In May 2025, the US budget deficit amounted to $316 billion, making it one of the largest ever recorded for a month. Expenditures continue to rise.
Deficit in May 2025
The United States Treasury has confirmed that the federal budget deficit for May 2025 hit $316 billion. This occurred following a short-lived surplus in April, achieved through a wave of tax payments.
Comparison with Previous Periods
So far in the fiscal year 2025, the total shortfall has reached $1.36 trillion, which is 14% higher than where the books stood this time last year. However, the data for May 2025 was still 9% smaller than May 2024, which does little to mitigate the overall rise in spending.
Increase in Revenues and Expenses
Despite a 15% increase in tax receipts in May and $23 billion collected from customs duties, spending also rose by 2% from the previous month and 8% year-over-year. A major part of expenses consists of interest payments on the national debt, which sits at $36.2 trillion.
Thus, despite rising tax receipts, expenditures continue to outpace revenues, creating significant pressure on the US federal budget.
