Summary
- One Big Beautiful Bill cuts SNAP by $186 billion.
- Nearly 3 million Americans lose SNAP benefits.
- Benefit increases capped to inflation, limiting growth.
- More work and state cost-sharing requirements set.
- Families will receive less food assistance money.
The Congressional Budget Office (CBO), a
nonpartisan federal organization that advises Congress on economic matters,
issued the findings.The final draft of the bill, which President Donald Trump
signed into law in July, is being examined for the first time by them.
CBO analysts examined the impact of the bill’s
numerous provisions on household resources over the next ten years, including
cash income and government assistance.
While some modifications will be phased in until 2028, others will take effect immediately.
Changes to job requirements in the Supplemental
Nutrition Assistance Program (SNAP) are expected to decrease participation
among the more than 40 million Americans who depend on the program, resulting
in an average monthly decrease of 2.4 million participants, according to CBO
analysts.
Another 300,000 people in an average month will
likely lose benefits starting in 2028, as lawmakers shift SNAP benefit costs
onto some states, but the CBO indicated those numbers depend on a lot of
variables.
“CBO expects that there will be a variety of state responses to the
new requirement,”
analysts wrote.
“Some states will maintain current benefits
and eligibility; others will modify benefits or eligibility or leave the
program altogether.”
According to CBO estimates, subsidies for child
nutrition programs will also decline for approximately 96,000 children in an
average month since SNAP eligibility is linked to other student benefits, such
as school and summer meals.
Lastly, the new law will result in reduced
average monthly payments since it requires that changes to the package that
supports SNAP benefits cannot increase costs. Average benefits will drop from
the previously projected $227 per month to $213 per month by 2034.
The agency also noted that while most American
households will see a gain in income owing to tax savings, the bill’s
combination of SNAP and Medicaid cuts will result in a fall of around $1,200
annually for the poorest American families.
How will the SNAP benefit reductions
specifically impact low-income families?
Many low-income families will face a significant
increase in food insecurity, meaning they will not have reliable access to
enough nutritious food for an active and healthy life.
Children in families experiencing SNAP cuts or
benefit reductions are particularly vulnerable, with higher risks of poor
health, developmental delays, and hospitalization.
Reduced SNAP benefits squeeze already tight
household budgets, forcing families to make difficult trade-offs between
essential needs like food, utilities, housing, and healthcare. Some families
experience a “cliff effect,” where even small increases in income lead to steep
cuts in benefits, paradoxically making them financially worse off.
