The DOGE is claiming to have saved up to $105 B until now, mostly canceling federal contracts and job cuts
Some of the job cuts have already been evident on some released data, but still very minimal and not to have any significant impact yet on a macro level
Challenger Job cuts announced government sector cuts of 62K highest on record
Initial claims for federal workers also increased significantly last week
Analysts say DOGE cuts will be insufficient and minimal because DOGE cannot cut spending authorized by Congress, and that DOGE’s true savings are likely around $2 billion–$10 billion, or 0.03%–0.2% of the federal budget.
Broader Fiscal Challenges:
Cutting 25% of federal employees would save only 1% of the budget
Eliminating USAID would save just 0.6% of spending
Payment error reductions* could yield *$100 billion
Social Security and Medicare are major cost drivers, as demographic shifts reduce the number of workers supporting retirees.