If the Fed Budget was managed like household's what programs would be cut?

[kyzr]

Secrets of the Federal Budget Revealed
Trying to simplify the US Budget process, 2019 revenue is about $3.4T, plus the borrowing of about $985b to cover the $4.4T 2018 Budget. That is at least $900b too high. So looking at the Budget items from the article:

Mandatory spending $2.74T
Social Security $1,050b
Medicare $625b
Medicaid $412b
Welfare $462b
Interest on the Debt $363b

Discretionary $1.3T
Defense $893b

Busting 5 Myths About Government Discretionary Spending
Department Budget Emergency Total Discretionary
Dept of Defense $597.1 $88.9 $686.0
HHS $69.5 $0.5 $70.0
Education $59.9 $59.9
VA $83.1 $83.1
Homeland Security $46.0 $6.7 $52.7
Energy Dept $29.2 $29.2
NNSA $15.1 $15.1
HUD $29.2 $29.2
State Dept $28.3 $12.0 $40.3
NASA $19. $19.9
All Other Agencies$129.8 $3.3 $133.1
TOTAL $1,303b

If you stare at the numbers for a few minutes it becomes apparent that to cut spending by more than $900b it needs to come from Entitlements.
SS can't be cut, those benefits were promised. However, the retirement age can be raised and a few tweaks can be made to keep it solvent.
Medicare can't be cut, those benefits were promised, however some savings can be realized to keep it solvent.
Medicaid can be cut, those benefits were not earned.
Welfare can be cut, those benefits were not earned.

If the deficit is covered 1/2 by cuts and 1/2 by revenue
Revenue needs to increase by $500b. (all tax rates need to increase 10%)
Defense needs to be cut by at least 10%, say $100b to $793b
Cuts of $400b need to come out of welfare ($250b) + ($150b) medicaid, with some savings from SS & Medicare if possible.

Who supports getting back to a Balanced Budget? It is not that difficult

 

[Cellblock2429]

Secrets of the Federal Budget Revealed
Trying to simplify the US Budget process, 2019 revenue is about $3.4T, plus the borrowing of about $985b to cover the $4.4T 2018 Budget. That is at least $900b too high. So looking at the Budget items from the article:

Mandatory spending $2.74T
Social Security $1,050b
Medicare $625b
Medicaid $412b
Welfare $462b
Interest on the Debt $363b

Discretionary $1.3T
Defense $893b

Busting 5 Myths About Government Discretionary Spending
Department Budget Emergency Total Discretionary
Dept of Defense $597.1 $88.9 $686.0
HHS $69.5 $0.5 $70.0
Education $59.9 $59.9
VA $83.1 $83.1
Homeland Security $46.0 $6.7 $52.7
Energy Dept $29.2 $29.2
NNSA $15.1 $15.1
HUD $29.2 $29.2
State Dept $28.3 $12.0 $40.3
NASA $19. $19.9
All Other Agencies$129.8 $3.3 $133.1
TOTAL $1,303b

If you stare at the numbers for a few minutes it becomes apparent that to cut spending by more than $900b it needs to come from Entitlements.
SS can't be cut, those benefits were promised. However, the retirement age can be raised and a few tweaks can be made to keep it solvent.
Medicare can't be cut, those benefits were promised, however some savings can be realized to keep it solvent.
Medicaid can be cut, those benefits were not earned.
Welfare can be cut, those benefits were not earned.

If the deficit is covered 1/2 by cuts and 1/2 by revenue
Revenue needs to increase by $500b. (all tax rates need to increase 10%)
Defense needs to be cut by at least 10%, say $100b to $793b
Cuts of $400b need to come out of welfare ($250b) + ($150b) medicaid, with some savings from SS & Medicare if possible.

Who supports getting back to a Balanced Budget? It is not that difficult

/----/ Too drastic on both sides. 5% cuts across the board and elimination of baseline budgeting. Stop penalizing departments for not spending every dime they get.

