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Daily news & progressive opinion—funded by the people, not the corporations—delivered straight to your inbox.
In the Republican’s budget, programs elevating lives in the working and middle class are sacrificed to enrich the wealthiest and the defense industry.
In his budget outline for fiscal year 2026, U.S. President Donald Trump proposes a massive increase in defense spending. An increase coupled with cuts in social and environmental programs defending the health and well-being of the populace. Cuts on top of the destruction of governmental infrastructure by Elon Musk and the invasion of the so-called Department of Government Efficiency—the DOGE troopers—which fractured infrastructure in programs geared toward the well-being of the general public.
Trump’s fascination with his version of an Iron Dome defense system for the United States earlier found its way into one of Trump’s many executive orders. And the House of Representatives has moved closer to including nearly $25 billion for Trump’s now-named Golden Dome within an increase of over $150 billion in defense spending, pushing the Pentagon’s annual budget up to $1,000 billion (that’s $1 trillion).
And the known massive waste in defense expenditures springing from this influence remains basically untouched by DOGE. Let’s not forget, Elon Musk’s companies are part of defense spending.
This will increase the Pentagon’s share of any deficit also fueled by tax cuts Republicans salivate over passing. Those tax cuts disproportionally benefitting the wealthiest as shown in the budget model at the University of Pennsylvania’s Wharton School.
Republicans frequently hide behind the false narrative that Social Security is the budget buster, not national defense spending nor their get-more-rich tax cuts. Disinformation sadly reinforced by typical charts on federal spending—even those created at the Treasury Department and by the Congressional Budget Office (CBO)—showing Social Security the top spender of federal dollars. And sadly bolstering the misinformed (as apparently have been some in Congress and the news media) thinking Social Security grabs more dollars from the same basket of monies as other federal programs, among them the Defense Department.
Such erroneous depiction makes Social Security an easy target for scapegoating to deflect from the real damage in today’s Republican priorities.
Let me make it as clear as possible. Social Security is funded today, as since its creation, principally by its separate dedicated payroll tax, not from the basket of general revenue as is the case in spending at the Pentagon. And it is depletion in general-revenue receipts that leads to budget deficits.
Until recent years, Social Security had surpluses from its dedicated funding source, without a drop needed from the basket of general revenue. Instead buying Treasury securities or bonds as required by law with surplus funds, which in essence was Social Security loaning the government monies to pay for other programs.
In calendar year 2023, Social Security’s Old-Age and Survivors Insurance and Disability Insurance combined expenditures were $1,392 billion as reported in the Social Security Trustees 2024 report (Table II.B1., page 7). Social Security’s payroll tax then covered 88.6% of its costs in 2023, or $1,233 billion. The remaining $159 billion in outlays were covered by revenues from taxes on Social Security benefits, interest on Treasury securities or bonds previously bought, and liquidating some of those Treasury securities. At most, about 12% of Social Security costs depended on coverage from revenue other than solely the payroll tax.
Now compare to national defense spending. As reported in Federal Reserve Economic Data, in calendar year 2023 expenditures for national defense totaled $785 billion. This total sum feeding completely from the general-revenue trough. And in 2023 taking at least five times more from that trough than Social Security (785/159) even when including taxes on Social Security benefits. Exclude taxes on benefits ($51 billion) because accounting wise included in Social Security’s separate funding, and the Pentagon consumption is over seven times more (785/108).
Increase Pentagon’s budget to $1,000 billion and, well, spending by the Secretary of Defense becomes an even bigger budget buster.
Neither is Medicaid a budget buster next to defense spending. CBO shows federal expenditures for Medicaid are $232 billion less than outlays for national defense in reporting available for fiscal year 2024. Less, not more. Despite this, Republicans seem primed to cut Medicaid to partly compensate for another Republican administration raising rather than decreasing the deficit long before Trump’s first administration.
As data reported by the Medicaid and CHIP Payment and Access Commission (MACPAC) indicate, about 70% of total spent nationally in fiscal year 2023 across Medicaid programs in each state entailed federal monies. Federal funds already billions less than outlays for national defense. And even more billions less if Republicans ultimately do increase the defense budget as planned.
