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Navy's FY 2024 Budget: A Look at the Key Priorities

Navy’s FY 2024 Budget: A Look at the Key Priorities

Department of Navy spending for the fiscal year 2024 has a requested budget of $255.8 billion, an addition of $11.0B (4.5%) from the final budget for FY 2023, including supplementary funds. PB24 reinforces the core principles of national defense, such as integrated deterrence, campaigns, and actions that build lasting benefits.


FY2024 U.S. Navy Spending Top Priorities

FY2024 U.S. Navy Spending Top Priorities


1. Military Construction and Family Housing


  • Share Percentage: 2.7%
  • FY2024 Budget: $6.8 Billion


Let’s start with Military Construction, which consumes 2.7% of DON’s PB24. PB24 enables the U.S. Navy to operate various vessel, aviation, and ground combat training, operations, and maintenance facilities cost-effectively. At the same time, it helps grow the forward position and improve maritime dominance.


For Fiscal Year 2024, the Department requests $6.1 billion to fund 35 military construction baseline projects. It includes 19 Active Navy, 14 Active Marine Corps, and 2 Reserve Marine Corps. On the other hand, Family Housing supports two construction initiatives, maintaining the 8,530 government-owned homes and 1,659 leased units, and provides planning and design services for developments in Guam, Japan, and Washington, DC. 


The budget allocated for military construction and family housing will be divided into the following areas:

  • 88.3% Military construction
  • 9.4% Family housing
  • 1.6% Base realignment and closure (BRAC)
  • 0.8% Construction reserve


These projects include the modernization of new platforms, outdated facilities, child development centers, the Shipyard Infrastructure Optimization Plan (SIOP), and safety and environmental compliance. SIOP will upgrade and develop new dry docks, remodel shipyard layouts, and replace outdated capital equipment with current machines to create efficient and modern shipyards. Implementing SIOP will benefit the Navy’s four shipyards and support the existing and coming submarines and aircraft carriers. 


2. Research, Development, Test and Evaluation

Research, Development, Test and Evaluation
Photo by Tverdokhlib from Shutterstock


  • Share Percentage: 10.5%
  • FY2024 Budget: $26.9 Billion


The DON’s FY 2024 Research, Development, Test and Evaluation, Navy or RDT&E, N, budget funds development, deployment, and capabilities throughout all combat areas for the future force. Science and technology (S&T) research is crucial since it provides capabilities for innovations in aviation, weapons, shipbuilding, and expeditionary equipment.


Here is the scope of the RDT&E, N budget:

  • 36% Advanced component development and prototypes
  • 26% System development and demonstration
  • 23.6% Operational System Support
  • 10% Science technology
  • 4.3% Management support
  • 0.1% Software pilot programs


After the S&T phase, R&D is crucial to large acquisition programs. It includes the Columbia class ballistic submarine program, reinvesting in the U.S. Navy’s strategic nuclear deterrence. Other primary investments under this R&D effort are aircraft, electromagnetic warfare, submarines, logistics vessels, unmanned systems, and cyberspace warfare. Moreover, the budget also prioritizes the rapid advancement of the Navy Laser Family of Systems (NLFoS) to equip Navy vessels with laser weapons to protect them from threats.


The Marine Corps RDT&E budget also supports Force Design 2030. It allows for ongoing investments in modernization and development, such as Marine Littoral Regiments development and Indo-Pacific region support.


3. Military Personnel


  • Share Percentage: 23.7%
  • FY2024 Budget: $60.6 Billion


The requested $60.6 billion fund for the Military Personnel in FY2024 includes funding for 347,000 Navy active duty end strength and 172,300 Marine Corps personnel. It also provides funding for 57,200 Navy Selected Reservists and 33,600 Marine Corps Selected Reserve personnel. The budget also helps the armed forces and their families while fostering values like cooperation and emphasizing education.


The total budget for the Military Personnel will be divided into the following areas:

  • 48.5% Active pay
  • 17.7% Housing
  • 13.1% Retirement pay
  • 5.9% Health Assistance
  • 5.6%Reserve pay
  • 4.1 Subsistence
  • 2.7%Special pay
  • 2.4% PCS


Included in the FY2024 budget submission is the additional funding for Sexual Assault Prevention and Response (SARP) and the $20 million for virtual mental health assistance. The U.S. Navy is still evaluating its educational approach, seeking a better balance between force development in the future, readiness in the present, and training for future conflicts.


4. Procurement

U.S. Navy Headquarters
Image from the San Diego Business Journal


  • Share Percentage: 30.1%
  • FY2024 Budget: $76.9 Billion


Maintaining U.S. naval superiority is critical for overcoming threats and challenges. For procurement, the department has $76.9 billion, divided into the following expenditures:

  • 42.7% Shipbuilding and conversion
  • 22.6% Aircraft 
  • 18.9% Other procurement
  • 8.9% Weapons
  • 5.2% Marine Corps procurement
  • 1.7% Ammunition


The 2024 budget for procurement includes nine battle force ships. The $17.3B requested in PB24 is for aircraft acquisition and includes funds for 88 planes in addition to modifications, spares, and supporting gear. 


5. Operation and Maintenance


  • Share Percentage: 33.1%
  • FY2024 Budget: $84.6 Billion


The Navy and Marine Corps create and deploy coordinated, all-domain naval preparations to safeguard our country, allies, and the economy. The 2024 operation and maintenance budget increased 3.8% from 2023. It occupies the most significant percentage of PB24, 33.1%, amounting to $84.6 billion.


Here are the designations of the operation and maintenance funds:

  • 26.4% Ship operations
  • 24.7% Aviation operations and expeditionary
  • 20.3% Support for the Navy’s base operations
  • 13.8% Combat weapons maintenance and support
  • 7.8% Service support
  • 4.7% Education and training
  • 2% Mobilization
  • 0.4% Environmental restoration

The fund also supports the training of the Navy and Marine aviation units, CSGs, and ARGs against possible emerging threats.


About Department of the Navy

Department of the Navy
U.S. Navy Seal from Wikimedia, licensed under public domain


The United States Navy is the forward-deployed military of the country and a vital deterrent against enmity above and below the water. To win hostilities and wars while ensuring security and deterrence via persistent forward presence, the U.S. Navy will recruit, educate, prepare, and deploy to provide combat-fit Naval forces.


Answers to some of the frequently asked questions about the federal spending on the Department of Navy:

What country spends the most on the Navy?

In 2022, the United States spent 877 billion U.S. dollars on its military, making it the country with the most funds spent on the military. That was almost 40% of all the money spent on the military worldwide that year, according to Statista.


What is the Navy budget 2023?

The estimated federal budget for Operation and Maintenance, Navy (O&M,N) FY 2023, which is $66,152 million, includes a $2,500 million price rise. The DON’s priority for this FY 2023 defense budget spending is to secure the safety of the Nation, assist the citizens, and achieve success through cooperation.


How much does the U.S. federal government spend on the military?

Spending on the military covers roughly half of all discretionary funds and 12% of total federal spending.



You may read here to learn more about the Department of Navy and its list of ranking in orders.

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