Some of my friends haven’t taken the time to understand what all of this discussion is about concerning our government’s financial picture.  To clear it up, here is what it would mean if you ran your household budget like the government right now.

Your Current Salary: $110,000 a year

Despite making $110,000, you will spend $160,000 this year

Current Household Debt: $700,000 (On Aug. 2, 2011 you will max out your credit card)

Good news! (kind of) The bank just raised your credit card limit to:
$835,000

To correct your budget problem you just agreed you would cut your spending by $500,000 over the next 10 years or by $50,000 each year.

Are you happy with your household budget?

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