April 9, 2025
Each year, millions of Americans file a tax return. Many know whether they got a refund, but they probably don’t know where their tax dollars really went.
National Priorities Project's Tax Receipt, released every year around Tax Day, shows how your individual income taxes were spent.
Tax Day materials do not include corporate taxes or the individual payroll taxes that directly fund Social Security and Medicare. To read more about where federal revenues come from, visit Where the Money Comes From.
In order to do this analysis, we separate federal funds from trust funds. Federal funds include the revenue from personal income taxes, and they can be used for many purposes. In contrast, trust funds, generated from sources such as payroll taxes, can only be used for specific programs like Social Security and Medicare.
We analyze federal fund outlays, or spending, for the fiscal year most closely corresponding to the tax year, as reported by the White House Office of Management and Budget’s (OMB) and available from the Government Printing Office. In some cases, we use additional federal government data sources, noted below.
When OMB publishes federal budget data, it uses categories of spending called functions, and within those, subfunctions.
In order to create our Tax Day materials, federal fund outlays were sorted into the following categories based on those subfunctions:
Elementary, secondary, higher and vocational education.
Subfunctions: 501, 502, 503
Example programs:
Natural resources and environment, conservation, and supply and use of energy.
Subfunctions: 271, 272, 274, 276, 301, 302, 303, 304, 306
Example programs:
Agriculture and nutritional assistance programs.
Subfunctions: 351, 352, 605
Example programs:
Federal judicial and litigative activities, commerce, overhead costs of the federal government.
Subfunctions: 371, 372, 373, 376, 752, 801, 802, 803, 804, 805, 806, 808, 809
Example programs:
Housing assistance and credit, community development, disaster relief, and services supporting social needs.
Subfunctions: 371, 451, 452, 453, 506, 604, 925
Example programs:
Annual interest paid on the national debt, net of interest income received by assets the federal government owns.
Subfunctions: 901, 902, 903, 908, 909
Diplomatic, development, and humanitarian activities abroad.
Subfunctions: 151, 153, 154, 155
Example programs:
Federal law enforcement, immigration enforcement, criminal legal system, and prisons.
Subfunctions: 751, 753, 754
Health care programs and services, and occupational and consumer health & safety.
Subfunctions: 551, 552, 554, 571
Example programs:
General science research and space flight research and activities.
Subfunctions: 251, 252
Example programs:
Income security programs, federal employee retirement and disability, and job training.
Subfunctions 504, 505, 601, 602, 603, 609, 651
Example programs:
Development and support of air, water, ground, and other transportation.
Subfunctions: 401, 402, 403, 407
Example programs:
Health care, housing, education and income security for veterans.
Subfunctions: 701, 702, 703, 704, 705
The Pentagon (Department of Defense), nuclear weapons activities, war costs, and international military aid.
Subfunctions: 051, 053, 054, 152
Example programs:
NPP’s personalized and state average tax receipts shows how much of your federal income taxes went to each of the categories specified above, using federal fund outlays data from the OMB Public Budget Database.
In addition, the receipt shows how much of your taxes went to particular programs within each of those categories, using data from OMB’s Public Budget Database or other sources, as follows:
Department of Education: Includes outlays under Education subfunctions for the Agency, “Department of Education.”
College Financial Aid: Includes outlays under Education subfunctions and the Agency, “Department of Education,” for the Bureau, “Office of Federal Student Aid.”
K-12 Education: Includes outlays under Education subfunctions and the Agency, “Department of Education,” for the Bureau “Office of Elementary and Secondary Education."
Corporation for Public Broadcasting: Includes outlays under Education subfunctions for the Agency "Corporation for Public Broadcasting.”
Museum and Library Services: Includes outlays under Education subfunctions for Agency "Institute of Museum and Library Services."
Environmental Protection Agency: Includes outlays under Energy & Environment subfunctions for the Agency, “Environmental Protection Agency.”
Energy efficiency & renewable energy: Includes outlays under Energy & Environment subfunctions and the Agency “Bureau of Energy Programs” for the Account, "Energy Efficiency and Renewable Energy."
