The Blubber

The U.S. Department of the Treasury attributes April’s budget surplus to a surge in individual tax payments. This timing aligns with the deadline for filing prior-year taxes and submitting the first estimated tax payments for the current year, which applies to many individuals and businesses.

In April alone, individual income taxes accounted for $537 billion in revenue — by far the largest source of income for the government that month. Next came social insurance and retirement contributions, totaling $184 billion, while corporate taxes added another $94 billion.

Customs duties, bolstered by tariffs implemented during the Trump administration, brought in $15.6 billion — more than double the $6.3 billion collected in April of the previous year. Still, these tariffs remain a relatively minor piece of the overall revenue picture.

On the expenditure side, the government’s largest cost in April was Social Security, which totaled $132 billion. Interest payments on the national debt followed at $89 billion, with Medicare at $82 billion, health programs at $76 billion, and national defense at $70 billion.

Even with April’s surplus, a single strong month isn’t enough to offset the broader fiscal imbalance. From October 1 through April 30, federal revenue stood at $3.11 trillion, while spending reached $4.159 trillion — leaving a cumulative deficit of $1.049 trillion for the fiscal year to date.

Unsurprisingly, the national debt continues to grow, now standing at a massive $36.212 trillion.

The broader lesson? Achieving a surplus means bringing in more than you spend — a straightforward concept for individuals, though far more complex for a government managing a vast array of programs and responsibilities.