839 billion
07
Medicaid outlays FY 2023: $616 billion federal share
08
Defense discretionary spending FY 2023: $816 billion
09
Nondefense discretionary FY 2023: $910 billion
10
Veterans benefits FY 2023: $301 billion
11
Income security programs FY 2023: $775 billion
12
Federal employee retirement benefits FY 2023: $162 billion
13
Unemployment compensation FY 2023: $32 billion
14
Housing assistance FY 2023: $62 billion
15
Food and nutrition assistance FY 2023: $182 billion (SNAP etc.)
16
Education spending FY 2023: $79 billion discretionary
17
Transportation outlays FY 2023: $109 billion
18
Community and regional development FY 2023: $54 billion
19
Federal science and research FY 2023: $180 billion
20
Environmental protection FY 2023: $10 billion
21
International affairs FY 2023: $60 billion
22
General government FY 2023: $30 billion
23
Agriculture subsidies FY 2023: $28 billion
24
Energy outlays FY 2023: $15 billion
25
Justice administration FY 2023: $38 billion
26
Total federal outlays as % of GDP FY 2023: 23.6%
27
Health spending federal share 2023: 28% of national total $1.4 trillion federal
Interpretation
Federal Expenditures Interpretation
Our national checkbook reveals a fiscal portrait where the promises of the past, personified by Social Security and Medicare, claim the lion's share of our commitments, while the nation's future investments in science and education must patiently queue behind them and a growing interest bill that is now our fastest-growing line item.
More related reading
04 · Category
Federal Revenue27 stats
01
In fiscal year 2023, U.S. federal government total receipts were $4.44 trillion
02
Federal individual income tax receipts in FY 2023 amounted to $2.18 trillion
03
Payroll taxes (social insurance) collected $1.61 trillion in FY 2023
04
Corporate income taxes generated $420 billion in FY 2023
05
Excise taxes brought in $87 billion in FY 2023
06
Estate and gift taxes totaled $34 billion in FY 2023
07
Customs duties collected $80 billion in FY 2023
08
Federal Reserve earnings remitted $116 billion to Treasury in FY 2023
09
Miscellaneous receipts were $149 billion in FY 2023
10
In FY 2022, individual income taxes were 50.4% of total federal revenue
11
Payroll taxes constituted 36.2% of FY 2023 federal receipts
12
Corporate taxes were 9.4% of total receipts in FY 2023
13
U.S. federal tax revenue as % of GDP was 17.0% in 2023
14
Effective federal tax rate for top 1% earners was 25.9% in 2020
15
Total federal receipts grew 11% from FY 2022 to FY 2023
16
Individual income tax refunds totaled $659 billion in FY 2023
17
Federal revenue from capital gains taxes was $307 billion in 2022
18
FY 2023 federal receipts from unemployment insurance taxes: $48 billion
19
Railroad retirement taxes: $6 billion in FY 2023
20
Federal highway trust fund receipts: $52 billion in FY 2023
21
Airport and airway trust fund: $15 billion in FY 2023
22
Inland waterway trust fund receipts: $0.2 billion in FY 2023
23
Federal revenue from oil and gas leases: $12 billion in FY 2023
24
Timber sales receipts: $0.1 billion in FY 2023
25
Spectrum auction proceeds: $85 billion cumulative since 1994, latest FY 2023 $0
26
Patient-Centered Outcomes Research Trust Fund: $1 billion in FY 2023
27
U.S. Treasury securities held by public as % of revenue: varies, but interest payments covered by revenue portion
Interpretation
Federal Revenue Interpretation
The federal budget is a towering edifice built predominantly on the taxed sweat of individual brows, with corporate titans and sundry other levies serving as its substantial, yet secondary, fiscal buttresses.
05 · Category
State Local Finance23 stats
01
State and local government total revenue 2022: $3.1 trillion
02
State own-source revenue 2022: $1.8 trillion
03
Local own-source revenue 2022: $1.9 trillion
04
Federal aid to states 2022: $1.0 trillion (32% of state revenue)
05
State individual income taxes 2022: $570 billion
06
State sales taxes 2022: $480 billion
07
Property taxes (mostly local) 2022: $650 billion
08
State corporate taxes 2022: $100 billion
09
Local general expenditures 2022: $2.0 trillion
10
State general expenditures 2022: $2.1 trillion
11
Elementary/secondary education spending state/local 2022: $870 billion
12
Public welfare spending state/local 2022: $650 billion
13
Highways state/local 2022: $170 billion
14
Police protection 2022: $140 billion local mostly
15
Fire protection 2022: $50 billion
16
Hospitals state/local 2022: $130 billion
17
Utilities local 2022: $220 billion
18
State pension liabilities unfunded 2022: $1.4 trillion
19
Local pension unfunded 2022: $0.6 trillion
20
State debt outstanding 2022: $1.2 trillion
21
Local debt 2022: $1.9 trillion
22
State budget surplus/deficit avg 2022: +$100 billion collective
23
Property tax as % local revenue: 30% avg 2022
Interpretation
State Local Finance Interpretation
America's state and local governments are a $3.1 trillion enterprise, a surprisingly self-funded juggling act of taxes and services, where the real trick is keeping all the revenue balls in the air while the looming pension and debt anvils wait patiently overhead.
Reference
Cite This Report
This report is designed to be cited. We maintain stable URLs and versioned verification dates. Copy the format appropriate for your publication below.
APA
Diana Reeves. (2026, February 13). Government Finance Statistics. Gitnux. https://gitnux.org/government-finance-statistics
MLA
Diana Reeves. "Government Finance Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/government-finance-statistics.
Chicago
Diana Reeves. 2026. "Government Finance Statistics." Gitnux. https://gitnux.org/government-finance-statistics.
Sources & references
59 datasets cited across this report · attribution is report-level