12-Month Rolling Deficit Rises to $2.2 Trillion in February 2025

The federal budget deficit totaled $2.2 trillion between March 2024 and February 2025 based on estimates from the Congressional Budget Office (CBO). This 12-month rolling deficit is an $11 billion increase from our previous analysis. 

CBO estimates the government borrowed $308 billion in February 2025, which is $11 billion higher than the monthly deficit logged in February 2024. Revenue was $26 billion larger in February 2025 than February 2024 driven mainly by higher collections of income and payroll taxes. Spending was $37 billion larger in February 2025 than 2024 and would have been $41 billion larger if not for timing shifts.

Total nominal spending over the past year was $7.1 trillion and total revenue was $5.0 trillion, compared to $6.4 trillion and $4.6 trillion in the same period one year ago. As a share of Gross Domestic Product (GDP), we estimate the rolling deficit is 7.3 percent, compared to 6.5 percent of GDP in February 2024.