WASHINGTON, D.C. — The U.S. government added $1.2 trillion to the national debt over the past six months, with $163 billion borrowed in March alone, according to new data from the Congressional Budget Office.
At the current pace, federal deficits are projected to exceed $2 trillion by the end of the fiscal year in October. The latest figures show spending continues to outpace revenue, even as tax collections increased due to higher tariffs and payroll taxes.
Federal spending rose by $84 billion during the period, driven largely by entitlement programs such as Social Security, Medicare, and Medicaid. Meanwhile, corporate tax revenue declined significantly following changes included in the “One Big Beautiful Bill,” which expanded deductions for certain business investments.
Budget analysts warn that long-term fiscal pressures remain unresolved. Maya MacGuineas of the Committee for a Responsible Federal Budget said policymakers continue to delay addressing rising deficits and called for reducing them to more sustainable levels.
Despite some spending reductions included in recent legislation, analysts note those savings offset only a portion of the bill’s overall cost. Lawmakers also eliminated automatic spending cuts tied to deficit increases by resetting federal PAYGO rules.
As Congress prepares to negotiate new spending bills, fiscal watchdog groups are urging significant budget cuts to slow debt growth.
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