Paul Ryan is set to unveil his new budget proposal Tuesday (creative commons)

The former Republican vice presidential nominee will unveil his budget proposal for the coming year on Tuesday and told “Fox News Sunday” that the plan will balance the budget in the next decade while saving the U.S. $5 trillion.

Ryan’s plan counts on the Democratic senate joining the House Republicans in repealing the health care law, which is set to be put into action next year. Assuming that occurs, the budget plan is to take the money allotted for expanding Medicaid, to provide more insurance to low-income people, and give it to states as grants to provide their own coverage. According to Ryan, this would save $770 billion in 10 years.

"The House wants to give the states the tools they are asking for to create programs to make these benefits work for their populations,” Ryan said.

The Wisconsin Representative also plans to reform the federal Food Stamp program to make sure only qualified applicants are receiving benefits and give Medicare recipients, younger than age 55, the option of purchasing private insurance with a government subsidy instead of the traditional Medicare plan.

Ryan’s budget plan attempts to reach a balance by slowing the rate of federal spending from 4.9 percent to 3.4 percent and comes on the heels of President Obama’s outreach to him and other Republican congressman.

Though past attempts to repeal the President’s health care law have failed, Ryan is confident that his budget proposal is what American’s will side with.

“We think we owe the American people a balanced budget,” Ryan said.