U.S. DoD Defense Spending

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Welcome to the DoD Defense Spending Section on AeroWeb. This section covers defense spending both by spending type (procure-ment, RDT&E, O&M, MILPERS and MILCON), military service, and defense program. All defense budget figures presented on this page is by Budget Authority (discretionary + mandatory) unless otherwise specified. All figures are current dollars (no inflation adjustment).




FY 2015


In FY 2015 (October 1, 2014 - September 30, 2015), the DoD budget was $570.8 billion dollars (-$24.9B / -4.2%). Of this amount, $504.9 billion was Base funding + $65.9 billion for OCO. In FY 2015, the DoD budget provided $102.1 billion for Procurement and $63.9 billion for RDT&E. Defense Outlays were $562.5 billion.



FY 2016


In FY 2016 (October 1, 2015 - September 30, 2016), the DoD budget was $595.7 billion dollars (+$24.9B / +4.4%). Of this amount, $536.8 billion was Base funding + $58.9 billion for OCO. In FY 2016, the DoD budget provided $118.9 billion for Procurement and $69.5 billion for RDT&E. Defense Outlays were $565.4 billion.



FY 2017


In FY 2017 (October 1, 2016 - September 30, 2017), the DoD budget was $626.2 billion dollars (+$30.5B / +5.1%). Of this amount, $543.8 billion was Base funding + $82.5 billion for OCO. In FY 2017, the DoD budget provided $124.4 billion for Procurement and $74.1 billion for RDT&E. Defense Outlays were $568.9 billion.



FY 2018


In FY 2018 (October 1, 2017 - September 30, 2018), by Budget Authority, the DoD budget was $618.6 billion dollars (-$7.6B / -1.2%). Of this amount, $530.5 billion was Base funding + $83.4 billion for OCO + $4.7 billion in Emergency funding per Division B of Public Law 115-96 (Missile Defeat and Defense Enhancements). In FY 2018, the DoD budget provided $125.6 billion for Procurement and $74.9 billion for RDT&E. Defense Outlays of $591.1 billion are expected.



FY 2019


In FY 2019 (October 1, 2018 - September 30, 2019), by Budget Authority, the DoD budget is $695.1 billion dollars (+$76.4B / +12.4%). Of this amount, $626.1 billion is Base funding + $69.0 billion for OCO. In FY 2019, the DoD budget provides $144.6 billion for Procurement and $92.6 billion for RDT&E. Defense Outlays of $650.1 billion are expected.

DoD Spending FY2018-FY2019: Total DoD OCO O&M Procurement RDT&E MILPERS MILCON
+12.4% -21.7% +8.4% +15.1% +23.8% +10.2% +38.4%
DoD Spending FY2017-FY2018: Total DoD* OCO O&M Procurement RDT&E MILPERS MILCON
-1.2% +6.8% +1.4% +1.0% +1.0% +0.3% +2.7%
DoD Budget (total) Budget Funds for OCO DoD Outlays (money spent) DoD Procurement
5-Year DoD Defense Spending Overview

Total DoD Defense Spending, Base, OCO and Procurement | FY 2009 - FY 2019

DoD Defense Spending from FY 2009 to FY 2017, FY 2018 and FY 2019 - Base, OCO, Procurement and Total

As shown be the chart above, total DoD defense spending (Base + OCO) increased to $696 billion in FY 2010. From FY 2010-13, defense spending declined every year. In FY 2014, the DoD Budget ($595.7 billion) increased for the first time in four years, then fell again in FY 2015. In FY 2016, defense spending climbed back to the FY 14 level and increased further to $626 billion in FY 2017. In FY 2018, the budget was expected to grow significantly, however, due to continuing resolutions, this increase did not materialize and funding declined to $619 billion. For FY 2019 (fiscal year that began October 1, 2018), a large increase in defense spending is expected. The budget calls for a 12.4% ramp-up in funding for the DoD resulting in total spending of $695 billion.

In FY 2019, the Overseas Contingency Operations (OCO) request is $69.0 billion compared to $88.1 billion last FY when including Emergency Funding (-21.7%). Funds for OCO have declined substantially in recent years along with a drop in military activity overseas. OCO funding is expected to remain relatively stable out to FY 2023.

