A new law signed on July 4, 2025, has frozen food stamp benefits for millions of American families. The One Big Beautiful Bill Act stops the government from increasing SNAP benefits beyond basic inflation adjustments until at least October 2027.
This change affects 42 million Americans who depend on the Supplemental Nutrition Assistance Program to buy groceries. The law puts strict limits on something called the Thrifty Food Plan, which decides how much money families get each month for food.
The government can no longer update food stamp amounts based on what food actually costs at stores. Instead, benefits will only go up by small inflation amounts each year. This means families won’t get help when grocery prices jump or when healthy food becomes more expensive.
What This Means for Families:
- Food stamps will stay at current levels with only tiny yearly increases for inflation
- The government cannot study real food costs and raise benefits until 2027
- Even in 2027, any changes must be “cost-neutral” – meaning benefits cannot increase
- 99 percent of counties already have meal costs higher than maximum SNAP benefits
Right now, food stamps don’t cover what meals actually cost in almost every part of America. Families face a monthly shortfall of about $53 when trying to buy enough food. In more than half of all counties, meals cost at least 50 cents more per meal than what food stamps provide.
This problem hits nearly 40 percent of SNAP recipients who get maximum benefits. These are often working families, seniors, and families with children who already struggle to afford groceries.
Why This Matters Now: Food prices have jumped 23.6 percent higher since 2020. But the new law prevents the government from helping families keep up with these rising costs. Experts say this will force millions of people to buy cheaper, less healthy food or go hungry. Meanwhile, 12 states are planning to ban junk food purchases with SNAP starting in 2026, adding more restrictions on what families can buy.
The last time the government properly updated food stamp amounts was in 2021. That was the first real update since 1975 – a gap of 46 years. When officials finally reviewed the program, they found benefits needed to increase by 21 percent just to cover basic food costs.
That 2021 update made a huge difference. It lifted 2.9 million people out of poverty and helped families in 96 percent of counties afford meals. The increase also kept another 2.3 million people above the poverty line.
Now, the new law stops similar updates from happening. The government must still study food costs every five years as required by the 2018 Farm Bill. But even if the research shows families need more help, officials cannot increase benefits.
Looking Ahead: Child nutrition advocates and hunger relief organizations worry this freeze will hurt American families for years. As food costs rise, dietary guidelines change, and healthy eating becomes more expensive, food stamp benefits will fall further behind.
Studies show that every dollar spent on SNAP generates up to $1.50 in economic activity during tough times. The program doesn’t just feed families – it helps local grocery stores, farmers, and communities. By limiting benefits, experts say the new law could hurt both families and local economies.
For millions of Americans receiving food assistance, this means making tough choices between paying bills and buying groceries. Urban areas with high food costs and rural communities will feel the impact most as the gap between benefits and actual food prices continues to grow.
Related concerns: Food assistance programs face additional challenges. Recent government shutdown threats have put WIC benefits at risk, creating more uncertainty for pregnant women, new mothers, and young children who depend on nutrition assistance.
