Shrinking Wallets
Cuts to SNAP will strip benefits from more than 22.3 million American households, costing the neediest families hundreds of dollars each year. These reductions translate directly into fewer grocery dollars, forcing many to choose between essentials.
The $186 Billion Hit
President Trump’s budget, signed on July 4, imposes a $186 billion cut to SNAP over ten years. This measure sits alongside $4.5 trillion in tax cuts and aid for farmers, making it the largest reduction to the nation’s primary food‐assistance program in history.
What Is SNAP?
The Supplemental Nutrition Assistance Program provides grocery funds to over 40 million low-income Americans—primarily older adults, people with disabilities, and families with children. Fully federally funded today, it acts as a vital safety net against hunger.
Cost-Shifting to States
Beginning in 2028, states will be on the hook for a share of SNAP benefit costs and an increased portion of administrative expenses. What was once purely a federal expense will become a line item in state budgets, squeezing already tight resources.
Error Rates Determine Costs
Each state’s new contribution depends on its SNAP payment-error rate. States with errors under 6 percent will keep full federal funding for benefits, while those with higher rates could pay up to 15 percent of benefit costs—and 75 percent of admin costs.
Budget Strains
Unlike the federal government, most states must balance their budgets to the penny and cannot run deficits. Covering additional SNAP costs will likely force cuts to other social-service programs or lead to tighter eligibility rules.
The Error Spiral
Underfunded SNAP offices risk making more payment mistakes—raising their error rates and, consequently, their required cost-sharing. This vicious cycle could exacerbate both state budget pressures and benefit inaccuracies.
Economic Insulation Lost
Analysts warn that weaker SNAP support will leave nearly 900,000 more Americans vulnerable to poverty during a downturn. SNAP’s role as an “economic multiplier”—keeping grocery stores and suppliers afloat—is jeopardized when funding falls.
Real-World Consequences
An estimated 5.3 million families will see their benefits cut by an average of $146 per month, with lows of $25. Working poor, gig-economy participants, and parents juggling irregular hours may find themselves unable to meet the new thresholds, leading to deeper hardship.
