Our Financial State of the Union report found that the financial condition of the U.S. government worsened by more than $10 trillion in 2021. The majority of this debt can be attributed to $58.1 trillion in Medicare promises and $45.4 trillion in Social Security. These are promises that have been made to our citizens, but the government has not set any money aside to fund them.
Not surprisingly, the COVID-19 pandemic had a negative impact on the fiscal health of the federal government last year. Just like all the state and local governments, the federal government took on extra costs and had to borrow more money to deal with the pandemic.