Federal Government Wasted Almost $200 Billion on Improper Payments
Airfind news item
By Michael Austin
Published on May 4, 2026.
The federal government spent $186 billion on improper payments in the last fiscal year, marking an increase in reported levels. The Government Accountability Office stated that the $186bn was due to overpayments, fraud, or other causes. An additional $24 billion in improper payments from fiscal year 2024 was primarily driven by programs that reported improper payments for fiscal year 2025 but did not report the previous year. The improper payments were reported from 64 programs across 15 agencies. Nearly three-quarters of the improper payments came from five areas: Medicare, Medicaid, the Earned Income Tax Credit, the Supplemental Nutrition Assistance Program, and the Shuttered Venue Operators Grant. The $186b figure does not even represent the total amount of improper payments made by the federal government.
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