US Government Budget Deficit Widens in October

The US government budget deficit increased to USD 100 billion in October 2018 from USD 63 billion in the same month of the previous year, matching market expectations. Outlays increased 18.3 percent to USD 353 billion while receipts climbed at a softer 7.4 percent to USD 253 billion.

Outlays rose 18 percent from a year earlier and totaled USD 353 billion, as social security accounted for USD 84 billion, defense for USD 69 billion, Medicare for USD 53 billion, health for USD 44 billion, net interest for USD 32 billion, income security for USD 32 billion, veterans' benefits and services for USD 17 billion, agriculture for USD 8 billion, transportation for USD 8 billion and other expenses for USD 7 billion. 

Meantime, receipts increased at a softer 7 percent to USD 253 billion, as individual income taxes accounted for USD 129 billion, social security and other payroll taxes for USD 87 billion, excise taxes for USD 15 billion, corporate income taxes for USD 8 billion, miscellaneous receipts for USD 7 billion, custom duties for USD 6 billion and estate gift taxes for USD 2 billion. 

When accounting for calendar adjustments, the government's deficit was USD 110 billion compared to USD 111 billion in the same month of the previous year.

October is the first month of the new 2018/2019 fiscal year. For the previous 2017/2018 fiscal year, the budget gap was USD 779 billion, the biggest budget deficit since 2012. 

US Government Budget Deficit Widens in October

US Treasury | Joana Taborda |
11/13/2018 7:17:52 PM