The Congressional Budget Office estimates the U.S. government will be at risk of defaulting on its debt sometime between October and November 2015 unless lawmakers strike a new debt-ceiling agreement.
CBO said Congress passed the Temporary Debt Limit Extension Act last year to extend the U.S.’ borrowing authority through March 15.
After that date, the total debt will come in at $18.1 trillion and the Treasury Department is expected to use “extraordinary measures” to help the government meet financial obligations without further legislation, according to CBO.
The Treasury could postpone investments in the Thrift Savings Plan, Postal Service Retiree Health Benefits, Exchange Stabilization and Civil Service Retirement and Disability funds to manage the borrowing limit.
CBO has projected the annual budget deficit will reach approximately $500 billion in the current fiscal year.