US Federal Debt Hits $40 Trillion Under Trump as Tax Cuts Add $3.4 Trillion
Updated
Updated · The Guardian · Sep 3
US Federal Debt Hits $40 Trillion Under Trump as Tax Cuts Add $3.4 Trillion
3 articles · Updated · The Guardian · Sep 3
Summary
$40 trillion in federal debt marks a record reached during Donald Trump’s presidency, with total debt up $11.6 trillion across his time in office.
Trump’s latest tax package is projected to add $3.4 trillion over a decade, while roughly half of its $4.4 trillion in tax cuts goes to the richest 5% of Americans.
Long-term interest rates have climbed to their highest in nearly 20 years, pushing mortgage costs higher as investors absorb heavier borrowing, tariffs and war-driven inflation risks.
Annual interest payments are projected to top $2 trillion by the mid-2030s, up from about $1 trillion now and adding to deficits running near $2 trillion a year.
The debt has already grown larger than US GDP and is set to exceed the post-World War II debt-to-GDP peak, sharpening the issue ahead of the midterm elections.