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Treasury: federal deficit hit $1.992 trillion in fiscal 2026, up about 12%

Published 5:00 PM CT, Friday, October 16, 2026
In the 5 PM CT update

The federal government ran a $1.992 trillion deficit in fiscal year 2026, which ended Sept. 30, the Treasury Department's final Monthly Treasury Statement showed Friday, about 12% more than the $1.775 trillion gap in fiscal 2025, CNBC reported. CNBC said it was the third-largest annual deficit in U.S. history behind 2020 and 2021 and the 25th straight year of deficits, with Social Security costing nearly $1.7 trillion, Medicare almost $1.1 trillion and net interest topping $1 trillion. The Washington Examiner reported interest on the debt ran $1.1 trillion, more than the $965 billion spent on national defense, and noted the national debt recently passed $40 trillion.

• Federal deficit
• National debt
• Treasury Department
• Fiscal year 2026
• Government spending
• Interest on the debt
• Social Security
• Medicare
• Scott Bessent
• Congress
• Monthly Treasury Statement