$163 Billion in Cuts is Merely a Rounding Error on $37 Trillion

Last Friday, President Trump introduced a federal budget that proposes $163 billion in cuts. Sounds like a lot until you remember that our national debt is barreling toward $37 trillion.

This reminded me of a joke:

Q: What do you have when there are ten thousand lawyers at the bottom of the ocean?

A: A good start.

To put it in perspective: $163 billion is less than half a percent of the total debt. Even if you generously throw in the supposed $390 billion in savings from DOGE claims, that barely scratches 1.5%. I ran the numbers, felt faint, laid down for a bit, and came back to find the debt clock had already ticked past whatever gains those cuts might offer.

Consider the national debt growth just this century. At $37 trillion and rising, the US National debt has more than quadrupled since 2000. $163 billion in proposed cuts barely registers.

So, what’s getting cut? Predictably, the budget trims programs the Left loves: renewable energy, climate change, diversity/equity/inclusion (DEI) initiatives, education, and foreign aid. The faux outrage from mainstream media and Democratic lawmakers is laughable. “This will harm American families!” they wail. I don’t buy it and neither should you. When was the last time a politician cared more about the average American than about scoring political points?

On the other side, Republicans want to fork over more money to the Pentagon. Military spending is going up 13%, to $1.01 trillion. Using typical Congressional fuzzy math, outgoing Kentucky Senator Mitch McConnell claims that’s actually a decrease when adjusted for inflation. Sure, Mitch.

At the same time, Health & Human Services is getting a $500 million bump thanks to RFK Jr.’s “Make America Healthy Again.” Homeland Security? A whopping 65% increase to $107 billion. There’s also more for veterans and law enforcement, which, to be fair, most Americans would probably support.

Here’s a more pragmatic chart for the federal spending breakdown when comparing increases vs. cuts. Defense and Homeland Security see big increases, while agencies like NASA, the IRS, and Education take major hits.

Senator Patty Murray from Washington State cried foul, claiming this budget would “set our country back decades.” This from someone who apparently doesn’t realize what a $37 trillion debt means for our grandchildren’s future. Of course NY senator Chuck Schumer had more to say, but really, who cares? It’s hard to take budget lectures from people who’ve never run a lemonade stand, let alone balanced a federal checkbook.

Cuts are also coming to the EPA, Dept. of Energy, Housing & Urban Development, Education, the NIH, and NOAA. Even the IRS is set to lose $2.5 billion. So-called “experts” warn that tax revenue will fall if we don’t keep that agency fat and happy. Right. Because shaking down Americans for every dime is how we solve the deficit.

And yet, critics scream that Trump’s tax cut extensions will increase the debt, too. So, cutting spending raises the debt, and cutting taxes does the same? Congressional logic truly is an oxymoron.

Take NASA, for example. They’re in meltdown mode over a potential 24% budget cut. You remember NASA – the agency that left two astronauts stranded for nine and a half months until Elon Musk stepped in with a ride home. But don’t worry they say they’re getting really close to bringing rocks back from Mars.

The chart below will give an indication just how small a blip $163 billion compared to a $47 trillion debt. $163 billion in cuts represents less than on-half percent of the total national debt. I would have thought Trump could have done better.

This whole thing will probably go nowhere, of course. The budget needs 60 votes in the Senate, meaning at least 10 Democrats would need to support Trump. We’ve got better odds of pigs flying than Democrats backing anything with Trump’s name on it. Democrats would prefer Trump stop breathing before incurring the wrath of fellow Democrats.

But the fact is, our $37 trillion national debt should be the first priority for every president and member of Congress. We’re mortgaging our grandkids’ futures to keep funding bloated, inefficient programs and pet projects. If we can’t even service this debt long-term, then all those “yeah, but…” excuses from both parties are meaningless.

I have no way of knowing what Trump is thinking long-term. But based on his business instincts and the fact that SpaceX saved the day when the government couldn’t, it’s possible he’s betting on the private sector to handle things better than the Swamp ever could.