DoD spending on Procurement (Base + OCO) declined from $165.0 billion in FY 2008 to $97.8 billion in FY 2013. In FYs 2014 and 2015, DoD Procurement increased slightly to $100.4 billion (+2.7%) and $102.1 billion (+1.7%), respectively. In FY 2016, procurement increased as much as 16.4% to $118.9 billion followed by further increases in FYs 2017 and 2018. In FY 2019, we can expect procurement to grow by as much as 15.1% to $144.6 billion.

All figures are by Budget Authority. Source is the official FY 2019 Budget Request from the U.S. Department of Defense.

DoD Spending | Military Personnel, O&M, Procurement, RDT&E, and Military Construction (MILCON)

As a result of large defense budget cuts coupled with sequestration, all types of spending decreased from FY 2012 to FY 2013. Procurement and Military Construction (MILCON) were hit particularly hard.

As illustrated by the chart, the by far largest line item in the DoD budget is Operations & Maintenance (O&M). In FY 2019, $284.6 billion in O&M spending is projected, up $22.1 billion (+8.4%) from FY 2018.

In FY 2019, $161.5 billion in funding for Military Personnel (MILPERS) is projected, up $14.9 billion (+10.2%) from FY 2018. In FY 2019, procurement funds amount to $144.6 billion, up $18.9 billion (+15.1%) from FY 2018.

Another significant DoD budget item is RDT&E (Research Development Test & Evaluation). In FY 2019, projected spending on RDT&E amounts to $92.6 billion, up a whopping $17.8 billion (+23.8%) from FY 2018.

A relatively small line item is Military Construction (MILCON). In FY 2019, projected DoD MILCON is $9.8 billion, up $2.7 billion (+38.4%) from FY 2018. Not too long ago, in FY 2009, spending on MILCON was as high as $26.8 billion.


All defense spending figures are by Budget Authority and include Overseas Contingency Operations (OCO) funding. Source is the official FY 2019 Budget Request from the U.S. Department of Defense.

DoD Defense Spending by Cost Type FY 2009 to FY 2019 - O&M, MILPERS, Procurement, RDT&E, MILCON

DoD Defense Spending in Detail by Military Service | FY2000 - FY2019

In the following, we focus on DoD defense spending by service and cost/expense categories. There are major differences in the way the military services spend their funds. For example, the Army is relatively "low-tech" compared to the Navy and the Air Force, due to the fact that the Army spends a higher proportion of funds on Military Personnel and O&M while spending less on Procurement and RDT&E.

The Navy and Air Force spend more money on Procurement and RDT&E than the Army, even though the latter has received more funding in total in recent years. This is explained by the Navy's and Air Force's greater demand for high technology systems (aircraft, missiles, ships etc.). At the same time, the Army relies heavily on manpower to operate. In the following, the differences in spending are highlighted and discussed.

Total DoD Spending by Service | FY2000-FY2019

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DoD Total Budget by Military Service FY 2000 to FY 2017, FY2018 and FY 2019

From FY 2003 to FY 2014, the Army received the most DoD funding followed by the Navy and the Air Force. However, in FY 15 both the Navy and Air Force surpassed the Army. In FY 2019, the Air Force is projected to receive $194.1 billion, up from $170.2 billion or +14.1% from FY 2018.

In FY 2019, $194.0 billion in total funding is provided for the Navy, up from $172.8 billion or +12.3% from FY 2018.

In FY 2019, the Army will receive $182.0 billion, up from $158.3 billion or +15.0% from FY 2018.

Clearly, while the Army experienced major budget cuts from FY 2011-16, the Navy, USAF and Defense-Wide agencies (e.g. MDA, DARPA, SOCOM and DISA) were much less impacted.

Figures include Overseas Contingency Operations (OCO). Source: FY 2018 DoD Budget Request.

Procurement Spending by Service | FY2000-FY2019

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DoD Procurement FY 2000 to FY 2017, FY2018 and FY 2019

As shown, the Navy is expected to receive the most DoD procurement funds in FY 2019 followed by the Air Force. In FY 2019, $58.6 billion is provided for Navy procurement, up from $49.7 billion or +17.9% from FY 2018.