Given Medicaid is administered by each state with a combination of state and federal monies, some Republican strategies to cut Medicaid include reducing federal monies allowed states, leaving it to states to fill the revenue gap or cut services.
A battle among oligarchs over the expansion of monies in the budget made available to them by Republican lawmakers.
As the Kaiser Family Foundation’s analysis showed, the elderly population receiving Medicaid-paid services, principally in nursing homes or at home, accounted nationally for 20% of total Medicaid spending in 2021. With nearly another third of Medicaid expenses servicing individuals with disabilities, plus around 15% involving services for children.
So happens also, data reported by MACPAC indicate among the 10 states whose Medicaid budgets in 2023 relied the most on federal monies (from between 79% to 82% federal funds in AR, AZ, ID, KY, LA, MS, MT, NM, OK, and WV), nine voted for Trump in 2024. While among the 10 states relying least on federal monies (from between 60% to 64% in CO, CT, MA, MD, MN, NH, NJ, NY, PA, and WY), 8 voted for Kamala Harris.
Seems Republicans have a constituency issue in cutting Medicaid to dampen the increasing deficit spending alone from Trumpian excitement in increasing defense spending, to say nothing about lowering taxes for the wealthiest.
President Dwight Eisenhower in his farewell speech in 1961 stated: “In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex.” And the known massive waste in defense expenditures springing from this influence remains basically untouched by DOGE. Let’s not forget, Elon Musk’s companies are part of defense spending.
Then also, as the Government Accountability Office reports, contract spending at the Department of Defense accounts for the majority of federal monies going to private companies. Lockheed Martin, for one, doesn’t even hide drooling over potential contracts for the Golden Dome initiative. The Guardianreports, Musk also is apparently working to steer even more governmental contracts toward his companies. And that apparently includes working to grab new contracted work anticipated in the Golden Dome project.
A battle among oligarchs over the expansion of monies in the budget made available to them by Republican lawmakers. Expansion with rationalization validating through hefty decreases in monies available in programs benefitting the health, education, security, and freedom in communal experience among ordinary people.
Everyday people sacrificed on the altar.
SpaceX has emerged as a front-runner for the contract.
Democratic lawmakers on Thursday wrote to the acting inspector general of the U.S. Department of Defense, warning that SpaceX emerging as a front-runner to win a contract to build a proposed missile defense system raises major concerns over whether the proposal is "an effective way to protect Americans" or is simply "meant to enrich" Trump ally Elon Musk.
As Reutersreported last month, Musk's rocket and satellite company is partnering with two other firms on a bid to build parts of the Golden Dome, which would launch at least 400 and as many as 1,000 satellites across the globe to detect and track missiles.
A separate component of the Golden Dome, which could be put to use starting as early as 2026, would launch 200 attack satellites to bring enemy missiles down.
The Democrats, led by Rep. Greg Casar (D-Texas) and Sen. Elizabeth Warren (D-Mass.), called on DOD acting Inspector General Steven Stebbins to examine "any involvement" by SpaceX CEO Elon Musk—now a "special government employee" of the Trump administration and a top donor to the president's 2024 campaign—in the Pentagon's process of awarding the defense contract for the Golden Dome.
The news that Musk's company is a front-runner to build key parts of the system, which is expected to cost hundreds of billions of dollars, raises "serious concerns about potential conflicts of interest in the process," reads the letter sent by the lawmakers, who also included Sen. Ed Markey (D-Mass.) and Rep. Rashida Tlaib (D-Mich.).
The lawmakers noted that in the "deeply troubling" Reuters report two weeks ago, a source was quoted as saying the talks surrounding the Golden Dome contract were "a departure from the usual acquisition process."
"There's an attitude that the national security and defense community has to be sensitive and deferential to Elon Musk because of his role in the government," the source told Reuters.
The letter also notes that as a special government employee, Musk is subject to Office of Government Ethics regulations such as 5 CFR § 2635.702, which prohibits using public office for private gain.
"Mr. Musk is also subject to the criminal prohibition in 18 USC § 208 against participating in a particular matter in which he has a financial interest, which carries a penalty of up to five years in prison," said the Democrats.
As the lawmakers wrote to the DOD inspector general's office, government watchdog Public Citizen also spoke out against the "useless and wasteful contract."
Experts have raised concerns about the feasibility of creating the Golden Dome system, especially on the accelerated timeline that has been reported—one that could benefit Musk's company but "result in a faulty end product that wastes billions of dollars and leaves our country with a false sense of security," wrote the lawmakers.
They quoted retired Rear Adm. Mark Montgomery, who toldCNN recently that creating a ballistic missile defense system "could take 7-10 years, and, even then, would have severe limitations."
Reuters also reported last month that SpaceX has proposed a "subscription service" for its involvement in the creation of the Golden Dome, with the government paying for access to the technology rather than owning the system. The proposal could allow the system to be rolled out faster by circumventing Pentagon procurement rules.
"The Golden Dome contract comes at a time when the Pentagon has failed to ever pass an audit, and this year's budget is already expected to top $1 trillion," said the Democrats.
The lawmakers called on Stebbins to refer the case to the Department of Justice for a criminal investigation, should his office find that Musk used his role in the federal government to secure a contract for SpaceX.
"$27 billion for a golden defense dome, yet Republicans want to cut Medicaid," wrote one observer. "Vote accordingly in 2026."
As Republicans in Congress push forward with a sweeping tax and spending plan that could be be paid for in part by deep cuts to Medicaid and to the Supplemental Nutrition Assistance Program, the GOP plans to add a defense package to that bill which will include "an initial $27 billion boost" for the Golden Dome desired by U.S. President Donald, according to Thursday reporting from Reuters.
Trump has said he wants an "Iron Dome for America"—something akin to Israel's Iron Dome anti-missile defense. In a speech earlier this year he referred to it as a "Golden Dome."
Experts who spoke to NPR recently said that building a Golden Dome would be more complicated than Israel's Iron Dome for multiple reasons. Dylan Spaulding, a senior scientist with the Union of Concerned Scientists, earlier this week called the Golden Dome idea a "complete fantasy."
According to Reuters, which cited "a document" and a congressional aide, the $27 billion would be a part of a $150 billion defense package Republicans plan to introduce. "It will be part of Trump's sweeping tax cuts bill, which will cut taxes by about $5 trillion and add approximately $5.7 trillion to the federal government's debt over the next decade," per the outlet. The measure, if passed, will also fund the construction of 14 warships and increase homeland security spending.
"The $27 billion investment in Golden Dome will fund the building of more missile interceptors and the purchase of Terminal High Altitude Area Defense (THAAD) antiballistic missile batteries, according to the congressional aide. THAAD is made by Lockheed Martin," the defense contractor, Reuters reported.
According to reporting from the outlet last week, billionaire "Elon Musk's SpaceX and two partners have emerged as front-runners to win a crucial part of the Golden Dome program that would track incoming missiles."
Bob Peterson, a senior research fellow for strategic deterrence at the right-wing think tank the Heritage Foundation, applauded the move. Peterson shared Reuters' reporting and wrote on Friday: "This is an important start to building Golden Dome. I sincerely hope this passes so that missile defense will protect all Americans from our adversaries."
Not everyone is enthusiastic about the spending.
One observer wrote on social media: "Golden Dome missile defense shield? WTF. $27 billion for a golden defense dome, yet Republicans want to cut Medicaid and Social Security. Vote accordingly in 2026."
"More than 180 companies are interested, but Musk's Space X just so happens to be the 'front-runner' for the contracts," wrote Rep. Greg Casar (D-Texas), reacting to earlier reporting from Reuters about Musk's potential involvement in the project. "Shut this corrupt deal down. No cuts to Medicaid and Social Security to pay for more Musk contracts."