Government spending
Running the US Government cost this country
around $2 Trillions dollars a year. Most of that
money comes from taxes and Congress
determines where that money comes from and in
what way that money is spent. All revenue
spending bills originate in the House and Ways
Committee.
Entitlements
What is an entitlement?
An entitlement is considered to be an
uncontrollable expenditure in legislature!
Entitlement
• An entitlement is a guarantee of access to
benefits based on established rights or by
legislation.
• Major Examples: Social Security, Medicare,
Medicaid. Welfare, Unemployment, Pensions
• Other Examples are: Veterans' Administration
programs, federal employee and military
retirement plans, unemployment compensation,
food stamps, and agricultural price support
programs.
• Account for 53% of the US budget.
Uncontrollables
• Spending that Congress and the President have no power to
change directly. Uncontrollables and Entitlements are often
the same thing. The were created through prior legislation
and legally they are required to obligate to them until
legislation is changed. Uncontrollables account for 70% of all
government spending!
• The Prime examples are:
A. Interest payments on the national debt.
B. Spending decisions made in the current year.
C. Approximately half of the government spending in the United
States.
D. Welfare benefits but not unemployment benefits.
**Uncontrollable Expenditures has a controversial definition as a
Congress-person and a citizen may view it differently.