Forest Service: Includes outlays under Energy & Environment subfunctions and agency “Department of Agriculture” for the Bureau "Forest Service.”
National Parks: Includes outlays under Energy & Environment subfunctions and the agency “Department of the Interior” under the Bureau "National Park Service.”
National Oceanic and Atmospheric Administration (NOAA): Includes outlays under Energy & Environment subfunctions and agency “Department of Commerce” the Bureau "National Oceanic and Atmospheric Administration.”
Farm Services Agency: Includes outlays under Food & Agriculture subfunctions under the Bureau "Farm Servics Agency.”
School Lunch & other food programs: Includes under Food & Agriculture subfunctions for the Account, “Child Nutrition Programs.” Includes school lunch, school breakfast, summer meal programs, and more.
SNAP (food stamps): Includes outlays under Food & Agriculture subfunctions and “Bureau of Food and Nutrition Service” for the Account, “Supplemental Nutrition Assistance Program.”
Women, Infants and Children (WIC): Includes outlays under Food & Agriculture subfunctions under the Account "Special Supplemental Nutrition Program for Women, Infants, and Children (WIC).”
Consumer Financial Protection Bureau: Includes outlays under Government subfunctions for the Agency “Bureau of Consumer Financial Protection.”
Federal Court System: Includes outlays under Government subfunctions for the Agency "Judicial Branch." Also includes Public Defenders.
Federal Deposit Insurance Corporation: Includes outlays under Government subfunctions for the Agency "Federal Deposit Insurance Corporation."
Interagency Council on Homelessness: Includes outlays under Government subfunctions for the Agency "United States Interagency Council on Homelessness."
Internal Revenue Service: Includes outlays in Government subfunctions under the Bureau "Internal Revenue Service."
Minority Business Development Agency: Includes outlays in Government subfunctions for the Bureau “Minority Business Development Agency.”
Postal Service: Includes outlays in Government subfunctions under the Agency “Postal Service.”
Public Defenders: Includes outlays under Government Subfunctions for Account "Defender Services."
Centers for Disease Control and Prevention: Includes outlays under Health subfunctions for Bureau "Centers for Disease Control and Prevention."
Medicaid: Includes outlays under Health subfunctions for Account "Grants to States for Medicaid."
Medicare: Includes outlays under Health care subfunction 571, "Medicare."
Mental Health & Substance Abuse: Includes outlays under Health subfunctions for Bureau "Substance Use And Mental Health Services Administration."
National Institutes of Health: Includes outlays under Health subfunctions for Bureau "National Institutes of Health."
Department of Housing and Urban Development: Includes outlays under Housing & Community subfunctions for the Agency “Department of Housing and Urban Development."
Disaster Relief: A sum of outlays under Housing & Community subfunctions for the Account "Disaster Relief Fund.”
Federal Emergency Management Agency (FEMA): Includes outlays under Housing & Community subfunctions for the Bureau "Federal Emergency Management Agency." Also includes Disaster Relief.
Head Start: Department of Health and Human Services, Administration for Children and Families FY 2025 budget justification.
Public Housing: Includes outlays under Housing & Community subfunctions for the Accounts, "Public Housing Fund" and Public Housing Capital Fund."
Climate Aid: Treasury and USAID accounts from the Congressional Research Service.
Diplomacy: Includes outlays under the subfunction 153, “Conduct of foreign affairs.”
U.S. Agency for International Development (USAID): Includes outlays for International Affairs subfunctions under the Bureau "Agency for International Development." Also includes Climate Aid.
Deportations and Detentions (ICE and CBP): Includes outlays under Law Enforcement subfunctions for the Bureaus “U.S. Customs and Border Protection" and "U.S. Immigration and Customs Enforcement."
Federal Prisons: Includes outlays in Government subfunctions under the Bureau "Federal Prison System."
National Aeronautics and Space Administration: Includes outlays under Science subfunctions for the Agency, “National Aeronautics and Space Administration.” Includes NASA SpaceX contracts.
