US total government debt surpassed $40 trillion for the first time, according to updated US Treasury Department data released on Wednesday. The threshold was crossed nearly two years earlier than a May 2023 Congressional Budget Office forecast that projected the debt would reach that level in 2028. The report, published on August 20, 2026, said US debt had exceeded $39 trillion in March, adding another $1 trillion in less than five months.

Debt has nearly doubled from about $19.95 trillion when Donald Trump first became president in January 2017. It rose by about $7.8 trillion during his first term, largely amid coronavirus pandemic spending, and by about $3.8 trillion since his return in January 2025. Under Joe Biden from 2021 to 2025, debt increased by about $8.4 trillion.

About 80% of the debt, or roughly $32 trillion, is held by the public, including domestic and foreign investors. Japan, the United Kingdom and China were listed as major foreign creditors in 2025. Analysts cited crisis spending, persistent gaps between revenue and expenditure, and rising pension and healthcare costs as drivers, warning of risks to inflation, interest rates, investment and growth.