Where do your tax federal dollars go?
The following chart shows where each dollar of federal taxes collected is spent:
It may be surprising to note that Social Security and Medicare are not at the top of the chart, but those programs are primarily fast-growing “unfunded liabilities” (totaling $87 trillion) at this point. In other words, America has been running $1 trillion-plus annual deficits and the problems of Medicare and Social Security haven’t really impacted the budget yet.
This is why we need to reduce spending at all levels in Washington and do so now. Of course, the Obama Administration would rather cut royalties payments to states like New Mexico rather than actually reducing federal spending.