NASA – SpaceX Contracts Includes all contracts awarded by NASA to Space Exploration Technologies Corp. (SpaceX) in FY 2024, according to USASpending.gov, as of April 2, 2025.
National Science Foundation: Includes outlays under Science subfunctions for the Agency, “National Science Foundation”
Amtrak and Rail service: Includes outlays for Transportation subfunctions under Bureau "Federal Railroad Administration."
Federal Aviation Administration: Includes outlays for Transportation subfunctions under Bureau "Federal Aviation Administration."
Highways: Includes outlays for Transportation subfunctions under Bureau "Federal Highway Administration."
Public Transit: Includes outlays for Transportation subfunctions under Bureau "Federal Transit Administration."
Transportation Security Administration (TSA): Includes outlays for Transportation subfunctions under Bureau "Transportation Security Administration."
Child Tax Credit: Includes outlays for Unemployment and Labor subfunctions for Account, "Payment Where Child Tax Credit Exceeds Liability for Tax.”
Earned Income Tax Credit: Includes outlays for Unemployment and Labor subfunctions for Account, "Payment Where Earned Income Credit Exceeds Liability for Tax.”
Low Income Home Energy Assistance: Includes outlays for Unemployment and Labor subfunctions for Account, "Low Income Home Energy Assistance.”
National Labor Relations Board: Includes outlays under Unemployment & Labor subfunctions for the Agency, “National Labor Relations Board.”
Refugee Assistance: Includes outlays under Unemployment & Labor subfunctions for the Account, “Refugee and Entrant Assistance,” plus relevant amounts from H.R. 815 (2024 Ukraine/Israel supplemental spending).
Temporary Assistance for Needy Families (TANF): Includes outlays under Unemployment & Labor subfunctions for the Account, “Temporary Assistance for Needy Families.”
Veterans’ Affairs: Outlays under Veterans subfunction for the Agency “Department of Veterans Affairs.”
Veterans toxic exposure fund (PACT Act): Includes outlays under Veterans subfunctions for the Account "Cost of War Toxic Exposures Fund" within the Departmental Administration Bureau.
Aid to foreign militaries: Includes outlays under subfunction 152 (International security assistance), plus relevant amounts from H.R. 815 (2024 Ukraine/Israel supplemental spending).
Military Personnel: Includes outlays under Militarism subfunctions for the Bureau, “Military Personnel.”
Nuclear Weapons: Includes outlays for subfunction 053, “Atomic Energy Defense Activities.” This includes nuclear weapons and related activities in the Department of Energy, plus relevant amounts from H.R. 815(2024 Ukraine/Israel supplemental spending). It does not include expenses for nuclear weapons delivery systems in the Department of Defense.
Pentagon: Includes outlays under the Agency “Department of Defense – Military Programs” plus relevant amounts from H.R. 815 (2024 Ukraine/Israel supplemental spending). Also includes Pentagon contractors, Top 5 contractors, Military Personnel, and Pentagon – SpaceX Contracts, Pentagon – Diversity, Equity, Inclusion, and Pentagon – F-35 Fighter.
Pentagon Contractors: Includes all contracts awarded by the Department of Defense in FY 2024, according to USASpending.gov, as of April 2, 2025.
Pentagon – Diversity, Equity, Inclusion: Amount requested by DoD for DEI programs in the FY 2024 Budget Request.
Pentagon – F-35 Fighter: Amount requested by DoD for the F-35 in FY 2024.
Pentagon - Top 5 Contractors: Includes all contracts reported by the Department of Defense to Lockheed Martin, RTX/Raytheon, General Dynamics, Boeing, and Northrop Grumman in FY 2024, according to USASpending.gov, as of April 2, 2025.
Pentagon - SpaceX Contracts
Includes all contracts awarded by the Department of Defense to Space Exploration Technologies Corp. (SpaceX) in FY 2023, according to USASpending.gov, as of March 25, 2024.
To generate average taxes paid for the U.S. and for each state, we used tax return data from the IRS. The most recent state data are for 2022.
The averages are calculated by dividing income tax amount by the total number of applicable returns. The figure is then inflation-adjusted to 2024 dollars.