 

[kyzr]

Secrets of the Federal Budget Revealed
Trying to simplify the US Budget process, 2019 revenue is about $3.4T, plus the borrowing of about $985b to cover the $4.4T 2018 Budget. That is at least $900b too high. So looking at the Budget items from the article:

Mandatory spending $2.74T
Social Security $1,050b
Medicare $625b
Medicaid $412b
Welfare $462b
Interest on the Debt $363b

Discretionary $1.3T
Defense $893b

Busting 5 Myths About Government Discretionary Spending
Department Budget Emergency Total Discretionary
Dept of Defense $597.1 $88.9 $686.0
HHS $69.5 $0.5 $70.0
Education $59.9 $59.9
VA $83.1 $83.1
Homeland Security $46.0 $6.7 $52.7
Energy Dept $29.2 $29.2
NNSA $15.1 $15.1
HUD $29.2 $29.2
State Dept $28.3 $12.0 $40.3
NASA $19. $19.9
All Other Agencies$129.8 $3.3 $133.1
TOTAL $1,303b

If you stare at the numbers for a few minutes it becomes apparent that to cut spending by more than $900b it needs to come from Entitlements.
SS can't be cut, those benefits were promised. However, the retirement age can be raised and a few tweaks can be made to keep it solvent.
Medicare can't be cut, those benefits were promised, however some savings can be realized to keep it solvent.
Medicaid can be cut, those benefits were not earned.
Welfare can be cut, those benefits were not earned.

If the deficit is covered 1/2 by cuts and 1/2 by revenue
Revenue needs to increase by $500b. (all tax rates need to increase 10%)
Defense needs to be cut by at least 10%, say $100b to $793b
Cuts of $400b need to come out of welfare ($250b) + ($150b) medicaid, with some savings from SS & Medicare if possible.

Who supports getting back to a Balanced Budget? It is not that difficult

/----/ Too drastic on both sides. 5% cuts across the board and elimination of baseline budgeting. Stop penalizing departments for not spending every dime they get.

5% of discretionary's $1.3T only nets $65b you're $935b short. Epic Fail.

5% cut of everything $4.4T only nets $220b, short again by $780b. Epic Fail

 

[Cellblock2429]

Secrets of the Federal Budget Revealed
Trying to simplify the US Budget process, 2019 revenue is about $3.4T, plus the borrowing of about $985b to cover the $4.4T 2018 Budget. That is at least $900b too high. So looking at the Budget items from the article:

Mandatory spending $2.74T
Social Security $1,050b
Medicare $625b
Medicaid $412b
Welfare $462b
Interest on the Debt $363b

Discretionary $1.3T
Defense $893b

Busting 5 Myths About Government Discretionary Spending
Department Budget Emergency Total Discretionary
Dept of Defense $597.1 $88.9 $686.0
HHS $69.5 $0.5 $70.0
Education $59.9 $59.9
VA $83.1 $83.1
Homeland Security $46.0 $6.7 $52.7
Energy Dept $29.2 $29.2
NNSA $15.1 $15.1
HUD $29.2 $29.2
State Dept $28.3 $12.0 $40.3
NASA $19. $19.9
All Other Agencies$129.8 $3.3 $133.1
TOTAL $1,303b

If you stare at the numbers for a few minutes it becomes apparent that to cut spending by more than $900b it needs to come from Entitlements.
SS can't be cut, those benefits were promised. However, the retirement age can be raised and a few tweaks can be made to keep it solvent.
Medicare can't be cut, those benefits were promised, however some savings can be realized to keep it solvent.
Medicaid can be cut, those benefits were not earned.
Welfare can be cut, those benefits were not earned.

If the deficit is covered 1/2 by cuts and 1/2 by revenue
Revenue needs to increase by $500b. (all tax rates need to increase 10%)
Defense needs to be cut by at least 10%, say $100b to $793b
Cuts of $400b need to come out of welfare ($250b) + ($150b) medicaid, with some savings from SS & Medicare if possible.

Who supports getting back to a Balanced Budget? It is not that difficult

/----/ Too drastic on both sides. 5% cuts across the board and elimination of baseline budgeting. Stop penalizing departments for not spending every dime they get.

