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Related to surplus: Surplus funds
Federal deficit (surplus)
When federal government expenditures are exceeded by (are less than) federal government revenue.
The amount by which the revenue of a government from taxes, tariffs and other sources exceeds its expenditures. A surplus means that the budget is likely healthy, at least in the short-term, and in any case the government does not have to resort to borrowing. Some economists believe that a budget surplus or deficit has only minor importance, while others believe that it is very important to maintain a surplus if at all possible. Most U.S. states are required to maintain either a surplus or a balanced budget, while the federal government is not. See also: Federal deficit.
1. Equity in excess of par value. Surplus includes additional paid-in capital and retained earnings.
2. See retained earnings.