How Are Your Tax Dollars Allocated?
Have you ever wondered where your tax dollars have gone?
According to the Tax Foundation, a Washington, D.C. based think-tank, Americans worked until April 24, 2015 just to earn enough money to pay their federal taxes.
Wondering what you get in return for your hard work? Roughly 66% of the $3.5 trillion in federal spending for 2014 was used for Social Security, Medicare, defense, and related programs. Here’s how it breaks down:
24% - Social Security
24% - Medicare, Medicaid, CHIP, marketplace subsidies
18% - Defense and international security assistance
11% - Safety net programs
8% - Benefits for federal retirees and veterans
7% - Interest on debt
3% - Transportation infrastructure
2% - Education
2% - Science and medical research
2% - All other
1% - Non-security (international)
Source: Center on Budget and Policy Priorities, 2015
And, yes, for those of you paying close attention, those numbers add up to 102%. The Center on Budget and Policy Priorities notes that category percentages are estimates based on the most recent historical data released by the Office of Management and Budget for the 2014 federal fiscal year (October 1, 2013, to September 30, 2014).