What is the US government shutdown?

The United States is headed toward another government shutdown after the lower house of Congress failed to pass a spending bill to keep federal agencies open.

The funding is set to expire at midnight Friday unless Republicans and Democrats can agree on a way forward.

Here's a breakdown of how we got here and what it means for Americans — and for Donald Trump.

Many federal government agencies depend on annual funding approved by Congress.

Each year, these agencies submit their requests, which Congress must pass, and the president must sign budget legislation for the following fiscal year.

If an agreement is not reached, all non-essential discretionary functions of the United States Government will cease.

In September, the two parties agreed on a draft law to maintain government funding until December 20.

This week, three days before lawmakers head for recess, House Speaker Mike Johnson, Republican, released a bill to extend the funding through March.

It was agreed upon with the Democratic leadership, but it included some measures such as increasing salaries for legislators, which made some Republicans dissatisfied.

Tech billionaire Elon Musk, a Trump ally, announced his opposition to it, and then the president-elect indicated that he wanted his party to eliminate it, which is what happened.

The second, watered-down bill reached the House floor Thursday evening but failed to get enough votes to pass.

If an agreement is not reached by midnight, the US will see its first lockdown since early 2019.

Essential workers continue to work as usual, some without pay, while government employees deemed non-essential are temporarily placed on unpaid leave.

Border protection, medical care within hospitals, law enforcement and air traffic control will continue to operate.

But services such as the food assistance program, federally funded preschool, student loan origination, food inspections, and national parks will be scaled back or closed.

While Social Security and Medicare checks are being sent, benefits verification and card issuance stops.

There may also be travel delays if the standoff continues.

“An extended closure could mean longer wait times at airports,” said Carter Langston, a spokesman for the Transportation Security Administration.

The Tesla chief has been tasked with identifying spending cuts by co-leading the proposed Department of Government Efficiency (DOGE).

It's not an official government department, but he pledged $2 trillion.

On Wednesday, he posted dozens of posts on his X platform, expressing his disgust at Mike Johnson's bill.

He exaggerated some false statements about what was contained in the bill, describing it as criminal and outrageous.

After Musk rallied opposition, Trump and J.D. Vance, the future vice president, delivered the final blow to Johnson's deal that evening.

They said in a joint statement that they want streamlined legislation without the Democratic-backed provisions that Johnson included.

They also called on Congress to raise or eliminate the debt ceiling, which limits how much the government can borrow to pay its bills.

Johnson promised a solution on Friday, so there will be plenty of debate on Capitol Hill as time goes on.

But to get the support needed in the House to pass, it will need Democratic votes.

Democrats say they will only support the original bill that Trump and Musk opposed.

If an agreement is not reached, US federal agencies will close at midnight.

Very common. President Ronald Reagan oversaw eight shutdowns during his term — though all were relatively short.

There have been three instances when Donald Trump has been president, including the longest term in history of 36 days, which ended in January 2019.

This happened due to disagreements over financing a wall on the Mexican border.

Congressional Budget Office (CBO) It is estimated to have reduced economic output About $11 billion, of which $3 billion was never recovered.

Closing budgets is almost unique to American policy.

Under the US system, the various branches of government must reach agreement on spending plans before they become law.

In most countries, budget votes become votes of confidence in the government itself. But because the United States has equal and often divided branches of government, this is not the case.

Also known as a debt limit, this law limits the total amount of money a government can borrow to pay its bills.

This includes paying salaries to federal employees, the military, Social Security and Medicare, as well as interest on the national debt and tax refunds.

From time to time, the US Congress votes to raise or suspend the ceiling so that it can borrow more.

Trump adding this condition to the deal was an unexpected requirement that made it more difficult for right-wing Republicans who often object to increased government spending to support the bill.

The debt ceiling was scheduled to increase in the coming months regardless of the promised efficiency drive.

But by demanding it now, some analysts believe Trump is signaling that the cost of the proposed tax cuts and tougher border controls will test the limits. It is preferable for the struggle over the increase to occur before he takes office.

Democrats typically support raising the debt ceiling without restrictions, but they are in no mood to help Republicans now.

The danger facing Trump is that the mini-insurgency is moving away from the mantle of invincibility that it has worn since the election.

This raises questions about how smoothly his party will be able to fulfill its election promises that require legislation.