Federal Budget Deficit Grows at Slower Pace in May

The budget deficit through the first eight months of the government's budget year is running slightly below last year's record-setting pace.

In its monthly budget report, the Treasury Department said that the deficit in May totaled $135.9 billion, down 28.3 percent from May 2009. Much of that improvement reflected calendar differences which boosted receipts and lowered government benefit payments for the month.

Over the past eight months of the government's budget year, the deficit totals $935.6 billion. That's down 5.7 percent from the same period in 2009. While that is an improvement over last year, it still puts the country on track to record another $1 trillion-plus deficit.