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  • Yizheng Wang

2020-21 California State Expenditures

The 2020-2021 Enacted Budget is $202 billion, including a $134 billion General Fund, $62 billion special funds, and $6 billion bond funds.


Source from California Budget 2020-21


The figure above tells us that the most significant portions of the total state expenditures flow to Health and Human Services (34.8%) and K-12 Education (24.6%). Other than that, the Transportation agency (9%) has the third-largest spending, followed by Higher Education (8.2%) and Corrections and Rehabilitation (7.9%).


With the highest base sales and income tax rate in the nation, the California state government collects $79 billion Personal Income Tax (43.6% of the 2020-21 total revenue) and $30 billion Sales and Use Tax (16.8%). With the COVID-19 pandemic, the actual number will be different. Instead of raising more tax which will force rich people to leave CA, why can the government think of more creative ways that are win-win for both poor and rich?


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