As of 2013, the Department of Defense was the third largest executive branch department and utilized 20% of the federal budget. For the 2011 fiscal year, the president's base budget for the Department of Defense and spending on overseas contingency operations totaled $664.84billion. When the budget was signed into law on 28 October 2009, the final size of the Department of Defense's budget was $680billion, $16billion more than President Obama had requested. An additional $37billion supplemental bill to support the wars in
Iraq and
Afghanistan was expected to pass in the spring of 2010, but has been delayed by the House of Representatives after passing the Senate.
Emergency and supplemental spending The military operations in Iraq and Afghanistan were largely funded through supplementary spending bills that supplemented the annual military budget requests for each fiscal year. However, the wars in Iraq and Afghanistan were categorized as overseas contingency operations beginning in fiscal year 2010, and the budget is included in the federal budget. By the end of 2008, the US had spent approximately $900billion in direct costs on the wars in Iraq and Afghanistan. The government also incurred indirect costs, which include interests on additional debt and incremental costs, financed by the
Veterans Affairs Department, of caring for more than 33,000 wounded. Some experts estimate the indirect costs will eventually exceed the direct costs. As of June 2011, the total cost of the wars was approximately $1.3trillion.
By title The federally budgeted (see below) military expenditure of the Department of Defense for fiscal year 2013 is as follows. While data is provided from the 2015 budget, data for 2014 and 2015 is estimated, and thus data is shown for the last year for which definite data exists (2013).
By entity Programs spending more than $1.5 billion The Department of Defense's FY2011 $137.5billion procurement and $77.2billion RDT&E budget requests included several programs worth more than $1.5billion.
Other military-related expenditures This does not include many military-related items that are outside of the Defense Department budget, such as nuclear weapons research, maintenance, cleanup, and production, which are in the Atomic Energy Defense Activities section, Veterans Affairs, the Treasury Department's payments in pensions to military retirees and widows and their families, interest on debt incurred in past wars, or
State Department financing of foreign arms sales and militarily-related development assistance. Neither does it include defense spending that is domestic rather than international in nature, such as the
Department of Homeland Security, counter-terrorism spending by the
Federal Bureau of Investigation, and intelligence-gathering spending by
NSA, although these programs contain certain weapons, military and security components. Accounting for non DoD military-related expenditure gives a total budget in excess of $1.4 trillion.
Budget request for FY2018 On 16 March 2017 President Trump submitted his request to Congress for $639billion in military spending (an increase of $54billion, 10% for
FY2018, as well as $30billion for FY2017, which ends in September). With a total federal budget of $3.9trillion for FY2018, the increase in military spending would result in deep cuts to many other federal agencies and domestic programs, as well as the State Department. Trump had pledged to "rebuild" the military as part of his 2016 presidential campaign. In April 2017, journalist
Scot J. Paltrow raised concerns about the increase in spending with the Pentagon's history of "faulty accounting". On 14 July, the
National Defense Authorization Act 2018 was passed by the US House of Representatives 34481, with 8 not voting. 60% of Democrats voted for the bill, which represented an 18% increase in defense spending. Congress increased the budget to total $696billion.
Budget request for FY2017 The currently available budget request for 2017 was filed on 9 February 2016, under then-President Barack Obama. The press release of the proposal specifies the structure and goals for the FY2017 budget:
Audit of 2011 budget Again in 2011, the
Government Accountability Office (GAO) could not "render an opinion on the 2011 consolidated financial statements of the federal government", with a major obstacle again being "serious financial management problems at the Department of Defense (DOD) that made its financial statements unauditable". In December 2011, the GAO found that "neither the Navy nor the Marine Corps have implemented effective processes for reconciling their FBWT." According to the GAO, "An agency's FBWT account is similar in concept to a corporate bank account. The difference is that instead of a cash balance, FBWT represents unexpended spending authority in appropriations." In addition, "As of April 2011, there were more than $22billion unmatched disbursements and collections affecting more than 10,000 lines of accounting."
Audit of implementation of budget for 2010 The GAO was unable to provide an
audit opinion on the 2010 financial statements of the US Government due to "widespread
material internal control weaknesses, significant uncertainties, and other limitations." The GAO cited as the principal obstacle to its provision of an audit opinion "serious financial management problems at the Department of Defense that made its financial statements unauditable".
Robert F. Hale, Chief Financial Officer and
Under Secretary of Defense, acknowledged enterprise-wide problems with systems and processes, while the DoD's
Inspector General reported "material internal control weaknesses... that affect the safeguarding of assets, proper use of funds, and impair the prevention and identification of fraud, waste, and abuse". Further management discussion in the FY2010 DoD Financial Report states "it is not feasible to deploy a vast number of accountants to manually reconcile our books" and concludes that "although the financial statements are not auditable for FY2010, the Department's financial managers are meeting warfighter needs".
Budget by year The accompanying graphs show that US military spending as a percent of
gross domestic product (GDP) peaked during World War II. The table shows historical spending on defense from 1993 to 2025. The defense budget is shown in billions of dollars and total budget in trillions of dollars. The percentage of the total
US federal budget spent on defense is indicated in the third row, and change in defense spending from the previous year in the final row. == Support service contractors ==