What will Happen if the US Government Shuts Down?



If the Democrats and Republicans cannot compromise on a budget, the US government may come to a fiscal shut down as early as Friday. Tuesday, President Obama rejected a proposed one-week extension by Republicans. “What we’re not going to do is to once again put off something that should have been done several months ago;” stated the President.

The Republican extension proposal would include $12 billion in cuts. If the two houses do not come to a budget compromise by midnight Friday, many federal offices will be “lights out.” Most Americans won’t be immediately affected by a shutdown, only “non-essential” employees would be sent home. Just what does “non-essential” mean?

800,000 workers are expected to be affected by a shut down. The IRS is preparing to stop tax refunds and filing if the budget is not passed. Institutions such as the Smithsonian will be shut down.

The Breakdown (Sources; Fox News, New York Times, Washington Post)

800,000 Federal employees will be affected.

Military members will continue to be paid through April 8th. After that date, employees will earn, but not be paid until after the government is funded again. Civilian members will experience the same consideration. A large number of civilians are expected to be furloughed.

IRS filings with paper claims won’t be processed. Audits and refunds will be stopped. Electronic claims will continue. Small business loans and Federal House Administration mortgages will stop.

The National Institutes of Health will not be accepting new patients or starting new clinical trials.


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