In FY 2019, the Air Force is projected to receive $50.6 billion, up from $45.7 billion or +10.7% from FY 2018.

In FY 2019, the Army is projected to receive $27.9 billion, up from $22.2 billion or +25.8% from FY 2018.

Clearly, the Army is procuring much fewer vehicles, aircraft, weapons, missiles and other products and parts compared to the peak in FY 2008 (FY08-FY19: -58.5%).

Figures include Overseas Contingency Operations (OCO). Source: FY 2019 DoD Budget Request.

RDT&E Spending by Service | FY2000-FY2019

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DoD RDT&E FY 2000 to FY 2017, FY2018 and FY 2019

The Air Force is projected to receive by far the most RDT&E (Research Development Test & Evaluation) funds in FY 2019 followed by Defense-Wide activities (mainly MDA Ballistic Missile Defense (BMD) programs), the Navy and Army. In FY 2019, $40.6 billion has been allocated for Air Force RDT&E, up from $28.3 billion in FY 2018 or a staggering +43.6%.

In FY 2019, the Navy is projected to receive $18.8 billion, up from $17.6 billion or +6.8% from FY 2018.

In FY 2019, the Army is projected to receive $10.5 billion, up from $8.7 billion or +21.2% from FY 2018.

Clearly, the Air Force is the most "high-tech" branch in the U.S. military.

Figures include Overseas Contingency Operations (OCO). Source: FY 2019 DoD Budget Request.

O&M, Operations & Maintenance | FY2000-FY2019

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DoD O&M FY 2000 to FY 2017, FY2018 and FY 2019

As illustrated, Defense-Wide agencies are projected to receive the most O&M (Operations & Maintenance) funding in FY 2019 followed by the Army, Navy, and Air Force.

In FY 2019, $77.5 billion in O&M funds are provided for the Army, up from $67.9 billion or +14.2% from FY 2018.

In FY 2019, the Navy is projected to receive $63.4 billion, up from $57.6 billion or +10.1% from FY 2018.

In FY 2019, the Air Force is projected to receive $61.4 billion, up from $58.2 billion or +5.5% from FY 2018.

Figures include Overseas Contingency Operations (OCO). Source: FY 2019 DoD Budget Request.

Military Personnel Expenses | FY2000-FY2019

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DoD MILPERS FY 2000 to FY 2017, FY2018 and FY 2019

As illustrated, the Army is expected to receive the most Military Personnel (MILPERS) funds in FY 2019 followed by the Navy, the Air Force, and Defense-Wide agencies.

In FY 2019, $63.7 billion in MILPERS funds are provided for the Army, up from $58.0 billion or +10.0% from FY 2018.

In FY 2019, the Navy is projected to receive $50.2 billion, up from $46.2 billion or +8.6% from FY 2018.

In FY 2019, the Air Force is projected to receive $39.0 billion, up from $35.6 billion or +9.4% from FY 2018.

Clearly, the Army relies heavily on manpower.

Figures include Overseas Contingency Operations (OCO). Source: FY 2019 DoD Budget Request.

MILCON, Military Construction Costs | FY2000-FY2019

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DoD MILCON FY 2000 to FY 2017, FY2018 and FY 2019

As illustrated, the Navy is expected to receive the most DoD funds for MILCON (Military Construction) in FY 2019 followed by Defense-Wide agencies, the Air Force, and Army.

In FY 2019, the Navy is projected to receive $3.0 billion, up from $1.6 billion or +79.8% from FY 2018.

In FY 2019, $2.3 billion in MILCON funds are provided for the Air Force, up from $2.2 billion or +5.2% from FY 2018.

In FY 2019, the Army is projected to receive $1.6 billion, up from $1.0 billion or +53.6% from FY 2018.

Army MILCON has been hit hard and was down a whopping 91.8% from the peak in FY 2009 until bottoming out in FY 2017.

Figures include Overseas Contingency Operations (OCO). Source: FY 2019 DoD Budget Request.

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