{"id":84676,"date":"2026-10-23T08:34:10","date_gmt":"2026-10-23T12:34:10","guid":{"rendered":"https:\/\/stateofthenation.info\/?p=84676"},"modified":"2026-10-23T08:34:44","modified_gmt":"2026-10-23T12:34:44","slug":"unsustainable-the-u-s-government-pays-roughly-100-billion-to-113-billion-per-month-in-gross-interest-on-the-national-debt","status":"publish","type":"post","link":"https:\/\/stateofthenation.info\/?p=84676","title":{"rendered":"<h2><b><span style=\"color: #ff6600;\">UNSUSTAINABLE!!!<\/span> <span style=\"color: #333300;\">&#8220;The U.S. government pays roughly $100 billion to $113 billion per month in gross interest on the national debt&#8221;<\/span><\/b><\/h2>"},"content":{"rendered":"<p><!--more--><\/p>\n<h1 style=\"text-align: center;\">Interest Costs on the National Debt<\/h1>\n<p>Peter G. Peterson Foundation<\/p>\n<div class=\"fl-module fl-module-info-box fl-node-9dgf67stbkjw dropcap\" data-node=\"9dgf67stbkjw\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"uabb-module-content uabb-infobox infobox-left \">\n<div class=\"uabb-infobox-left-right-wrap\">\n<div class=\"uabb-infobox-content\">\n<div class=\"uabb-infobox-text-wrap\">\n<div class=\"uabb-infobox-text uabb-text-editor\">\n<p>Every month, the U.S. Department of the Treasury releases <a href=\"https:\/\/www.fiscal.treasury.gov\/reports-statements\/mts\/current.html\" target=\"_blank\" rel=\"noopener\">data about the federal budget<\/a>, including the interest costs that the federal government pays on the national debt. The following contains budget data for fiscal year (FY) 2026. During that year, annual interest costs surpassed $1 trillion for the first time.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<section id=\"current-federal-deficit\" class=\"fl-module fl-module-rich-text fl-node-njyhpk76uwt4\" data-node=\"njyhpk76uwt4\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-rich-text\">\n<p>&nbsp;<\/p>\n<h2>Interest Payments in FY26<\/h2>\n<p>The rapid accumulation of federal debt, in addition to higher interest rates on that debt (relative to longer-term rates that existed just a few years ago), has pushed up the federal government\u2019s cost of borrowing. In FY26, interest payments on the national debt were 8.4 percent higher than FY25.<\/p>\n<\/div>\n<\/div>\n<\/section>\n<div class=\"fl-module fl-module-html fl-node-dhxfgiokab30\" data-node=\"dhxfgiokab30\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-html\"><iframe id=\"datawrapper-chart-0YQX1\" title=\"Cumulative interest costs are already higher than in recent years\" src=\"https:\/\/datawrapper.dwcdn.net\/0YQX1\/29\/\" height=\"478\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Line chart\" data-external=\"1\" data-mce-fragment=\"1\"><\/iframe><\/div>\n<\/div>\n<\/div>\n<div class=\"fl-col-group fl-node-sblvf3reomza fl-col-group-nested fl-col-group-equal-height fl-col-group-align-top\" data-node=\"sblvf3reomza\">\n<div class=\"fl-col fl-node-utjnz3hgofs9 fl-col-bg-color fl-col-small\" data-node=\"utjnz3hgofs9\">\n<div class=\"fl-col-content fl-node-content\">\n<div class=\"fl-module fl-module-info-box fl-node-0ctj98ha4p1q statistics-block two-col\" data-node=\"0ctj98ha4p1q\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"uabb-module-content uabb-infobox infobox-left \">\n<div class=\"uabb-infobox-left-right-wrap\">\n<div class=\"uabb-infobox-content\">\n<div class=\"uabb-infobox-title-wrap\">\n<p class=\"uabb-infobox-title-prefix\">$1.05T <em>+8%<\/em><\/p>\n<h3 class=\"uabb-infobox-title\">FY26 Interest Payments<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"fl-col fl-node-97bzrpdw8ueo fl-col-bg-color fl-col-small\" data-node=\"97bzrpdw8ueo\">\n<div class=\"fl-col-content fl-node-content\">\n<div class=\"fl-module fl-module-info-box fl-node-pg60svlnrcjf statistics-block two-col\" data-node=\"pg60svlnrcjf\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"uabb-module-content uabb-infobox infobox-left \">\n<div class=\"uabb-infobox-left-right-wrap\">\n<div class=\"uabb-infobox-content\">\n<div class=\"uabb-infobox-title-wrap\">\n<p class=\"uabb-infobox-title-prefix\">$970B<\/p>\n<h3 class=\"uabb-infobox-title\">FY25 Interest Payments<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"fl-module fl-module-rich-text fl-node-iayh1209pb64\" data-node=\"iayh1209pb64\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-rich-text\">\n<p>The rising debt leads to growing interest costs, which threaten to crowd out opportunities for investment in other important priorities in both the public and private sectors. Interest costs in FY26 were the third-largest spending category for the federal government \u2014 outpacing outlays for all budget categories except for Social Security and Medicare (net of offsetting receipts).