5% of discretionary's $1.3T only nets $65b you're $935b short. Epic Fail.

5% cut of everything $4.4T only nets $220b, short again by $780b. Epic Fail

/----/ It would take at least 5 years for it to work. I didn't know you meant it had to work in one year. You didn't comment on eliminating baseline budgeting.

 

[caddo kid]

If the Fed Budget was managed like household's what programs would be cut?

Military

 

[Cellblock2429]

If the Fed Budget was managed like household's what programs would be cut?

Military

/----/ Yeah the first thing households cut is home security, alarms, smoke and motion detectors.

 

[kyzr]

The OP uses the actual 2019 Budget. It doesn't balance by ~$900b. Baseline budgeting gets increased by emergency spending for wars, etc. Keep it simple. Revenue needs to be greater than spending. I proposed 50/50 between cuts/revenue. The dems will whine about the cuts, and the GOP will squeal about the 10% tax increase, which is really 3% less due to the recent tax cut, so its really a 7% tax increase above the 2016 rates.

 

[Cellblock2429]

The OP uses the actual 2019 Budget. It doesn't balance by ~$900b. Baseline budgeting gets increased by emergency spending for wars, etc. Keep it simple. Revenue needs to be greater than spending. I proposed 50/50 between cuts/revenue. The dems will whine about the cuts, and the GOP will squeal about the 10% tax increase, which is really 3% less due to the recent tax cut, so its really a 7% tax increase above the 2016 rates.

/-----/ "and the GOP will squeal about the 10% tax increase," Your topic reads: and 50% tax increases? Now you say it's only a 10% increase. Please make up your mind what you're talking about.

 

[Bootney Lee Farnsworth]

Don't vote for commies. This is what they give us.

 

[kyzr]

The OP uses the actual 2019 Budget. It doesn't balance by ~$900b. Baseline budgeting gets increased by emergency spending for wars, etc. Keep it simple. Revenue needs to be greater than spending. I proposed 50/50 between cuts/revenue. The dems will whine about the cuts, and the GOP will squeal about the 10% tax increase, which is really 3% less due to the recent tax cut, so its really a 7% tax increase above the 2016 rates.

/-----/ "and the GOP will squeal about the 10% tax increase," Your topic reads: and 50% tax increases? Now you say it's only a 10% increase. Please make up your mind what you're talking about.

$500b from cuts and $500b from tax increases 50% each to cover the Budget deficit, based on a 7% tax increase over 2016 tax rates.

 

[eagle1462010]

Your Pension Is a Lie: There's $210 Trillion Of Liabilities Our Government Can't Fulfill

https://www.fiscal.treasury.gov/fsr..._campaign=JM-305&utm_medium=ED&utm_source=for

Page 62 of the report......70 on your pdf file......

 

[eagle1462010]

Policy Report: Running Out of Other People’s Money

That gap is the “unfunded liability” or “implicit debt” for those programs.

Implicit debt, of course, represents the “softest” form of debt, in that there is no legal requirement to pay all the promised benefits. But “soft” does not mean debt that can be completely dismissed. Those benefit payments are called for under current law, and it would take congressional action to change them. Unless and until Congress does so, those obligations exist. That is why, for private companies, future promises to pay benefits are generally categorized as debt according to Generally Accepted Accounting Principles (GAAP) and other accounting authorities. If the government was required to report its debt in the same way public companies do, those promises would show up as debt.

Social Security’s future unfunded obligations now run to more than $24.9 trillion. Medicare’s unfunded liabilities are more difficult to nail down, in part because of the uncertainty brought about by the new health care reform law. In 2009, Medicare’s trustees estimated that the program’s unfunded liabilities were $88.9 trillion. Since then, health care inflation has been running at a slower rate. Economists debate the reason for this decline and whether it will continue, but it has resulted in a reduction of Medicare’s unfunded liabilities to just (!) $47.6 trillion. Thus, the real combined federal debt (debt held by public + intragovernmental debt + implicit debt) actually totals at least $90.5 trillion. That’s real money—even in Washington— roughly $282,000 for every man, woman, and child in America. Students graduating from college today worry about their college debt…. That’s nothing compared with what they owe as a share of the country’s debt.

