The United States has been in debt for a long time and it has steadily raising over the years. But now analyst say that the government could really run out of money around October 15 as the earliest. The Biden organization has no real plan for what they would do if they reached their debt limit, congress could pass a bill allowing them to go over but who knows when or if they are going to pass it.
If they do run out of money they government would have to stop paying things like social security and military pay. The democrats and the republicans in congress are still at a stalemate on the decision and if they don’t make a decision soon we could see a devastating economic shock. And the pandemic is not helping and is making it harder to make clear dates for when taxes are needed and when they can spend.
We hit the debt limit in late July but the treasury department has been using extraordinary measures to delay investments and stave off a default. After October 10th many operations will shut down in the government even if the bill is passed, but if it is not then everything the government runs might have to shut down until they can find a way to solve the problem.