<\/p>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"fl-module fl-module-html fl-node-cjw35g8xk7u4\" data-node=\"cjw35g8xk7u4\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-html\"><iframe id=\"datawrapper-chart-gSham\" title=\"Net interest was the second-largest spending category through August for the federal government\" src=\"https:\/\/datawrapper.dwcdn.net\/gSham\/32\/\" height=\"432\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Bar Chart\" data-external=\"1\" data-mce-fragment=\"1\"><\/iframe><\/div>\n<\/div>\n<\/div>\n<section id=\"next-10-years\" class=\"fl-module fl-module-rich-text fl-node-yasqd49vczl6\" data-node=\"yasqd49vczl6\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-rich-text\">\n<p>&nbsp;<\/p>\n<h2>Interest Payments Over the Next 10 Years<\/h2>\n<p>The nation\u2019s rising debt, and relatively high interest rates, will continue to put upward pressure on federal borrowing costs \u2014 interest payments are projected to be the fastest growing portion of the federal budget in upcoming years. The Congressional Budget Office (CBO) projects that if current laws generally remain the same, net interest payments will total $16.2 trillion over the next decade, rising to an annual cost of $2.1 trillion in 2036.<\/p>\n<\/div>\n<\/div>\n<\/section>\n<div class=\"fl-module fl-module-html fl-node-wj1exgrl3fqm\" data-node=\"wj1exgrl3fqm\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-html\"><iframe id=\"datawrapper-chart-VfvCA\" title=\"Net interest costs are projected to rise sharply\" src=\"https:\/\/datawrapper.dwcdn.net\/VfvCA\/9\/\" height=\"476\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Area Chart\" data-external=\"1\" data-mce-fragment=\"1\"><\/iframe><\/div>\n<\/div>\n<\/div>\n<div class=\"fl-module fl-module-rich-text fl-node-ko2dpct3wr1s\" data-node=\"ko2dpct3wr1s\">\n<div class=\"fl-module-content fl-node-content\">\n<div class=\"fl-rich-text\">\n<p>In fact, by most measurements, <a href=\"https:\/\/www.pgpf.org\/article\/any-way-you-look-at-it-interest-costs-on-the-national-debt-will-soon-be-at-an-all-time-high\/\">interest payments on the national debt are already reaching the highest levels recorded in the post-World War II period<\/a>:<\/p>\n<ul>\n<li>In dollar terms, interest costs reached an all-time high of $476 billion in 2022 and have approximately doubled since then. In 2025, the United States paid $970 billion in interest costs.<\/li>\n<li>Relative to the size of the economy, interest costs would reach 3.2 percent of gross domestic product (GDP) in 2026 \u2014 eclipsing the previous high set in 1991. Interest costs would climb to 4.6 percent of GDP by 2036, under CBO\u2019s projections.<\/li>\n<li>As a share of federal revenues, federal interest payments rose to 18.5 percent by the end of 2025, exceeding the previous high set in 1991. They would reach 25.8 percent by 2036.<\/li>\n<li>As a percentage of total spending, interest costs would reach 15.7 percent by 2029, surpassing the previous high of 15.4 percent set in 1996.<\/li>\n<\/ul>\n<p>Even excluding interest costs, the federal government spends more money than it collects, <a href=\"https:\/\/www.pgpf.org\/our-national-debt\/\">creating a structural problem in the budget<\/a>, known as a <a href=\"https:\/\/www.pgpf.org\/article\/what-is-the-primary-deficit\/\">primary budget deficit<\/a>. The increase in debt generated by that structural gap is exacerbated by ever-increasing interest payments, which <a href=\"https:\/\/www.pgpf.org\/our-national-debt\/#economic-impact\">endanger other priorities and could risk a fiscal crisis<\/a>. To avoid such outcomes, the Administration and Congress should implement <a href=\"https:\/\/solutions2024.pgpf.org\/\">options to put the budget on a sustainable path<\/a>.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<p>____<br \/>\n<a href=\"https:\/\/www.pgpf.org\/programs-and-projects\/fiscal-policy\/monthly-interest-tracker-national-debt\/\">https:\/\/www.pgpf.org\/programs-and-projects\/fiscal-policy\/monthly-interest-tracker-national-debt\/<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-84676","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts\/84676","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=84676"}],"version-history":[{"count":2,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts\/84676\/revisions"}],"predecessor-version":[{"id":84678,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts\/84676\/revisions\/84678"}],"wp:attachment":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=84676"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=84676"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=84676"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}