Byline: 

Federal Income Receipts

$3.66 Trillion

Social Security, Medicare Taxes

29%

$1.070 Trillion

Personal Income Taxes

42%

$1.549 Trillion

Corporate Income Taxes

9%

$ 332 Billion

Excise, Estate, Gift Taxes

8%

$ 295 Billion

Borrowing to Cover Deficit

12%

$438 Billion

Federal Outlays

$3.66 Trillion

Social Security, Medicare, Retirement

42%

$1.54 Trillion

Law Enforcement and general Government

2%

$74 Billion

Net Interest on Government Debt

6%

$221 Billion

Physical, human, and community development

7%

$250 Billion

National Defense

21%

$774 Billion

Social Programs

23%

$848 Billion

Before the first Monday in February the President is required by law to submit to Congress a budget proposal for the fiscal year that begins the following October.

There are several key elements from this budget overview

1 )In Fiscal 2015, we had a deficit of $438 Billion—12%. In my judgment politicians are too cavalier about the deficit. Currently, net interest on the debt is 6%. However, as the deficit grows and our interest rates rise, this number will grow

2) Social Security, Medicare, and Medicaid, represents 42% of our outlays. As a percentage of our outlays, this allocation is too high. Sadly, again, unless we take proactive steps, the percentage to this area will grow.

3) National Defense -21%. Given all of our challenges, national defense will take up a bigger percentage of our expenditures going forward.

4) Physical, human, and community development—7%. I would like to see this sector grown.