Medicare is the program most heavily affected. It could receive a maximum 4 percent cut, equaling roughly $25 billion of the $150 billion per year that would have to be cut from mandatory programs.
Programs that could be entirely cut out of the budget include:
- Vocational Rehabilitation Basic State Grants;
- The Affordable Housing Program;
- The Social Services Block Grant (which includes Meals on Wheels);
- The Commodity Assistance Program;
and many other programs such as farming support programs.
Medicaid and Social Security are EXEMPT from PAYGO - but the programs would be vulnerable to political pressure to cut spending because of loss revenues from tax cuts.