Mandatory spending refers to government expenditures that are required by law. This type of spending includes programs like Social Security, Medicare, and Medicaid, which provide essential services and financial support to eligible individuals. Unlike discretionary spending, which can be adjusted annually, mandatory spending is predetermined and continues unless legislation changes. The funding for mandatory spending is typically based on eligibility criteria rather than annual appropriations. As a result, it often accounts for a significant portion of the federal budget. Understanding mandatory spending is crucial for grasping how government resources are allocated and the impact on various social programs.