Welcome to the Stay Wealthy podcast. I'm your host, Taylor Schulte, and today I'm answering one of the most

common questions that I'm getting from retirement savers right now, which is how will the U.S.

government ever be able to pay off its debt? If you've ever asked this question and you want a

clear answer in plain English, today's episode

is for you. From the links and resources mentioned, head over to you staywealthy.com forward slash

129. So yesterday, October 4th, President Biden stated that the government could breach its

$28.4 trillion debt limit in a, quote, historic default

unless Republicans join the Democrats in voting to raise the limit in the next two weeks.

Now, before we talk about how ridiculous these debt ceiling debates are, let's first talk about

the elephant in the room, the $28 trillion

of debt sitting on our nation's balance sheet. $28 trillion is a giant number, but I'm going to share

why it's maybe not as big of a problem as most of the talking heads and media outlets and politicians

make it out to be.

And to help do that, let's look at this from an angle that most of us can better relate to.

And let's use my friend Charlie Credit Card and Betty business owner as examples here.

Charlie Credit Card, he's terrible with money.

He lives paycheck to paycheck. He has no money in savings,

and he's racked up $100,000 in credit card debt with a 15% interest rate. He can't stop spending

money and the debt is increasing every single day. On the other hand, Betty business owner,

she also has $100,000 in debt, but it's a

business loan from her local bank at a 4.5% interest rate. And she used that loan to help start

her tech company, which now provides jobs to 10 people and generates a million dollars in revenue

...