As Americans rush to file their taxes on April 15, the federal debt continues to rise, reaching nearly $37 trillion. However, a report from Truth in Accounting reveals that the actual federal debt burden is $158.6 trillion, equating to $974,000 for each taxpayer. This figure includes promised benefits from programs like Medicare and Social Security that are not typically considered in the national debt conversation.
Founder and CEO Sheila Weinberg explains that these numbers are based on the present value of projected benefits over the next 75 years, emphasizing that current government debt levels do not accurately reflect the nation’s future financial obligations. The report also highlights that the Treasury Department only includes a fraction of Social Security and Medicare liabilities on the federal balance sheet, as recipients do not have guaranteed benefits beyond the next month.
Experts have long warned about the federal government’s runaway spending and the danger it poses to the U.S. economy. Truth in Accounting argues that current federal accounting practices downplay the severity of the debt problem and calls for more accurate and transparent figures through full accrual budgeting and accounting.
The report stresses the need for Congress, the President, and the American people to consider the true cost and growth of liabilities related to programs like Social Security and Medicare to make better-informed financial decisions. As taxpayers continue to bear the burden of the growing federal debt, the call for more responsible budgeting and accounting practices becomes increasingly urgent.
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