US Budget Deficit Widens in March

The US government recorded a $164.1 billion budget deficit in March 2026, compared with a $160.5 billion deficit a year earlier, and missing forecasts of $156.7 billion. Outlays increased to $549 billion from $528.2 billion, with most spending directed to social security at $139 billion, healthcare at $90 billion, and national defense at $69 billion. Receipts rose to $384.9 billion from $367.6 billion, driven by individual income taxes at $189 billion, social insurance and retirement at $152 billion, and customs duties at $22 billion.

The United States government recorded a $307.5 billion budget deficit in February 2026, compared with a $296.3 billion deficit in the same month a year earlier. Receipts fell 43.9% from the prior month to $313.3 billion, driven by individual income taxes ($133.4 billion), social insurance and retirement receipts ($144.4 billion), and customs duties ($26.6 billion). The monthly total reflected a normalization of tax collections following seasonal peaks and specific adjustments in corporate and miscellaneous receipts. Meanwhile, outlays fell 5.1% from the prior month to $620.8 billion, with Social Security ($138.4 billion), Health and Medicare ($155.6 billion), and national defense ($71.1 billion) the largest spending categories, while spending totals were influenced by the acceleration of certain benefit payments into February because March 1 fell on a non-business day.

The US government recorded a $94.6 billion budget deficit in January 2026, compared with a $128.6 billion deficit in the same month a year earlier. Receipts rose 9.1% year on year to $559.9 billion, driven by individual income taxes ($317.30 billion), social insurance and retirement receipts ($169.80 billion), and customs duties ($27.74 billion). The increase reflected seasonal and collection timing effects that supported tax and customs receipts in the month. Meanwhile, outlays rose 2.0% year on year to $654.6 billion, with Social Security ($143.55 billion), Health and Medicare ($217.09 billion), and national defense ($70.75 billion) the largest spending categories, while the timing of several payments, including Medicare and veterans’ benefits, influenced the monthly outturn.