TAXPAYER CALCULATOR: US is piling up debt — but at what cost to you?
Published April 15, 2015 / FoxNews.com / By Meghan Welsh
March 26, 2015: A packet of former U.S. President Abraham Lincoln five-dollar bill currency is inspected at the Bureau of Engraving and Printing in Washington. (Reuters)
The federal government must make regular interest payments on the money it has borrowed to finance past deficits – that is, on the national debt held by the public.
The Congressional Budget Office has estimated that the federal government’s net interest payments on that debt will total $229 billion in the 2015 fiscal year. Working Americans end up having to foot that very large bill to varying degrees based on each individual taxpayer’s adjusted gross income.
And the CBO expects that this challenge will accelerate over the next decade. Current interest rates are low by historical standards and higher interest rates means higher interest payments. It’s projected that net interest costs will more than triple over the next decade, reaching $808 billion in 2025.
These numbers pose a real threat. The CBO has issued warnings about the serious negative consequences that such high and rising debt and interest payments on the debt could have on both the economy and the federal budget.
Note – the U.S. government has no plan to address this snowballing debt burden. And bear in mind that the CBO warning does not even factor in the even greater problem regarding America’s debt on a “net present value” (NPV) basis.
America needs some new answers. Fast,
The Leviticus 25 Plan provides them: One economic plan in America delivers $1.094 trillion annual surpluses for each of the next 5 years: The Leviticus 25 Plan