The Deficit Chart That Will Ruin Your Christmas

Episode Transcript

Speaker 1 (00:00):
Okay, first up, national debt versus deficit. Let's talk about it.
Which is which. Let's take a look here. This chart
shows the deficit over time. Now, the green line would
be the line that are spending, would be above if
we only spent the tax dollars we make. So the
government has been consistently since nineteen sixty spending more than

(00:23):
it brought in. And if you take a look here,
here's two thousand, that's nine to eleven, and then all
those wars in the Middle East and the cost of that.
Look at the amount of deficit spending. The farther you
go below the green line, the more excess you're spending.
This is the annual deficit. So the deficit every year
we spend more than we take in. Then you get

(00:44):
the Obama years, the Affordable Care Act, and believe it
or not, it turned around. The deficit trimmed a little
bit under Obama, and then came twenty sixteen and COVID,
and the whole thing is on a path to hell
because you look at the size of the deficit. We're
trying to drive it back up and close the gap.
But even right here, we're not yet back to where
we were we have to get above the line so

(01:07):
that we're not spending our grandchildren's tax dollars. Then this
is just a sheer path to hell. Here. That's the deficit.
That's every year what the government does. But what's the
cumulative effect. Think of this as every years, every month,
and you spend more on a credit card every time
you get that bill. It's bigger and bigger and bigger

(01:28):
over time until you're only paying interests. Well, that's where
we are. I've lined this up together two thousand and
five twenty twenty fifteen, so you can see this is
the total debt. So this was the monthly spending on
the credit card, and this is the total bill in
the credit card. Where we are heading for forty trillion dollars.
This has to turn around. This is what many of

(01:49):
you asked in the comment section about deficit versus debt.
What's the difference. Deficit, that's what we spend every year.
We want to see zero deficit spending, a balance bydget
amendment and more from our somewhat responsible and mostly your
responsible representatives in Washington, so that what can happen here
is we start taking this eventually down because at forty

(02:13):
trillion dollars. We're entering a time where we're only going
to be paying interest on the federal debt every year
rather than bringing it down. And that's another reason why
President Trump wants interest rates to come down, because guess what,
what's the interest we pay here? It's the interest rate
that you see, the FED rate. That's what we pay

(02:34):
on our debt. One more thing tis the season to
be planning Christmas and New Year's with family, but more
importantly to plan next year for your business. If you're
a CEO or someone that works for a CEO, or
maybe you are a founder of a business, planning is
key and it never is more important than the fourth
quarter where you sit back and look at what went right,

(02:54):
what didn't this year, and pick a methodology to plan
for next year. Those who plan have a much higher
percentage of making in and bet David Consulting is here
to help. Every year we conduct the Business Planning Workshop,
a wonderful all day workshop conducted by Patrick bet David
in December. That's the time to plan, so that's the

(03:15):
time that we're putting it together for you. There's a
link down below where you can find about all the
things you're going to learn and at the event you'll
get your hands on an incredible workbook to guide you
through the process. We hope to see you at the
Business Planning Workshop