March 4, 2013

Sequestration refers to automatic spending cuts that total $1.2 trillion over 10 years, half of the cuts will come from domestic programs and the other half from defense. Mandatory spending programs like Medicaid, Social Security, SNAP (formerly known as the Food Stamp Program), and others are exempt from the cuts. The delay of Obamacare by two years is estimated to save tax payers between $175 and $200 billion, twice the savings achieved by the first year of sequestration.