Other Areas At A Glance
Clinton's Budget At A Glance
WASHINGTON (AllPolitics, Feb. 6) -- President Bill Clinton released his long-awaited balanced budget plan today with tax and spending proposals for fiscal years 1998-2002. Here are the plan's main features:
Spending and Revenues Spending is set at $1.69 trillion for 1998 with revenues projected at $1.57 trillion, leaving a deficit of $120.6 billion, up from this year's $107.3 billion deficit. The five-year plan projects not only balance but a $17 billion surplus in 2002. Spending projections through 2002:
| Fiscal '98 Budget | |
|---|---|
| Revenues | $1.57 trillion |
| Outlays | $1.69 trillion |
| Deficit | $120.6 |
| Discretionary Outlays | $547.5 |
| Mandatory outlays* | $890.2 |
| Debt Interest | $249.9 |
| *Including $380.9 for
Social Security and $310.2 for Medicare and Medicaid. |
|
| Figures in $billions | |
TAXES Although the president has proposed $98 billion in tax cuts, he has also added $76 billion in hikes leaving a net cut of $22 billion.
Cuts:
- $500 per child tax credit ($46.7 billion).
- $1,500 college scholarships/$10,000 deductions for college expenses. ($38.6 billion).
- Penalty-free withdrawals from individual retirement accounts for education, home purchases, and unemployement ($5.5 billion).
- Capital gains tax relief for home sales under $500,000 ($1.5 billion).
Hikes:
- 10 percent airline ticket tax ($34 billion)
- Business taxes, closed corporate loopholes ($42 billion)
EDUCATION In addition to the aforementioned tax breaks, the president proposed increasing federal spending on education 20 percent to $51 billion. That includes raising top the top Pell grant level to $3,000 from $2,700.
MEDICARE The president has proposed $138 billion in savings over six years ($100 billion by 2002).
MEDICAID By capping benefits and tying increases to the nation's economic output, the president projects $22 billion in savings. However, he also spends $13 billion on other Medicaid services, putting the net savings at $9 billion.
DEFENSE At $259.4 billion for 1998, Clinton's total defense budget is a small decrease from 1997.
| 1996 | 1997 | 1998 | |
|---|---|---|---|
| Legislative | 2.2 | 2.3 | 2.4 |
| Judiciary | 2.9 | 3.1 | 3.3 |
| White House | 0.2 | 0.2 | 0.2 |
| Pres. Funds | 11.4 | 11.8 | 11.9 |
| Agriculture | 15.1 | 16.2 | 15.2 |
| Commerce | 3.8 | 3.9 | 4.2 |
| Defense-Military | 253.7 | 255.2 | 248.4 |
| Defense-Civil | 3.8 | 3.7 | 3.5 |
| Education | 23.2 | 25.3 | 26.3 |
| Energy | 18.4 | 17.7 | 16.8 |
| Health | 32.3 | 34.0 | 35.4 |
| Housing | 31.4 | 33.4 | 34.0 |
| Interior | 7.0 | 7.5 | 7.3 |
| Justice | 11.5 | 13.5 | 16.6 |
| Labor | 9.6 | 10.1 | 10.5 |
| State | 4.5 | 5.1 | 5.1 |
| Transportation | 36.3 | 35.9 | 36.0 |
| Treasury | 10.2 | 10.5 | 11.1 |
| Veterans | 18.1 | 19.0 | 18.6 |
| Environment | 6.3 | 6.5 | 6.7 |
| General Serv. | 0.7 | 0.9 | 0.4 |
| NASA | 13.9 | 13.7 | 13.6 |
| OffPerMgmt | 0.1 | 0.2 | 0.2 |
| SBA | 0.9 | 0.8 | 0.8 |
| SocSecAdmin | 4.6 | 5.6 | 5.7 |
| Other | 12.2 | 13.9 | 13.4 |
| From The Associated Press/Figures in Billions | |||