To date, the total cost of war that has been allocated by Congress is $1.05 trillion, with $747.3 to Iraq and $299 to Afghanistan. The numbers include both military and non-military spending such as reconstruction. Spending includes only incremental costs, those additional funds that are expended due to the war. For example, soldiers' regular pay is not included but combat pay is included. Potential future costs, such as future medical care for soldiers and veterans wounded in the war, are not included. These numbers do not account for the wars being deficit-financed or that taxpayers will need to make additional interest payments on the national debt due to these deficits.

These numbers are based on an analysis of legislation in which Congress has allocated money for war and research by the Congressional Research Service (latest report) which has access to Department of Defense financial reports. An article offered by the Strauss Military Reform Project of the Center for Defense Information offers greater insight into the problems of truly knowing how much has been spent on the Iraq War or other military operations. Other NPP tools on war costs include the NPP Database and Cost of War to your Community which uses total war costs associated with numerous towns and counties across the country.

During the Bush administration, the majority of war funding was allocated through emergency supplementals.  The Obama administration pledged that beginning with the fiscal year 2010 budget, war funding would be included in the core budget appropriations process. Indeed, this year's $136.8 billion in funding for Iraq and Afghanistan was approved as a part of the FY2010 budget process, although the administration will need to return to the use of supplemental appropriations to fund the 30,000 troop surge in Afghanistan announced by President Obama in December 2009.

• FY2003 Supplemental: Operation Iraqi Freedom, from March 2003, was for $74.8 billion. Passed within a month of the request, the final allocation amounted to $78.5 billion, at least $54.4 billion of which was for the war in Iraq.
• FY2004 Supplemental: Iraq and Afghanistan Ongoing Operations/Reconstruction, for $87 billion, was submitted in September 2003 and passed by Congress in November 2003. The final allocation amounted to $87.5 billion, of which $70.6 billion was for Iraq.
• Budget Amendment: $25 Emergency Reserve Fund (Department of Defense - Iraq Freedom Fund) was made in May 2004 and was passed by Congress as part of the Department of Defense appropriations bill in July 2004. Based on Iraq War spending, of the $25 billion appropriated, about $21.5 billion was for the war in Iraq.
• Estimate #1 - Emergency Supplemental (various agencies): Ongoing Military Operations in the War on Terror; Reconstruction Activities in Afghanistan; Tsunami Relief and Reconstruction; and Other Purposes - 2/14/05  from February 2005 and passed by Congress in April 2005. The final allocation amounted to $82 billion, of which about $58 billion was for the Iraq War.
• Department of Defense appropriations for fiscal year 2006  included $50 billion in a “bridge fund” for war funding. Based on past Iraq War spending, approximately $40 billion of that can be counted for the Iraq War.
• Estimate #3—FY 2006 Emergency Supplemental (various agencies): Ongoing Military, Diplomatic, and Intelligence Operations in the Global War on Terror; Stabilization and Counter-Insurgency Activities in Iraq and Afghanistan; and Other Humanitarian Assistance—2/16/06was for $72.4 billion, of which about $60 billion war for the Iraq War.
• Defense appropriations for FY2007 includes $70 billion in war-related spending, most of which we estimated would be for the Iraq War, based on past spending patterns.
• The administration requested nearly $100 billion in supplemental funding for fiscal year 2007, most of which we estimated would be for the Iraq War, based on past spending patterns.
• Estimate #5—FY 2008 Emergency Budget Amendments: Department of Defense (Global War on Terror—Mine Resistant Ambush Protected Vehicles)—7/31/07and Estimate #6—FY 2008 Emergency Budget Amendments: Operation Iraqi Freedom, Operation Enduring Freedom, and Selected Other International Activities—10/22/07 for fiscal year 2008, which included $153.5 billion for Iraq and $34.0 billion for Operation Enduring Freedom which includes Afghanistan and other Global War on Terror operations.
• Estimate #2—FY 2009 Emergency Budget Amendments: Operation Iraqi Freedom, Operation Enduring Freedom, and Selected Other International Activities—5/2/08for the beginning of fiscal year 2009, which included $54.1 billion for Iraq and $13.1 billion for Operation Enduring Freedom which includes Afghanistan and other Global War on Terror operations.
• Estimate #1—FY 2009 Emergency Supplemental (various agencies): Appropriations Request that will Fund Our Ongoing Military, Diplomatic, and Intelligence Operations—04/09/2009  includes funding for Iraq and Afghanistan during the remainder of Fiscal Year 2009.
• Funding for FY2010 including $64.5 billion for Iraq and $72.3 billion for Afghanistan was found in three bills of the annual appropriations process: Department of Homeland Security Appropriations Act (H.R. 2892); Consolidated Appropriations Act (H.R. 3288); and Department of Defense Appropriations Act (H.R. 3326).

Please note that the Department of Defense was also permitted by legislation to transfer funds amongst operations (peacetime, Afghanistan, etc.) and so estimating war costs based on Congressional legislation is not enough.

State and City Calculations

We calculated each state's share of taxes paid into federal funds revenues (based on IRS data). This includes individual income taxes, corporate income taxes, excise, gift and estate taxes. Each state's share of taxes was then multiplied by the total amount of the war.

The city and county calculations are based on the population and median household income of the city relative to the state.