Karishma Vanjani

The gap between government revenue and spending has narrowed for four straight months, helped by President Donald Trump's tariffs and major cuts in spending on education.

Data disclosed Wednesday by the Treasury Department showed the federal government spent $30 billion more in January than it brought in. That compares with the gap of $82 billion notched in January 2025.

The gaps between spending and income for December, November and October also declined relative to the year-earlier months, shrinking by 11%, 6%, and 29%. All the numbers are adjusted for calendar-related shifts in spending and income.

Lower expenses are helping. While the U.S. has brought in 12% more cash so far this fiscal year than at this time a year ago, outlays have only grown by 1%.

Write to Karishma Vanjani at karishma.vanjani@dowjones.com.

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

February 11, 2026 14:01 ET (19:01 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.