May sees surge in US budget deficit due to revenue drop and Medicare spending increase.

The US budget deficit for May 2021 surged to $240 billion from $66 billion a year earlier due to a decline in revenue and a surge in Medicare spending, according to the Treasury Department. Revenues for May totaled $307 billion, down 21% from $389 billion a year earlier, while outlays rose 20% to $548 billion, with a tripling of spending on the government-run Medicare health program for seniors driving much of the increase. The cumulative deficit for the first eight months of the fiscal year was $1.165 trillion, up from $426 billion a year earlier.