WASHINGTON — The U.S. budget deficit rose to $88.4 billion in May from $53 billion a year earlier, as government spending in areas such as Medicaid and defense rose at a faster pace than revenue.

Receipts from individual and corporate taxes rose 7 percent last month from May 2016 to $240 billion, the Treasury Department said Monday. Meanwhile, spending leaped 19 percent to $329 billion.

Tax revenue is rising, but at a slower pace than in previous years and by less than the Congressional Budget Office has forecast. That partly reflects slower growth in the economy and hiring. With the unemployment rate low, fewer workers are available to take open jobs.

That is widening the deficit at the same time the Trump administration has proposed steep tax cuts. The administration has also pushed for sharp reductions in spending, but Trump’s proposed budget depends on annual growth of 3 percent to balance over time. The economy expanded 1.6 percent last year and hasn’t grown 3 percent since 2005.

Meanwhile, the deficit has increased to $433 billion in the first eight months of this budget year from $405 billion last year.

Medicaid costs have risen 3 percent, partly because the Obama administration’s Affordable Care Act has brought more people in the program. Military spending jumped 17 percent in May but has been flat this year.

The government has also spent $35 billion more this year on interest on its debt, a gain of 14 percent, Treasury said.