Moreover, these projections assume that interest rates on government debt remain somewhere near current levels, which is about 2 percent. The CBO points out that, even at this low rate, interest on the debt is becoming an ever larger portion of federal spending. This year, the federal government will pay $229 billion in interest charges. By 2024, with just a modest expected increase in interest rates, that will rise to more than $808 billion. Not long afterward, we will be paying a trillion dollars every year just for interest on the debt. By 2035, in fact, interest on the debt will be tied with Medicare as the second-largest line item in the federal budget, trailing only Social Security.

And interest rates may not stay this low. It is estimated that every 1 percent increase in interest rates adds as much as $1 trillion in additional interest payments over the next decade. Over the past two decades the average rate of interest on government debt has been roughly 5.7 percent. Therefore, if interest rates were to return to anything close to traditional levels, it would add trillions to our future obligations.

 

[eagle1462010]

 

[kyzr]

Policy Report: Running Out of Other People’s Money

That gap is the “unfunded liability” or “implicit debt” for those programs.

Implicit debt, of course, represents the “softest” form of debt, in that there is no legal requirement to pay all the promised benefits. But “soft” does not mean debt that can be completely dismissed. Those benefit payments are called for under current law, and it would take congressional action to change them. Unless and until Congress does so, those obligations exist. That is why, for private companies, future promises to pay benefits are generally categorized as debt according to Generally Accepted Accounting Principles (GAAP) and other accounting authorities. If the government was required to report its debt in the same way public companies do, those promises would show up as debt.

Social Security’s future unfunded obligations now run to more than $24.9 trillion. Medicare’s unfunded liabilities are more difficult to nail down, in part because of the uncertainty brought about by the new health care reform law. In 2009, Medicare’s trustees estimated that the program’s unfunded liabilities were $88.9 trillion. Since then, health care inflation has been running at a slower rate. Economists debate the reason for this decline and whether it will continue, but it has resulted in a reduction of Medicare’s unfunded liabilities to just (!) $47.6 trillion. Thus, the real combined federal debt (debt held by public + intragovernmental debt + implicit debt) actually totals at least $90.5 trillion. That’s real money—even in Washington— roughly $282,000 for every man, woman, and child in America. Students graduating from college today worry about their college debt…. That’s nothing compared with what they owe as a share of the country’s debt.

Moreover, these projections assume that interest rates on government debt remain somewhere near current levels, which is about 2 percent. The CBO points out that, even at this low rate, interest on the debt is becoming an ever larger portion of federal spending. This year, the federal government will pay $229 billion in interest charges. By 2024, with just a modest expected increase in interest rates, that will rise to more than $808 billion. Not long afterward, we will be paying a trillion dollars every year just for interest on the debt. By 2035, in fact, interest on the debt will be tied with Medicare as the second-largest line item in the federal budget, trailing only Social Security.

And interest rates may not stay this low. It is estimated that every 1 percent increase in interest rates adds as much as $1 trillion in additional interest payments over the next decade. Over the past two decades the average rate of interest on government debt has been roughly 5.7 percent. Therefore, if interest rates were to return to anything close to traditional levels, it would add trillions to our future obligations.

SS is supposed to be able to pay 79% of promised benefits even if they let it go insolvent.
Social Security must reduce benefits in 2034 if reforms aren't made - CNNPolitics

Medicare's unfunded liabilities can be addressed by increasing the 20% hole to a higher percentage.

I still want the government to Balance the Budget so we aren't borrowing to cover the interest on the Debt. Its like using a credit card for everything until it maxes out, then you declare bankruptcy. Except the US can't do that.

 

[eagle1462010]

Policy Report: Running Out of Other People’s Money

That gap is the “unfunded liability” or “implicit debt” for those programs.

Implicit debt, of course, represents the “softest” form of debt, in that there is no legal requirement to pay all the promised benefits. But “soft” does not mean debt that can be completely dismissed. Those benefit payments are called for under current law, and it would take congressional action to change them. Unless and until Congress does so, those obligations exist. That is why, for private companies, future promises to pay benefits are generally categorized as debt according to Generally Accepted Accounting Principles (GAAP) and other accounting authorities. If the government was required to report its debt in the same way public companies do, those promises would show up as debt.

