February 25, 2025 The Federal Budget by Lynne Weikart Both Houses of Congress wrestle with passing a Budget Resolution - the financial goals for their budget, and their goals are deep cuts in Medicaid, which is health care for the poor. Congress refuses to discuss revenue; its focus is spending cuts. There are two sides to a budget - the revenue side and the spending side. Before cutting spending, why not examine what can be done on the revenue side? Congress avoids discussing revenue because it wishes to extend the Trump tax cuts that expire at the end of 2025. In FY2024, we collected $4.92 trillion in revenues. Republicans will not look at the revenues. Let’s look at the revenues. The expenditures were $6.752 trillion for a deficit of $1.83 trillion in FY2024. According to the Congressional Budget Office (CBO), permanently extending the expiring Trump tax cuts would cost $4 trillion over the next 10 years or $400 billion per year. That $400 trillion is m...
What most people don't know. Our federal government employees' salaries take up only a tiny proportion of the federal budget. Our spending on employees is relatively small. In FY2022, the federal government only spent $271 billion to pay 2.3 million civilian workers. In FY2024, our federal government spent $6.9 trillion. Do you really think cutting this tiny portion of federal salaries will make a dent in our federal budget? Our national budget is really just an insurance company with an accompanying military expenditure. The majority of spending is mandatory in Social Security, Medicare, and Medicaid, not employees' salaries but payments to citizens. It's like insurance. This attention to our minuscule federal workforce is misplaced and disastrous for our citizenry because it takes away from the real problem, which is the extraordinary shift in wealth in this country from the working and middle class to the rich. The country's focus should be on the revenue s...