It isn't a default, the USG is still paying its bills. What it is doing however at the moment is cutting hours (and hence wages) that it is not currently author

It isn't a default, the USG is still paying its bills. What it is doing however at the moment is cutting hours (and hence wages) that it is not currently authorised to give. In other words, Congress normally gives the government the authority to spend money; in this case the authority is not being given.