Currently, over 42 million individuals, or about 12% of the US population, are relying on SNAP to afford groceries, but with the introduction of this One Big Beautiful Bill, many households may lose these benefits. This bill, passed by Congress in July 2025, will reduce federal spending on SNAP by $186 billion over 10 years estimated.
According to the experts’ report, expected that about 22 million households across the nation may lose their SNAP benefits. What follows is a breakdown of what’s happening and, more importantly, how it affects state and low-income Americans and how families should prepare.
How SNAP Cuts Will Affect States and Struggling Americans?
The new negotiation in the Budget has raised concerns over SNAP. Though there has been no official confirmation, the proposed measures can reshape the millions of Americans who receive food stamps. For a longer duration, SNAP has played a lifeline role for millions of low-to mid-income individuals and households across the nation. But with some recent deliberations and discussion in Congress, it is suggested to tighten the financial budget, which can lead to a benefit increase.
Almost all states receive the SNAP benefits as per their monthly schedule. SNAP, which works under the USDA (United States Department of Agriculture), has not issued any official confirmation for any reduced benefits or cuts in the adjustments, but staying alert with the new policies can help individuals and households cope with any deductions and losses. As per the resources, the new updates in the budget will soon be announced by the end of 2025, and both the federal and state agencies will release the official statement.
What Can Be Possible Changes Under the SNAP Cut 2025?
Some of the changes to the program include:
- Strict the Eligibility Criteria: This Bill can extend the working requirements of at least 80 hours per month of individuals aged between 18 to 64 years without dependents.
- Limitations on the Program Growth: If the food prices increase, it could reduce the purchasing power of individuals and households, which would automatically impact the purpose of the SNAP.
- Increase Hardship: It can impact the governing of the local and state bodies, as it requires more contribution towards the cost of the program, and administrative shifting.
Till now, there has been no confirmation yet regarding the implementation, but if any of these reforms are passed by the government, you will be notified by the USDA by late 2025.
How States’ Budgets Will Change?
The States may face a huge challenge in operating the SNAP, including how the benefits will be distributed and how the services will be rendered. Presently, the cost of managing SNAP is divided between the states and the central government. But under new reforms, starting in 2027, the state government would pay up to 75% of the administration cost for SNAP.
Formerly, the central government managed and funded all the program’s food costs, but beginning in the 2028 fiscal year, if states make any errors in managing SNAP, such as underpayments or overpayments, then they have to pay a proportion of the SNAP’s food costs.
Instead, all of these states will have more responsibilities since the OBBB shifts more Medicare costs to the residents of these states.
These reforms force a few states to make funding cuts for the SNAP and Welfare Assistance. Some states, such as Texas, have already cut summer launch programs for children with low income.
How Household Budgets Will Change?
If the changes are implemented, the Household Budgets may face a significant financial impact. The cuts in programs and strict working requirements are more likely to affect single and part-time employees with income in the bottom 20% and receiving up to 85% of total SNAP benefits.
According to the estimation, the individuals with low income who use SNAP to pay for 91% of their groceries limits limited to only 55% by 2034. That means that they have to use a higher share of their earnings on food, or may have to reduce their consumption of food.
Moreover, the households may have to use their savings or may depend on credit cards to pay for food. However, the individuals whose earnings are low a, face difficulties in getting a credit card, and they have the least savings.
These cuts in SNAP will force families to reduce spending on food items up to 8%, if they do not use their savings or get a credit card to pay for them. Once the change scam into effect, most of the low-income individuals will reduce spending on other things such as entertainment, purchasing vehicles, and having food from outside. Affected individuals will also shift their priorities, like how and from where to buy the food items.
Final Thoughts
Millions of Americans are facing the most difficult and uncertain times with the SNAP cut under the recent act, “One Big Beautiful Bill.” The individuals and households already embarking on SNAP should review all the recent news and updates. As the road ahead is quite shaky and uncertain, having knowledge and getting prepared can strengthen individuals and households ahead of the challenges. Collective measures can create a safety net for all those individuals who highly rely on the SNAP benefits.
Frequently Asked Questions
How will expanded work requirements affect recipients?
Work requirements will apply to more people, including those aged 55-64, parents with children over 14, veterans, and homeless individuals. Many may lose benefits if unable to comply.
How will states be impacted by the proposed changes?
States face increased financial strain with higher administrative costs and potential benefit cost-sharing. This could force cuts or higher taxes, especially during recessions.
How will the Thrifty Food Plan (TFP) be affected?
Cuts could involve freezing or rolling back TFP updates, reducing the purchasing power of SNAP benefits over time, and making healthy food less affordable.
What is the potential impact on food insecurity?
These changes are expected to increase food insecurity and hardship for low-income households across all states, potentially pushing more families into poverty.
