In fiscal year (FY) 2017, total Medicaid spending was $605 billion. Of this amount, $375 billion was federal spending and $230 billion was state spending. This represents 16.9 percent of U.S. health care spending (2016) and 9.4 percent of federal outlays (FY 2017). Medicaid pays for approximately 42 percent of all long-term services and supports in the U.S., and approximately 24 percent of mental health and substance use disorder services.

Go to our MACStats data book for the most recent detailed data on spending including trends and information broken out by state and eligibility group.

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Featured publications

Medicaid Drug Spending Trends

February 2019 | ,

In fiscal year (FY) 2017, Medicaid spent approximately $64.0 billion on outpatient prescription drugs and collected $34.9 billion in rebates, bringing net drug spending to $29.1 billion—or about 5.1 percent of total Medicaid benefit spending. This fact sheet lays out various trends in Medicaid prescription drug spending from FYs 2014 to 2017.

Mandatory and Optional Enrollees and Services in Medicaid

June 2017 |

Chapter 1 responds to a request from the chairmen of the U.S. Senate Committee on Finance, the House Energy and Commerce Committee, and the Energy and Commerce subcommittees on Health and Oversight and Investigations for an in-depth look at Medicaid coverage of optional eligibility groups and benefits and the resources associated with them. MACPAC’s analysis […]

Trends in Medicaid Spending

June 2016 |

Chapter 1 examines national Medicaid spending trends through a variety of lenses, comparing the growth in Medicaid spending as a share of national health expenditures and federal and state budgets. The chapter also examines the components of spending growth. Medicaid is growing as a share of federal and state budgets and as a share of […]