Mandatory Spending
Federal spending required by existing law without annual Congressional approval — primarily Social Security, Medicare, Medicaid, and interest on the debt.
How It Works
Mandatory spending accounts for about two-thirds of total federal spending and is growing as the population ages. Social Security alone exceeds $1.4 trillion per year. Medicare costs over $900 billion. Medicaid exceeds $600 billion. Interest on the national debt now exceeds $800 billion. Unlike discretionary spending, mandatory programs don't require annual appropriations — they continue automatically under existing law. Changing mandatory spending requires Congress to amend the underlying authorizing statute.
Related Terms
- Discretionary Spending — Federal spending that Congress controls through annual appropriations — covering defense, education, transportation, and other agency budgets.
- Appropriation — A law passed by Congress that authorizes federal agencies to spend a specific amount of money for a specific purpose during a defined period.
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About This Definition
This definition is part of the TaxDollarData Federal Spending Glossary — 31 terms explaining how the U.S. government spends taxpayer money. All definitions are written in plain language for taxpayers, journalists, contractors, and researchers.