A budget surplus is where government brings in more money than it spends. In other words, it receives more in taxes than it spends on defence, welfare, or education.
I thought I’d remind readers that that there’s a two word definition of a government that lives within its means— BUDGET SURPLUS! It’s not a phrase you hear much these days.
For fiscal year 2020, CBO’s early look at the fiscal outlook shows the following:
- The federal budget deficit is projected to be $3.7 trillion.
- Federal debt held by the public is projected to be 101 percent of GDP by the end of the fiscal year.
A budget surplus is the opposite of a budget deficit which is where the government spends more than it brings in.