Thursday, April 14, 2011
2011 Federal Budget, In Easy To Understand Numbers
2011 Federal BudgetFederal Budget: $3,820,000,000,000.Income: $2,170,000,000,000.New Debt: $1,650,000,000,000. Amount Cut: $ 38,500,000,000 – about 1% of the total budget. Harry Reid is calling this a “historic amount“. The President said it is a “historic deal”. John Boehner simply said, “we’ve come to an agreement”. Let’s Put This In Perspective: It helps me to think about these numbers in terms that I can relate to. Let’s remove nine zeroes from those numbers and pretend this is a monthly household budget for the fictitious Jones family. Amount of money the Jones family spent this month: $3,820 Total income for the Jones family this month: $2,170 Amount of new debt added to the credit card this month: $1,650 Outstanding balance on the credit card: $14,271 (This represents our national debt). So last night, the Jones’ sat down at the kitchen table and agreed to cut $38 from their monthly budget. A historic amount! At my house, we don’t spend 43% more than we make. I’m willing to bet you don’t either. Why do we let them do it in Washington D.C.?"