WHAT WILL IT COST ME
How it works:
The US Government spends about $2 trillion dollars a year. You can find out your share of various programs by entering your total federal taxes. The form will calculate which part of your taxes will go to the program or to the amount you've specified. If you pay more taxes, you'll pay a greater share. If you pay less, a
lesser share. If the program is an annual budget, you'll pay this every year.
The government will often spend more money than it takes in via taxes, resulting in a
deficit for the year, and an increase (by that amount) of the total public debt. The current
public debt is about
$4 to 6.8 Trillion dollars (depending on whether you include money borrowed
from Social Security funds). The government pays interest on the
public debt at a rate of about 8 percent/year.
Currently, our interest payments come to about $332B a year. Each year
there is a deficit, the annual interest payment will go up by about 8% of
the deficit. This year's
deficit of $525B will result in additional interest payments each year of
about $42B. The debt is rarely paid down, so interest payments are likely
to continue ad infinitum. Use the above calculator to find out what the
deficit and corresponding interest will cost you each month... forever.