You forgot to mention 100% of US federal income tax goes to paying the interest on The Federal Reserve debt. All the services we use are paid for with state or other taxes. Money the federal government uses or distributes is printed out of thin air by the Federal Reserve Bank, and interest is charged on that "loan".
The national debt is tremendous! I think it is time we start reducing it, else we may end up like Greece.
Mathematically speaking... it will never happen. Unfortunately the US as most of the rest of the world's economies are headed for a collapse of unprecedented proportions.
It can happen if GDP rises sharply. But it would be painful to allocate that much to reduce debt.
The problem is the debt is ever increasing because The Federal Reserve prints the money out of thin air, and we are constantly charged interest on it. Its kind of like the USA has 7 maxed out credit cards and only a part time job at Mcdonalds. It is never going to happen. I wish it were not the case, but at this point we are beyond reprieve under the current Federal Reserve System anyway.
I believe the printing of money simply dilutes the value, thus increasing inflationary effects. Additionally, the country actually owes money to other entities. Think bonds, which there are holders (people and other nations) that we must pay interest to.
The Federal Reserve, and later FDIC, were established to stabilize the diverse U.S. banking system that was erratic (1907 was a bad year), reverse mistakes of the Great Depression, and keep national finances stable during World Wars. A lot of lessons were learned and the system has been modified several times, to become a largely independent body (to insulate it from politics and short term desires). Overall though, the U.S. currency is seen as the global pillar for international trade and finance. So, the system has done many thing correct. It is also heavily criticized for its power and relative autonomy. We should look at both sides when evaluating the several interacting federal financial instruments. There are pro/con's to that story and as always, there is room for improvement.
One way to look at the value of something is to understand the consequences if it ceased to exist. We would likely be in the greatest financial depression in history if the Fed did not act aggressively several years ago.
The Federal Reserve Bank was put into place to put the USA back into a position of permanent economic servitude and debt. It is not possible the debt can be repaid. In order for something to be a valid contractual agreement by law, something of value must be exchanged. The Federal Reserve bank (a private bank, not a government entity) prints money from nothing and then charges interest on it, therefore the debt is odious on its face. The Federal Reserve Bank created this problem, so I am not sure giving them credit for not totally collapsing a fraudulent system they created is appropriate.
This is the model for all fiat currencies, including crypto-currency. The value is in the belief of its users, not a tangible item (like commodity or representative currencies). The Fed created huge opportunities for a burgeoning America and contributed to the very economic powerhouse it is today. Look at any economic leading country in the world. They will have something similar, for the exact same reasons we have it.
There are problems and risks, as well as huge opportunities for improvement over time, but it would be unfair not to also recognize the benefits and contributions it has made to the historical growth and strength of the U.S.