Sen. Rand Paul (R-Ky.) isn't sure how he'll handle the upcoming vote on raising the government's debt limit, but he said Sunday that serious changes need to be made.

"It's out of control and someone needs to stand up and say, 'the emperor has no clothes.' " Paul said on CNN's "State of the Union." "We have no money. We are borrowing to the tune of trillions of dollars, and I don't think we can sustain this."

But Paul also said he did not want the U.S. to default on its debt, a possibility if Congress does not raise the debt ceiling.

"I don't think it should be an either/or situation," Paul said. "There is another alternative, and that is that we send the message to the president through legislation that says, 'you know what, Mr. President? Don't default, but pay the interest out of the revenue.' "

The senator from Kentucky said that a compromise would be needed between Republicans and Democrats — but not one that would raise taxes, which the bipartisan Gang of Six is likely to propose.

"Conservatives will have to compromise and we'll have to cut military spending. ... Liberals will have to compromise and we'll have to cut domestic welfare," Paul said. "The compromise is where we cut, not where we raise taxes."

Asked if he will filibuster a vote on raising the debt limit, which is set to be exceeded in May, Paul said he wasn't sure.

"I think we haven't yet determined what our strategy is going to be," he said, "but I can tell you that the people of Kentucky elected me to shake things up."