The U.S. federal debt is rapidly approaching $40 trillion, with Bank of America's chief equity strategist Michael Hartnett projecting it will swell to $50 trillion in less than three years. This equates to over $359,000 in federal debt for every American taxpayer. The soaring debt is pushing bond yields higher, which in turn increases borrowing costs for consumers on mortgages, car loans, student loans, and credit card debt. For fiscal year 2026, the government is projected to run a deficit of roughly $1.9 trillion, spending $1.33 for every $1 collected. Interest costs on the debt already exceed $1 trillion and are expected to grow, potentially leading to higher taxes and continued market volatility, with the bond market down approximately 2.5% this year.