Biden's budget is for the next ten years. He estimates that adjustments to government programmes will generate an additional $4.7 trillion in tax revenue and $800 billion in savings. Biden also wants an additional $2.6 trillion in expenditures. That leaves him with an estimated $2.9 trillion in deficit reduction.



 

When he developed his budget, the president stressed economic restraint, presenting Republicans as unconcerned about getting the country's finances in order. Republicans have argued Biden's plan is insufficient, but they have not published their own plans.

Biden frequently talks about making companies and the wealthy "pay their fair share," and the budget is designed to further that goal.

The president wants a 25% tax on the richest 0.01% of Americans. The White House calls this a "minimum tax on billionaires." The idea is designed to extract more revenue from income that isn't derived from salaries, ending what the administration describes as "special treatment" and "giant loopholes."

Biden also wants to reverse tax cuts implemented by his predecessor, former President Donald Trump. Those earning more than $400,000 per year, for example, would pay a high tax rate of 39.6% once again.

In addition, the budget proposal would address the "carried interest" loophole, which permits affluent hedge fund managers and others to pay reduced taxes.