BOSTON — Mayor Michelle Wu proposed a $4.9 billion budget for fiscal year 2027 on Monday, adding roughly $100 million in new spending even as the city tries to dig out of a $48.4 million deficit this year.

Wu called it the most restrained budget in nearly two decades. The numbers paint a more complicated picture.

The 2.1% spending increase is the smallest year-over-year jump since FY10 — the last time Boston was dealing with real budget trouble. But $100 million is still $100 million, and the bulk of it — $88 million — is going to Boston Public Schools, the same system that is about to hand pink slips to hundreds of teachers and classroom aides.

BPS is cutting more than 200 teaching positions, over 100 classroom aides, and an assortment of support and administrative staff under its new $1.72 billion budget — a 5.4% increase that is being eaten alive by healthcare, transportation, special education and union contracts.

Over at City Hall, nobody is getting laid off. Officials said vacant positions will stay unfilled, but no current employees are on the chopping block.

Police, fire and EMS, meanwhile, are getting funding for new recruit classes to backfill retirements and resignations.

The FY27 pitch landed just a week after Wu's Chief Financial Officer Ashley Groffenberger disclosed that the city blew past its budget this year by $48.4 million — thanks to two expensive winter storms and runaway public safety overtime.

Stack that on top of a $53 million shortfall at BPS, and Boston is looking at north of $100 million in combined red ink for the fiscal year that hasn't even ended yet.

To keep costs down next year, the administration struck a deal with city unions last month to restrict GLP-1 weight loss drug coverage on employee health plans — a move projected to save $10.6 million.

Health insurance may be the single biggest pressure point in the entire budget. Employee coverage costs are projected to spike by $97.3 million this year — nearly ten times the $10.6 million annual average over the previous eight years.

Wu also flagged the expiration of federal American Rescue Plan Act money, which had been propping up grant programs for small businesses, nonprofits, vacant storefronts and cultural organizations. That money is gone.

Tucked inside Wu's $4.4 billion five-year capital plan is $135 million for the White Stadium pro soccer overhaul in Franklin Park — a number that has nearly tripled from original estimates and sticks out in a budget built around the phrase "tough choices."

The city says it won't be dipping further into its roughly $1 billion rainy day fund to balance the books. Wu touted more than a decade of triple-A bond ratings as proof that Boston's finances are sound.

The teachers getting laid off might see it differently.