Here’s a breakdown of the U.S. federal budget for Fiscal Year 2024, based on data from the Congressional Budget Office (CBO) and Office of Management and Budget (OMB):
Total Federal Budget (FY 2024)
- Total Spending: ~$6.4 trillion
- Total Revenue: ~$4.9 trillion
- Deficit: ~$1.5 trillion
🧾 Spending Breakdown
1. Mandatory Spending (~$4.1 trillion)
These are automatic payments required by law.
- Social Security: ~$1.4 trillion
- Medicare: ~$1.0 trillion
- Medicaid & CHIP: ~$600 billion
- Other Mandatory Programs: ~$1.1 trillion
- Includes Supplemental Security Income, federal retirement, SNAP (food stamps), student aid, etc.
2. Discretionary Spending (~$1.7 trillion)
Set annually by Congress through appropriations.
- Defense: ~$850 billion
- Non-Defense: ~$850 billion
- Includes education, transportation, public health, scientific research, etc.
3. Net Interest on the Debt (~$870 billion)
- Interest payments on the $34+ trillion national debt
- Rapidly growing due to higher interest rates and rising debt
While there might be slight variations depending on the exact definition of “foreign aid” (e.g., including military sales not directly funded by aid) and the fiscal year cited, the overwhelming consensus is that foreign aid accounts for approximately 1% of total federal spending.
One thing is pretty clear which is federal spending mostly goes directly to the benefit of Americans and the balance indirectly does so as well, including things like foreign aid and various type of research.
When you hear the budget will be cut, consider the implications for you and your family today and in the future.
QUINNSCOMMENTARY 
Personally, I feel we Americans have neglected our education and civic responsibilities, with respect to citizenship. All high school seniors used to complete required courses in Civics and Economics, educating young folks about being informed voters and making wise financial decisions. As we drift towards polarizing extremes, we are losing the ability to compromise and reach agreements that benefit the majority. It is momentarily satisfying to lash out at folks that we disagree with, demeaning them with slogans like “Owning the Libs” or “Nazis”; however, the long-term damage is more than we realize. Our Civil War should remind us of our collective folly; In 1861, the US population was around 30 million and 600,000 Americans died as a result of that war. The price of extreme tribalism is borne by the average, everyday person, not the demigods that whip up emotion for their own agendas. Think about it…
LikeLike
“… All high school seniors used to complete required courses in Civics and Economics, educating young folks about being informed voters and making wise financial decisions. …”
My high school education ended more than 55 years ago. I had none of the above. A required course in civics? My kids had AP Government, not me. Economics? My undergraduate is in Business Economics, but, I never heard anything about economics, as the “dismal science” until after my time in the military, nearly four years after graduating from high school. Informed voters? Obviously, most Americans never got any such education and if they did, they don’t effectively apply it today. Wise financial decisions? Obviously not – Americans consumer debt burden is at an all time high.
https://www.newyorkfed.org/microeconomics/hhdc
Whatever some were once taught, looks like it is long past time for remedial lessons.
And, finally, when I graduated from high school in 1970, we had bank savings and checking accounts, no 401k, or certificates of deposit (needed $10,000 to have one of those). Most American workers never had a pension, and never would. Those who had pension plans typically didn’t vest before leaving the organization. And, those who vested, oftentimes had to wait until age 65 to commence payment. Within 10 years, by 1980, we had double digit inflation and nearly double digit unemployment – plus 15+% home mortgages. Nixon was our president to start the decade followed by Ford and Carter who finished the decade. At least they controlled their spending – well until Carter blew the doors off of Social Security with the 1977-1978 changes that put spend on autopilot increases but not funding.
LikeLike
Failed to mention the $50 – $125 Trillion of unfunded liability for Social Security and Medicare – when estimated as if they were pension and retiree health care benefits from the private sector.
LikeLike
“I keep reading that people don’t know how their tax money is spent. Thus they demand lower taxes.”
No, substitute “my” tax money for “their” tax money. While many of us look at the aggregate numbers, we are in the minority. Given our $2 Trillion in annual deficits, our current tax vs spend rates would be a bargain, but for the national debt. So, because half of Americans fund 97% of general revenue from income taxes, and because the spend is $2 Trillion higher, they obviously don’t believe they are getting a fair share … when the debt burden is highly likely to fall on them in the future …
Further complicating the issue is that of the 100+ million who contribute to Social Security and Medicare, many for 20, 30, 40, 50 or more years, they have just been told that the government has spent all those assets on other people – who obviously, didn’t contribute enough.
So, a person whose assets in the Social Security and Medicare trust funds are $0 (those who won’t commence until 2034 or later), and who already owes, as a group, $36 Trillion in debt, is there any wonder that they think their taxes have been wasted by politicians buying votes?
Even those under age 50, who do not pay income taxes, those who only pay sales, and other consumption taxes, in addition to Social Security and Medicare payroll taxes, wonder what the value is for them – if only because Social Security and Medicare are remote and trust funds have been exhausted. Today’s burden doesn’t match the perceived future value.
Finally, those of us who have shouldered the majority of the financing burden all of our lives, 50+ years of income, payroll, sales, real estate and other taxes, obviously think much of the revenue has been wasted – given the status of Social Security and Medicare, as well as the national debt.
LikeLike
Al Lindquist
per usual Jack your common sense prevails–
it was reported this past week that $80 billon in Federal Transportation money (via grants) was earmarked for DEI over the past 4-years–so once you get beneath the hood of what Quinn presented Buttigieg and his minions felt DEI took precedent over, say, Newark airport’s obvious issues–or air traffic control–
so Quinn justifies the spending by telling us it just benefits ordinary folks–really? if DOT spent $80 billion I wonder what other departments were mandated to spend as we all know how important DEI is to our well being. I remember Mayor Pete talking about “racist roads”–yikes!! roads that went through black neighborhoods avoiding white neighborhoods.
didn’t I read of the Medicaid waste of money in the Journal on the editorial page–we all know Medicare Advantage plays fast and loose with our $.
Quinn asks us to consider the implications for our families if we cut spending–hell, tell that to those 64 dead citizens who died in the plane crash over DCA–then think of DEI and $80 billion wasted dollars.
LikeLiked by 1 person