The administration under President Donald Trump has promised it won’t make cuts to Social Security, Medicare and Medicaid benefits. But the GOP budget plan appears to conflict with that notion.
On April 10, House Republicans narrowly passed a budget resolution that calls on the House Energy and Commerce Committee — which has jurisdiction over Medicaid — to cut $880 billion in programs it oversees over the next 10 years. In addition, the GOP wants the chamber’s Agriculture Committee, which manages the Supplemental Nutrition Assistance Program (SNAP), to find $230 billion in savings. Critics say achieving these budget goals would require deep cuts to these popular programs, which provide health care and food assistance to tens of millions of low-income Americans.
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In some parts of the country, such as Cuyahoga County in Ohio, the impact of cuts to these programs has the potential to be devastating.
“Medicaid and SNAP are the largest programs we run,” Kevin Gowan, head of Job and Family Services in the county, told News 5 Cleveland in a story published March 25. He noted up to 30% of the population uses Medicaid.
SNAP cuts could also devastate Ohioans, says Kristin Warzocha, President and CEO of the Greater Cleveland Food Bank. She told the broadcaster that the food bank served 424,000 unduplicated people in six counties last year alone.
“The last thing our country needs is cuts to SNAP,” she said to News 5 Cleveland.
A potentially dire situation
Roughly 72 million Americans were enrolled in Medicaid as of November. Meanwhile, an estimated 41 million people received SNAP benefits in fiscal year 2024. Given such high enrollment levels, cuts to both programs could have far-reaching consequences.
A reduction in SNAP benefits could leave millions of households without access to adequate food or nutrition. The Department of Agriculture reports a whopping 18 million households were food insecure at some point during 2023. And food insecurity impacted almost 18% of households with children that year.
Families removed from SNAP could lose a number of key benefits, including access to free or affordable school meals and the Summer EBT program, which can provide a subsidy to help feed children when school is not in session. Advocates also fear food programs not tied directly to SNAP could feel the ripple effects of any cuts.
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Meanwhile, cuts to Medicaid could result in millions of Americans losing access to critical care services. Low-income households unable to afford private insurance could find themselves plunged into an even deeper financial hole as they scramble to address health care needs as they arise.
Cuts to Medicaid and SNAP may also harm state economies, according to research from the Commonwealth Fund. Not only are employees who work for these programs at risk of losing their jobs, but the impact could trickle down to related businesses.
The Commonwealth Fund estimates that states’ gross domestic product (GDP) could be $95 billion smaller and total economic output lost would be about $157 billion, if Medicaid cuts come to life. SNAP cuts could cost states nearly $18 billion in GDP and total economic output could be $30 billion lower.
How to prepare for potential cuts
Although we don’t yet know the fate of Medicaid and SNAP, as well as how deep cuts might be, if you benefit from these programs it may be a good time to prepare an action plan.
Talk to your health care provider about medication assistance programs, and start researching marketplace health insurance plans to see if buying coverage is feasible. There may also be health clinics in your community that offer low-cost care or care on a sliding-scale basis tied to income.
At the same time, explore resources in your community for food access, whether it’s food banks, soup kitchens or programs run by local houses of worship. Local charities may also be able to provide assistance if you lose some of your food benefits.
You can also experiment with different ways to save money on food. That could mean taking advantage of a discount grocery store or turning to your local dollar store to load up on non-perishable supplies.
Finally, do your best to cut back on spending to free up more money for essential needs like food and health care. It may not be easy to do, as you may already be on a tight budget. But a close examination of your expenses might reveal a few small opportunities to cut back.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.