Budget & Spending
Discretionary Spending
Definition
Federal spending that Congress sets annually through the appropriations process, including defense, education, and infrastructure.
Related Terms
Mandatory Spending
Federal spending required by existing law, including Social Security, Medicare, and Medicaid. Makes up about two-thirds of the federal budget.
AppropriationAn act of Congress that provides the legal authority for federal agencies to incur obligations and make payments from the Treasury for specified purposes.
More Budget & Spending Terms
Common Questions
- What is a discretionary spending?
- Federal spending that Congress sets annually through the appropriations process, including defense, education, and infrastructure.
- What terms are related to discretionary spending?
- Related terms include: Mandatory Spending, Appropriation. Understanding these related concepts helps provide context for discretionary spending.