Social Security’s future unfunded obligations now run to more than $24.9 trillion. Medicare’s unfunded liabilities are more difficult to nail down, in part because of the uncertainty brought about by the new health care reform law. In 2009, Medicare’s trustees estimated that the program’s unfunded liabilities were $88.9 trillion. Since then, health care inflation has been running at a slower rate. Economists debate the reason for this decline and whether it will continue, but it has resulted in a reduction of Medicare’s unfunded liabilities to just (!) $47.6 trillion. Thus, the real combined federal debt (debt held by public + intragovernmental debt + implicit debt) actually totals at least $90.5 trillion. That’s real money—even in Washington— roughly $282,000 for every man, woman, and child in America. Students graduating from college today worry about their college debt…. That’s nothing compared with what they owe as a share of the country’s debt.

Moreover, these projections assume that interest rates on government debt remain somewhere near current levels, which is about 2 percent. The CBO points out that, even at this low rate, interest on the debt is becoming an ever larger portion of federal spending. This year, the federal government will pay $229 billion in interest charges. By 2024, with just a modest expected increase in interest rates, that will rise to more than $808 billion. Not long afterward, we will be paying a trillion dollars every year just for interest on the debt. By 2035, in fact, interest on the debt will be tied with Medicare as the second-largest line item in the federal budget, trailing only Social Security.

And interest rates may not stay this low. It is estimated that every 1 percent increase in interest rates adds as much as $1 trillion in additional interest payments over the next decade. Over the past two decades the average rate of interest on government debt has been roughly 5.7 percent. Therefore, if interest rates were to return to anything close to traditional levels, it would add trillions to our future obligations.

SS is supposed to be able to pay 79% of promised benefits even if they let it go insolvent.
Social Security must reduce benefits in 2034 if reforms aren't made - CNNPolitics

Medicare's unfunded liabilities can be addressed by increasing the 20% hole to a higher percentage.

I still want the government to Balance the Budget so we aren't borrowing to cover the interest on the Debt. Its like using a credit card for everything until it maxes out, then you declare bankruptcy. Except the US can't do that.

S.S. was designed that the population would have to increase dramatically over time to pay for itself.......When it began there was plenty of people to pay in for what goes out. It was also based on how long people live. The Intergovernmental debt..........aka the money in that was robbed.........replaced by IOU's.....will eventually go to 0......and then debt will explode at even a greater rate.........

Pension debt is massive.......S.S., Medicaid, and Medicare future debt is massive..........No dang way to pay what's coming..........

For decades I would show how we could cut spending.......and increase revenue......why waste my time anymore when the the Gov't will never do it anyway. The debt will continue to explode upwards until we implode.............and have a global reset.........Every year it gets worse.......and they will do nothing to change it.............

Thus why I put up the kiss my ass video in this thread........

 

[kyzr]

Totally agree with you, except I don't like that ending. China is like a vulture waiting for the US to implode and then its the only super-power. What happens then?

 

[eagle1462010]

Refundable Tax Credits | Congressional Budget Office


Earned Income Tax Credit: Small Benefits, Large Costs

Cato puts the numbers at 60 Billion in payments a year......to those who pay no taxes but a get a check......In regards to tax credits under the current system totals the amount is about 160 billion a year..........

Eliminate that and you get a cut of 160 billion a year.............just an example.

 

[whitehall]

Why didn't they ask that question when Barry Hussein was president? Under Obama the debit increased and we didn't get anything for it except a stagnant economy but lefties loved it.

 

[eagle1462010]

Totally agree with you, except I don't like that ending. China is like a vulture waiting for the US to implode and then its the only super-power. What happens then?

Who doesn't like the ending...............but it's reality......

What Are the Major Federal Government Subsidies?

About 56 billion there.

 

[eagle1462010]

United States foreign aid - Wikipedia

50 billion there