The Trump administration’s FY 2019 budget proposal laid out a set of priorities. To pay for these initiatives, the FY 2019 defense budget rose 14 percent above the FY 2017 level. The Congress generally endorsed the administrations approach. However, the choices showed that there is no escaping the tradeoff among readiness, modernization, and force structure. This study examines the changes in the FY 2019 budget for each of the military services, DOD civilians, and contractors, how the budget shapes the forces, and the challenges ahead for building and maintaining the forces needed to implement the administrations stated strategy.