What's a Budget Surplus?

A government budget is a financial statement presenting the government's proposed revenues and spending for a financial year.

What is a budget surplus example?

A primary budget surplus happens when interest payments on outstanding debt are not included in the government's total expenditure. For example, a government with a budget deficit of $24 billion but paying $30 billion as interest on outstanding debt can be said to have a primary budget surplus of $6 billion.

What does budget surplus mean?

A budget surplus is when income exceeds expenditures. The term "budget surplus" is used in reference to a government's financial state.