2 + 2 = 4.
10 - 9 = 1.
The amazing thing about adding and subtracting is that no matter how big the numbers might be, one can always find out how much it takes on the plus (+) side to equal or be greater than the minus (-) side.
This math trick isn't some new radical invention. It has been around for a long time. And has proven useful to people all over the world.
Even governments use it to be sure they are not spending more than their annual budgets call for.
It's really very simple.
If something costs $10.00 and you only have $9.00, then you need 1 more dollar before you can buy it.
You can earn the dollar at your job, withdraw it from your savings account, borrow it from a bank or a friend, or sell something you own.
The important fact everyone needs to know is that without that needed 1 extra dollar from somewhere, the $10.00 purchase cannot happen.
This is how average citizens balance their budgets:
Add up all your known expenses.
This includes things you must purchase every month, like rent, utilities, insurance, car payment, hired help, groceries, and loan or credit card payments.
The total of these known expenses is how much money you must earn every month to maintain your current standard of living.
Now add up your income.
This includes what you earn at your job and any other regular income you receive.
Now you're ready to see if your budget is balanced or if you are living beyond your means.
If your regular monthly expenses are MORE than what you earn each month, you are in the red.
This means you are spending more than you earn and are accumulating debt. Most likely credit card debt. Or borrowed money.
If your regular expenses are LESS than what you earn each month, you are in the black.
This means you have extra money that you can either save or spend or use to pay off debt..
Now let's move on to something more exciting like the National Debt.
Right now, it is $11.9+ Trillion Dollars. The current amount - courtesy of www.usdebtclock.org is $11, 913,019, 888, 901.
Your share as a U.S. citizen is $38,716.00.
Tax payers shares are $109,932.00. (Why? Not all citizens - like children - pay taxes.)
The National Debt has continued to increase an average of $3.93 billion per day since September 28, 2007.
The nation accumulates debt just like anyone - by spending beyond its means.
In 2009, the federal government has already overspent its annual budget by $1.2+ Trillion Dollars.
If this concerns you, contact your U. S. Congressman and U. S. Senator.
They are the people who are responsible for voting on how federal money is spent.
To learn more about National Debt, check out Defeat The Debt.com
Here is their explanation about Who We Owe:
The national debt currently stands at about $11.8 trillion, with much of that money owed to foreign nations and foreign investors. Our interest payments on that debt are enormous, estimated at $170 billion this year alone. Over the course of the next decade our payments are expected to quadruple, which will mean even more tax dollars flowing overseas. The largest foreign holders of US debt include countries with whom we have complex or even antagonistic relationships: China, Russia, Iran, Saudi Arabia, Venezuela, and Libya, among others. Continued deficit spending leaves Americans no choice but to pay a large portion of our taxes to foreign governments.
Just in: Federal deficit hits all-time high $1.42 trillion
WASHINGTON – The federal budget deficit has surged to an all-time high of $1.42 trillion as the recession caused tax revenues to plunge while the government was spending massive amounts to stabilize the financial system and jump-start the economy.
The imbalance for the budget year ended Sept. 30, more than tripled last year's record. The Obama administration projects deficits will total $9.1 trillion over the next decade unless corrective action is taken.
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