The cost of carrying America’s national debt has climbed to a new record and now eats up about a fifth of everything the federal government collects.
Interest on Treasury debt securities surged to $1.052 trillion in fiscal 2026, which ended on September 30th, says the US Treasury Department.
The number represents an 8% increase from $970 billion in fiscal 2025.
Meanwhile, total receipts grew just 3.2% over the same stretch to about $5.40 trillion, meaning interest costs equaled roughly 20% of federal revenue.
Social Security, the largest line item in the budget, cost $1.67 trillion, up about $86 billion, or 5.5%, from the year before. Second is Medicare expense at $1.073 trillion.
The interest bill also topped the $965 billion the government spent on national defense.
The government ran a $1.99 trillion deficit for the year on record outlays of about $7.40 trillion.
Warns the Peter G. Peterson Foundation,
“The nation’s rising debt, and relatively high interest rates, will continue to put upward pressure on federal borrowing costs — interest payments are projected to be the fastest growing portion of the federal budget in upcoming years. The Congressional Budget Office (CBO) projects that if current laws generally remain the same, net interest payments will total $16.2 trillion over the next decade, rising to an annual cost of $2.1 trillion in 2036.”
Follow us on X, Facebook and Telegram
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any assets including cryptocurrencies, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
Be the first to comment