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U.S. budget deficit hit $316 billion in May, with annual shortfall up 14% from a year ago

The U.S. government drifted further into red ink in May, with a burgeoning debt and deficit issue getting worse, the Treasury Department reported Wednesday.

After running a short-lived surplus in April thanks to tax season receipts, the deficit totaled just more than $316 billion for the month, taking the year-to-date total to $1.36 trillion.

The annual tally was 14% higher than a year ago, though the May 2025 total was 9% less than the May 2024 shortfall.

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