America’s national debt hit $40 trillion on Tuesday, August 18, as extraordinary levels of government spending pushed our nation’s financial bill higher than any other time in history.
The total outstanding public debt is $40,047,425,768,420.22. That’s 14 figures worth of debt, plus 22 cents. Our national debt is larger than the size of the entire U.S. economy, which is just over $32 trillion.
“Our current fiscal trajectory is plainly unsustainable, and that’s the best-case scenario,” said Margaret Spellings, president of the Bipartisan Policy Center. “Even in the rosiest scenarios, we’re speeding toward a cliff and refusing to turn the wheel.”
Each taxpayer’s share of Uncle Sam’s bill is $360,794. For married couples, it’s $721,588 to account for both spouses. The federal government’s profligate spending drives the bill higher daily.
The government groups spending into three categories: Mandatory spending (permanent programs like Social Security and Medicare), discretionary spending (defense spending and other programs that are renewed annually), and net interest on the national debt. Most federal spending goes to mandatory programs.
Last year, the government spent $7.01 trillion, with the largest portions going to entitlement programs. This year, our largest federal budget items by spending category include:
$1.38 trillion on Social Security.
$955 billion on Medicare.
$931 billion in interest on the national debt.
$845 billion on health programs.
$804 billion in national defense.
$608 billion in income security.
$361 billion on veterans benefits and services.
The Peter G. Peterson Foundation, a nonprofit group advocating for sustainable fiscal policies, has compiled a list of charts displaying America’s fiscal state.
In fiscal year 2025, the government collected $5.23 trillion in revenue, leaving a $1.8 trillion deficit.
The federal government’s largest sources of revenue include:
$2.37 trillion in individual income taxes.
$1.52 trillion in payroll taxes.
$293 billion in corporate income taxes.
Even with the tax cuts enacted as a part of the One Big Beautiful Bill last year, federal revenue has increased $139 billion in fiscal year 2026 compared to last year (October 2024 – July 2025). This year, the government will again borrow around $2 trillion.
Our national debt limit stands at $41.1 trillion. Congress has acted 78 separate times to permanently raise or temporarily extend the debt limit – 49 times under Republican presidents and 29 times under Democratic presidents.
If you’re concerned about the national debt, the government allows taxpayers to contribute towards paying it off. Generous citizens have contributed $363,768 so far this year.
However, there are probably better uses for your money. Even if Elon Musk, the wealthiest man in the world, contributed his nearly $1 trillion net worth, it would barely make a dent in paying off the national debt.
As Christians, how should we think about the fiscal state of our country today?
Our massive federal debt is a frightening reflection of our spiritual state and national priorities. It represents our collective decision to ask future generations to pay for present decisions and desires.
Scripture has much to say about money and our use of it. It also says a lot about debt, none of which is positive. Consider:
“The wicked borrows but does not pay back, but the righteous is generous and gives” (Psalm 37:21, ESV).
“The rich rules over the poor, and the borrower is the slave of the lender” (Proverbs 22:7, ESV).
“A good man leaves an inheritance to his children’s children, but the sinner’s wealth is laid up for the righteous” (Proverbs 13:22, ESV).
“Owe no one anything, except to love each other, for the one who loves another has fulfilled the law” (Romans 13:8, ESV).
While it may not be a sin to borrow money, Scripture never says it’s wise to do so. The Bible’s many warnings regarding debt – and failure to pay it back – should give us substantial pause when pondering America’s $40 trillion financial mess.
Between this winter and sometime in 2027, the federal government will once again hit the debt limit, likely sparking a political battle over whether to raise it, by how much, and whether spending could be cut as part of a deal.
Whatever the solution, our nation’s leaders would be wise to incorporate Scripture’s warnings about debt into their future tax and spending plans.
Coming generations are already inheriting a country $40 trillion in the hole. Unless something is done soon, our nation’s financial condition will only get worse.
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Related articles and resources:
Being Wise With Your Money During a Crisis
Healthy Budgeting Habits for Your Marriage
Kevin Warsh: Fed Has ‘No Tolerance’ for High Inflation
Inflation Rises to 3.8% Making Life More Unaffordable for Families
House Passes ‘One Big Beautiful Bill Act,’ Finally Defunding Planned Parenthood
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