Those numbers are false. This is how it actually works. NATO’s “common funding” budget, the part of the alliance budget administered by its international civilian and military staff, is divided into three main categories:
• Civil Budget
• Military Budget
• NATO Security Investment Programme (for capital expenditures)
As NATO explains, “These are the only funds where NATO authorities identify the requirements and set the priorities in line with overarching Alliance objectives and priorities.”
Allies provide money for these three budget categories according to a two-year cost-sharing formula, based on each ally’s gross national income, meaning the wealthier members pay a proportionally bigger share.
According to the formula for 2016 and 2017 — the United States pays 22.14 percent (rounded to two decimal places; NATO is even more specific
on its website). Germany, which has been castigated by Trump, is the next biggest contributor, paying 14.65 percent, followed by France, which pays 10.63 percent, and the United Kingdom, which pays 9.85 percent.
For 2017, NATO’s total budget is roughly €2.18 billion, or $2.44 billion, divided as follows:
• Civil Budget: €234.4 million, or $262 million
• Military Budget: €1.29 billion, or $1.44 billion
• NATO Security Investment Programme: maximum of €655 million or $734 million
From here on, let’s keep the figures in U.S. dollars, just so it’s easier to follow in Washington.
According to the cost-sharing formula, the approximate total share of the wealthiest major allies (presuming NATO spends the maximum allowed on capital investments) for 2017 is:
• U.S. $540.32 million
• Germany $357.46 million
• France $259.46 million
• U.K. $240.3 million
On a per capita basis, that means Americans are paying far less than Germans, roughly $1.68 per person for the 2017 NATO budget. On a per capita basis, Germans are paying more than 2.5 times as much: $4.39 per person. (By this same math, the French are paying $3.88 per person, and Britons $3.69 per person.)
the U.S. spends far more than 2 percent of GDP on its own military is a sovereign decision that reflects its unique role as the world’s only superpower.
“It’s also about the US’s global reach and global responsibilities,” the NATO official said. “Because the U.S. has this global reach and global responsibility then of course the military defense expenditures are going to be very different from a country like Slovenia or Luxembourg.”