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Understanding the Budget Process in Congress

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How government worksApr 12, 2026
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Start with a question

Ever wonder how the government decides where to spend money each year? The budget process in Congress shapes many parts of daily life.

In brief

The budget process in Congress is how lawmakers plan and approve government spending and revenue for the upcoming year. It involves proposals, reviews, and agreements to allocate funds to different programs and services.

Why this matters

Each year, the budget process begins with the President submitting a budget proposal to Congress. Congress then reviews this proposal through committees, primarily the House and Senate Budget Committees. They create budget resolutions that set spending limits but do not allocate funds directly. Appropriations committees follow by deciding the exact amounts for various government departments and programs. Both chambers must agree on the final budget, which is then sent to the President for approval. This process ensures that government spending aligns with priorities and available resources, impacting everything from education and defense to infrastructure and social services.

A simple example

For example, if Congress decides to increase funding for public schools, the appropriations committees will allocate more money to education programs in the budget. This decision affects how many teachers can be hired or what resources schools receive.

Questions to think about

  • Why do you think it is important for Congress to control government spending?
  • How might disagreements in Congress affect the budget process?
  • What are some challenges in balancing government spending and revenue?

Try this

Imagine you are a member of Congress responsible for deciding the budget for three areas: healthcare, education, and transportation. You have 100 points to distribute among these areas based on what you think is most important. How would you allocate your points and why? Discuss your choices with a partner or write down your reasoning.

One thing to take away

What is one step in the budget process in Congress and why is it important?

Story bridge

Story bridge

Imagine traveling through time to witness how different governments in history managed their resources and budgets. You see how decisions about money shaped the lives of people and the future of nations. Now, you return to understand how today’s budget process in Congress continues this important tradition.

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