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What is the Deficit? The federal government deficit is the current gap between the money brought in as revenue and the money going out as spending. The federal government debt is the cumulative amount of money borrowed. You probably have to incur debt to cover a deficit, but a deficit can be temporary while a debt may stick around for a while.
Facebook Twitter. The national debt - aka the federal debt - is the total of all the past years' budget deficits, minus what the government has paid off with budget surpluses. Deficits are common: in the last half century, the federal government has run a deficit in 45 out of 50 years.