Historic Budget Cuts… of One Percent? | All American Blogger This is a couple weeks old but worth looking at and bringing things down to our level. 2011 Federal Budget Federal Budget: $3,820,000,000,000. Income: $2,170,000,000,000. New Debt: $1,650,000,000,000. Amount Cut: $38,500,000,000 – about 1% of the total budget. Harry Reid is calling this a “historic amount“. The President said it is a “historic deal”. John Boehner simply said, “we’ve come to an agreement”. Let’s Put This In Perspective It helps me to think about these numbers in terms that I can relate to. Let’s remove nine zeroes from those numbers and pretend this is a monthly household budget for the fictitious Jones family. Total income for the Jones family this month: $2,170 Amount of money the Jones family spent this month: $3,820 Amount of new debt added to the credit card this month: $1,650 Outstanding balance on the credit card: $14,271 (This represents our national debt) So last night, the Jones’ sat down at the kitchen table and agreed to cut $38 from their monthly budget. An historic amount. At my house, we don’t spend 43% more than we make. I’m willing to bet you don’t either. Why do we let them do it in Washington D.C.?