Every election cycle, Americans hear a familiar promise: tax the rich and the nation’s fiscal problems will be solved. The argument is simple and emotionally appealing. Billionaires have accumulated enormous wealth, millionaires continue to prosper, and many Americans believe the wealthy should contribute more to help fund government programs and reduce the federal deficit. But when we examine the numbers, a different picture emerges. While higher taxes on the wealthy could generate additional revenue, the reality is that America’s deficit problem is far larger than most people realize.
The United States has operated with budget deficits for many years, but the pace at which federal debt has grown over the last several years has raised concerns among economists, policymakers, and retirees alike. In simple terms, a budget deficit occurs when the federal government spends more money than it collects in taxes and other revenues. While deficits can be useful during recessions or emergencies, persistent deficits eventually add to the national debt. In 2020, federal debt held by the public was approximately $21 trillion. By the end of 2025, that figure had grown to roughly $37 trillion as a result of pandemic-related spending, entitlement program growth, rising interest costs, and ongoing budget shortfalls. According to projections from the Congressional Budget Office (CBO), debt levels are expected to continue rising through 2030 and beyond, potentially exceeding 100% of the nation’s Gross Domestic Product and reaching levels not seen since World War II.
For years Americans were told inflation was “temporary.” Then they were told inflation was “coming down.” But for most families standing in the grocery aisle, shopping for clothes, or making a car payment, the reality feels very different. The reason is simple: inflation slowing down does not mean prices are going back down. If an item jumps 14% over two years and inflation later cools to 2%, consumers are still paying the permanently higher price. The rate of increase slows, but the damage remains built into everyday living costs. That distinction has become one of the defining economic frustrations of the post-COVID era.
By Donald Albach Presidential election years act as a crucible of anticipation and uncertainty for investors, prompting a meticulous examination of historical market performance. Understanding how various asset classes, including bonds and real estate, have weathered these pivotal years provides investors with valuable insights. In this article, we delve into the historical performance of the […]
In 1960, a gallon of conventional whole milk was 31 cents, and today it’s $4.21 on average.[1] A few dollars might not seem like much, but that’s a 1,258% increase! Now that we’re seeing high inflation, the buying power of your money – including your retirement savings – could be seriously impacted. When calculating how […]
We feel that there’s no doubt that people have been feeling the effects of inflation on their wallets. Everything from food to gas to home repair products seems to be increasing every day. Federal Reserve Chairman, Jerome Powell, is taking inflation very seriously, raising interest rates to combat the explosion of inflation. And although the […]
If your weekly grocery bill is noticeably higher or you can’t believe how expensive gas is, you’re not alone. Inflation is at 40-year highs,[1] and a recent poll found that 52% of Americans said the most important issue facing the country is inflation.[2] It’s significant that so many Americans recognized inflation as a major threat […]
Did you ever hear your parents or grandparents talk about how much less everything used to cost? They weren’t exaggerating – in 1960, a gallon of conventional whole milk was 31 cents, and today it’s $3.77 on average.[1] A few dollars might not seem like much, but that’s a 1,116% increase. You’ve likely noticed higher […]
The Federal Reserve voted to raise interest rates for the first time since 2018 and has several more rate hikes planned for this year.[1] Rising interest rates can have significant effects on the economy and your finances. Between a volatile market, high inflation, and rising interest rates, know how you’ll respond. The Federal Reserve Raising […]
As we saw during the COVID-19 pandemic, what happens somewhere halfway around the world can have a major impact on us. Now, the global economy faces new threats as a result of Russia’s invasion of Ukraine, including spiking energy prices, inflation, and a volatile market. Know how you could be affected and what strategies you […]
