Skip to content

This Time Around It’s Not So Cut and Dry, Who Will Get Paid

July 15, 2011

This time around the people that depend on government payments won’t know if they will be the few that Obama and Treasury Secretary Timothy Geithner decide will get paid.

If the Government doesn’t work the budget out by raising the Debt Ceiling, many people may find themselves also defaulting because of no income. I am talking about the people that receive some form of Social Security and a type of government covered medical benefits. Then there is the people that work for the government. Like those that work in the Pentagon, National Parks, and the such.

It came down to the deadline in May when at the last moment Congress came up with a plan to extend it until August 2, 2011. But up until that point millions of people were worried about their pay. The government employees were told they would have to show up for work and work with out pay until the budget was resolved. However, as we know they didn’t have to go through that. Below are the figures for Military and Governmrnt employees.

The figures used come from the Government website and YahooNews

$2.9 billion

Active-duty military pay due from Aug. 3 to Aug. 31

$2.9 billion

Veterans Affairs program payments due from Aug. 3 to Aug. 31

$14.2 billion

Federal salaries and benefits due from Aug. 3 to Aug. 31

$12 billion

U.S. tax income expected to be received on Aug. 3

That scenario is about to be brought to light once again, if they don’t work this out before August 2nd. Below are some of the things that will take place if this comes to be.

$306.7 billion

Amount the U.S. is obligated to pay from Aug. 3 to Aug. 31.

$172.4 billion

Amount of revenue the U.S will bring in from Aug. 3 to Aug. 31

You can do the math and see that there is no way in hell that the obligations of the Federal Government can be met. So now they have to act like Roseanne and Dan Connor trying to make their budget work. You only pay finial notices.

Here are some of the programs they will have to delay payments to.

$29 billion
Intrest payments on Treasury securities due to investors on Aug. 15

$49.2 billion

Social Security benefits to be paid from Aug. 3 to Aug. 31

$50 billion

$32 billion

U.S. spending planned for Aug. 3 (including $23 billion in Social Security checks)

Medicare and Medicaid benefits to be paid from Aug. 3 to Aug. 31

You have to remember that these figures are just for the Month of August. If the Federal Government defaults, the credit rating will suffer and they will pay higher Interest Rates because of that.

Now you will have the Right saying this is because Obama, and the Left will be saying that the Right is being stubborn. You can bet, the people who are depending on their check don’t care who’s fault it is. They want Washington too stop playing politics with their lives and fix it.

ABA

Ps. I don’t have a crystal ball, however if they allow the government let’s this country shutdown under this kind of financial distress, we are looking at the greatest chance for a (Greatest Depression).

Advertisements
No comments yet

Let us know what you think.

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: