America spent about $3.54 trillion in FY2012. The sequestration spending reductions are $1.2 trillion over 10 years. Approx. $85 billion in the remainder of FY2013 and $109 billion annually thereafter to achieve that. President Obama now calls these cuts a “meat cleaver” approach, not the same rhetoric he had when he promised to veto any attempt to stop them.
My, how things change over time. It was the Obama Administration that initially proposed the spending reductions, threatened a veto if Congress tried to stop them, and now demands that Congress do it anyway.
Will these spending reductions be “severe” as the President calls them? Let’s compare based upon a typical household budget. The federal spending last year of $3.54 trillion equates to a family making $35,400 dollars per year by dropping nine zeros. The sequestration spending reductions are $85 billion for the remaining seven months of fiscal year 2013. Drop the nine zeros again and this would equate to reducing our household budget spending by $85. Yes, you read that correctly. $85 bucks a year. Or $109 for a full year starting in FY2014.
While no one would claim a family income of $35,400 is well-off, even at that level, $85/$109 bucks a year isn’t going to induce pandemonium. Likewise, it won’t bring our federal government to its knees either. Isn’t that what Obama had in mind when he created the cuts?