Please reload

ARCHIVE

Please reload

BLOG TAGS

CATEGORIES

What about the Deficit?

December 5, 2016

The election is over and the candidates covered a multitude of topics, both serious and nonsensical. But one thing they didn’t discuss was our current deficit. In 2016, we spent nearly $4 trillion. The bulk of it falls into five categories.

 

First is health care, which accounts for $1.1 trillion. Of that, Medicare, Medicaid, and the Children’s Health Insurance Plan total $955 billion. The rest is the Affordable Care Act – aka Obamacare.

 

Social Security is next at $944 billion. Combine that with health care and it comprises half of the overall budget! Defending our nation costs $615 billion. About 40 percent of that is for ongoing operations and new equipment. “Entitlement” Programs that help protect seniors and the poor total $508 billion, with nearly 80 percent of it dedicated to seniors.

 

And lastly, there’s interest on our debt. The budget called for $283 billion towards debt. But we actually spent $432 billion on interest payments

 

And make no mistake – these numbers will be larger in 2017. They almost always grow. How can they not? We have $20 trillion in debt on the books and it’s growing. All in all, it’s not a pretty picture. By the 2021 inauguration we could be near $30 trillion in national debt!

 

To me, it doesn’t seem to be a sustainable model. Eventually these debt payments will come due. Plus, interest rates have to go up, don’t they?

Share on Facebook
Share on Twitter
Please reload

CONTACT US

Pennsylvania Office

P (610) 358-8942

F (610) 358-8943

Delaware Office

P (302) 449-0111

F (302) 449-1888

OUR LOCATIONS

51 Woodland Drive
Glen Mills, PA  19342


291A Carter Drive
Middletown, DE 19709

SOCIAL MEDIA

CONTACT US

Check the background of your financial professional on FINRA’s BrokerCheck.

This material has been prepared for informational and educational purposes only. It is not intended to provide, and should not be relied upon for, accounting, legal, tax or investment advice. Please consult with a professional specializing in these areas regarding the applicability of this information to your situation.

Andrew Wood, Dan Simon and Alison Slezak are Investment Advisor Representatives. Advisory services are offered through CoreCap Advisors, LLC., a Registered Investment Advisor. CoreCap Advisors, LLC and Daniel A. White & Associates, LLC are separate & unaffiliated entities. 

© 2018 Daniel A. White & Associates, LLC. All right reserved. Built by Atwood Sites.

CALL US TODAY!
PA OFFICE: (610) 358-8942
DE OFFICE: (302) 449-0111