Federal Budget Situation Explained - Dummy Version

The U.S. Congress sets a federal budget every year in the "trillions" of dollars.

Few people know how much money that is so we created a breakdown of

federal spending in simple terms. Let's put the 2011 federal budget into perspective:

• U.S. income: $2,170,000,000,000
• Federal budget: $3,820,000,000,000
• New debt: $ 1,650,000,000,000
• National debt: $14,271,000,000,000
• Recent budget cut: $ 38,500,000,000 (about 1 percent of the budget)

It helps to think about these numbers in terms that we can relate to.

Remove eight zeros from these numbers and pretend this is the

household budget for the fictitious Jones family.

• Total annual income for the Jones family: $21,700
• Amount of money the Jones family spent: $38,200
• Amount of new debt added to the credit card: $16,500
• Outstanding balance on the credit card: $142,710
• Amount cut from the budget: $385

Now it all makes sense.

(sent to me in an e-mail - too good not to share.)