Thanks to President Trump’s One Big Beautiful Bill, cuts to the federal Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program, have now gone into effect.
With these cuts, an estimated 2.4 million Americans in an average month will lose their food stamp benefits, according to the Congressional Budget Office [1].
Must Read
- Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don’t have to deal with tenants or fix freezers. Here’s how
- I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
- Dave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake — here’s what it is and 3 simple steps to fix it ASAP
Making matters worse, Urban Institute found that these cuts would mean 22.3 million U.S. families will lose some or all of their SNAP benefit, which provides basic food assistance to more than 40 million Americans in a typical month.
Urban Institute’s research also found that, of the 22.3 million affected families, 5.3 million families would lose at least $25 per month in benefits — and for those families, the average lost benefit would be around $146 per month, or $1,752 per year [2].
According to the White House, these cuts will ensure that SNAP will “serve the truly needy.”
“The mission of the program has failed,” according to an article published by the White House. “SNAP was intended to be temporary help for those who encounter tough times — we are strengthening this program to serve those who need it most [3].”
The impact on grocers
According to CNBC, independent grocers will feel a big impact from these cuts.
While some grocers see only about 1% of sales coming from SNAP, the program accounts for up to 70% of sales for others. The National Grocers Association — which represents independent and small chain grocery stores that comprise one-third of the U.S. grocery industry — says SNAP makes up 12% of U.S. grocery sales, and the cuts could impact anywhere from 6%-10% of those sales [4].
Meanwhile, some experts predict that large retailers may actually benefit from the cuts. Many shoppers who frequent stores like Target and Costco are expected to seek out lower-cost grocers, and big retailers like Walmart — which offer lower prices because of their purchasing power — stand to benefit.
As SNAP recipients find themselves with less money to spend on food, they’ll likely be forced to search for ways to save on food costs. CNBC noted that the SNAP cuts will likely have a negative effect on the health of those who rely on this program, as many may be forced to keep their costs down by purchasing cheap, unhealthy food.
A poor diet is linked to significant health costs, including $50 billion per year in treating cardiometabolic diseases across the country. A poor diet is also linked to roughly 18 percent of all heart disease, strokes and Type 2 diabetes costs in the U.S. [5].
Read more: Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
How to budget for SNAP cuts
If your family will be affected by cuts to the SNAP program, here are some strategies to make your food budget go further every month:
- Changing how much meat your family eats can be one way to adapt. High-protein vegetarian options such as tofu and legumes (beans, chickpeas and lentils) can help stretch your budget
- Make a meal plan, shop with a grocery list, and cook in batches so you can freeze portions and have food ready for the week
- Ensure you take enough time in your week for meal planning and prepping. When you run short on time, you’re more likely to turn to ready-made options, which can be less cost effective and often less nutritious
- Buy meat on sale and in bulk. After that, cut the meat into portions and label them with dates before putting these portions into the freezer
- Look into loyalty programs for different grocers, keep an eye on weekly flyers for special deals, and try out a couponing app like Flipp or Ibotta to find further discounts on your weekly groceries
When budgeting isn’t enough
If you’re still not able to access enough food because of cuts to your SNAP benefits, there may be other programs in your area that can help.
Food banks are an option that can help bridge the gap. You may no longer qualify for the same amount of SNAP benefits, but that doesn’t mean you won’t qualify for food bank assistance.
State and local programs are another potential option. For example, some states have a SNAP enhancement called Double Up Food Bucks that will match SNAP dollars spent on fresh produce [6]. Talk to your local SNAP-Ed office or human services department about what programs may be available in your area.
Your community may also have programs that address food insecurity such as community gardens, neighborhood fridges and food-sharing programs.
What to read next
- The ‘Oracle of Wall Street’ who predicted 2008 crash sees trouble in US housing — and says boomers aren’t as rich as many think. Why that’s a problem
- There’s still a 35% chance of a recession hitting the American economy this year — protect your retirement savings with these 5 essential money moves ASAP
- This tiny hot Costco item has skyrocketed 74% in price in under 2 years — but now the retail giant is restricting purchase. Here’s how to buy the coveted asset in bulk
- Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it
Join 200,000+ readers and get Moneywise’s best stories and exclusive interviews first — clear insights curated and delivered weekly. Subscribe now.
Article sources
At Moneywise, we consider it our responsibility to produce accurate and trustworthy content people can rely on to inform their financial decisions. We rely on vetted sources such as government data, financial records and expert interviews and highlight credible third-party reporting when appropriate.
We are committed to transparency and accountability, correcting errors openly and adhering to the best practices of the journalism industry. For more details, see our editorial ethics and guidelines.
[1]. Congressional Budget Office. “Estimated Effects of Public Law 119-21 on Participation and Benefits Under the Supplemental Nutrition Assistance Program”
[2]. Urban Institute. “How the Senate Budget Reconciliation SNAP Proposals Will Affect Families in Every US State”
[3]. The White House. “Myth vs. Fact: The One Big Beautiful Bill”
[4]. CNBC. “A historic change in how Americans buy groceries is underway as SNAP benefit cuts begin”
[5]. PLOS Medicine. “Cardiometabolic disease costs associated with suboptimal diet in the United States: A cost analysis based on a microsimulation model”
[6]. Food Connect Group. “8 Ways To Stretch Your SNAP Money If Benefits Were To Ever Get Cut”
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.