Question

Were Social Security and Medicare the largest contributors of revenue for the federal government in Fiscal Year 2019? Explain.
A. No, because individual income taxes contributed about $1.718 trillion in Fiscal Year 2019 while Social Security and Medicare taxes only contributed $1.242 trillion.
B. Yes, because Social Security and Medicare taxes made up more than 50% of the revenue in Fiscal Year 2019 with $1.718 trillion.
C. No, because corporate income taxes contributed about $1.242 trillion in Fiscal Year 2019 while Social Security and Medicare taxes only contributed $230.2 billion.
D. Yes, because Social Security and Medicare taxes contributed about $1.542 trillion in Fiscal Year 2019 while individual income taxes only contributed $1.518 trillion.

Answer 1

A. No — individual income taxes were the largest source in FY2019. Individual income tax receipts were about $1.718 trillion, while Social Security and Medicare (payroll/social insurance) taxes totaled about $1.242 trillion, so payroll taxes were second-largest, not the largest.