Definition: Expenditures that must go into the U.S. budget that are mandated by programs outside of the budgetary process. These include Social Security, Medicare, Medicaid as well as Income Support programs such as Food Stamps and Veterans Retirement programs.
Also Known As: Direct Spending, Entitlement Programs
Examples:
Mandatory spending within the U.S. budget will increase over the next ten years thanks to Social Security expenditures for retiring Baby Boomers.
