The One Big Beautiful Bill Act, signed into law on July 4, 2025, makes sweeping changes to SNAP, Medicaid, and ACA benefits starting in late 2025 and rolling through 2028. The most immediate changes include expanded SNAP work requirements for adults ages 18 to 64 (previously capped at 54), new Medicaid work requirements of 80 hours per month, more frequent Medicaid renewals every six months, and a shorter ACA open enrollment window. If you receive any federal benefits, use our free benefits screener to check how these changes affect your eligibility.
What Is the One Big Beautiful Bill Act?
The One Big Beautiful Bill Act (also called OBBBA or House Resolution 1) passed the U.S. House of Representatives on May 22, 2025, and was signed into law by President Trump on July 4, 2025. It is a budget reconciliation bill that cuts approximately $187 billion from SNAP and makes significant reductions to Medicaid over the next decade. Changes take effect on a rolling timeline from December 2025 through October 2028.
What SNAP Changes Are in the One Big Beautiful Bill?
The law makes three major changes to the Supplemental Nutrition Assistance Program (SNAP, commonly called food stamps):
Expanded Work Requirements
Adults ages 18 to 64 who are considered "able-bodied" must now work, volunteer, or participate in job training for at least 80 hours per month (20 hours per week) to keep SNAP benefits. Previously, work requirements only applied to adults ages 18 to 54.
Groups that previously had exemptions but now must meet work requirements:
- Adults ages 55 to 64
- Parents whose children are all ages 14 to 18
- Veterans
- People experiencing homelessness
- Youth aging out of the foster care system
Who Is Still Exempt from SNAP Work Requirements?
You do not have to meet SNAP work requirements if you are:
- Pregnant or living with a child under age 14
- Physically or mentally unable to work
- Enrolled at least half time as a student
- Working 30 or more hours per week already
- Caring for an incapacitated person
- Receiving unemployment benefits
- Participating in a substance use treatment program
- A member of a federally recognized tribe or eligible for Indian Health Services
Changes to Utility Allowance Calculations
Previously, any household receiving more than $20 annually in energy assistance (such as HEAP) automatically qualified for the Standard Utility Allowance (SUA). Under the new rules, only households with an elderly or disabled member get this automatic qualification. All other households must now submit actual utility bills as proof.
SNAP Work Requirements Timeline
| Date | What Happens |
|---|---|
| December 1, 2025 | Most states begin enforcing expanded work requirements |
| February 1, 2026 | Additional states begin enforcement |
| March 1, 2026 | Proof of employment or exemption due for most recipients |
| May 1, 2026 | Recipients who have not proven compliance lose benefits after 3 months |
What Counts as "Work" for SNAP?
You can meet the 80 hours per month requirement through any combination of:
- Paid employment (any type)
- Unpaid volunteer work or community service
- Job training or approved work programs
- Earning at least $580 per month (equivalent to 80 hours at federal minimum wage of $7.25/hour)
- Enrollment in school at least half time
What Medicaid Changes Are in the One Big Beautiful Bill?
Medicaid faces the most complex set of changes under the new law. Here is every major change and when it takes effect.
Medicaid Changes Timeline
| Effective Date | Change |
|---|---|
| Now | Ban on federal funding for gender transition procedures |
| January 1, 2026 | Deadline for states to adopt Medicaid expansion for higher federal match |
| December 31, 2026 | Six-month eligibility renewals begin for expansion adults |
| January 1, 2027 | Work requirements take effect (states may start earlier) |
| FY 2027 | States must verify enrollee addresses from approved sources |
| FY 2028 | 10% federal match cut for states covering undocumented residents |
| FY 2028 | Quarterly death-master file reviews required |
| October 1, 2028 | New out-of-pocket costs for expansion adults above 100% FPL |
| FY 2030 | Monthly SSN cross-checks via CMS central database |
Medicaid Work Requirements: Who Must Comply?
Starting January 1, 2027 (or earlier if your state opts in), adults ages 19 to 64 in the Medicaid expansion group must complete at least 80 hours per month of:
- Paid work
- Community service or volunteer work
- A combination of work and volunteering
- Half-time enrollment in school
- Earning at least the state minimum wage equivalent for 80 hours
You are exempt from Medicaid work requirements if you are:
- Age 65 or older, or under 19
- Pregnant or recently gave birth (up to 12 months postpartum depending on state)
- Receiving SSI or considered disabled, medically frail, or seriously ill
- A parent or caregiver of a child age 13 or younger, or a person with a disability
- A veteran with a total disability rating
- A member of a federally recognized tribe or eligible for IHS
- Currently or recently incarcerated (within the last 3 months)
- Living in a county with a declared disaster or unemployment above 8%
- Participating in a substance use treatment or rehab program
More Frequent Medicaid Renewals
Starting December 31, 2026, adults covered under Medicaid expansion must renew their eligibility every six months instead of once per year. States may choose to implement this earlier. If you miss a renewal deadline, you could lose coverage.
Exempt from six-month renewals:
- Adults age 65 and older or children under 19
- People receiving SSI or considered disabled
- Pregnant individuals or those who recently gave birth
- Parents or caregivers of a child age 13 or younger or a person with a disability
- People eligible under pre-expansion rules (income at or below 100% FPL)
New Out-of-Pocket Costs Starting October 2028
Starting October 1, 2028, Medicaid expansion adults ages 19 to 64 with household income above 100% of the federal poverty level will face new copays:
| Service Type | Cost |
|---|---|
| Primary care visits | No fee |
| Mental health and substance use treatment | No fee |
| Preventive services (vaccines, screenings) | No fee |
| Community clinic or rural health center visits | No fee |
| Specialist visits, procedures, non-primary care | Up to $35 per visit |
| Prescription drugs | Subject to separate federal limits (lower than visit costs) |
| Monthly premiums or enrollment fees | Not allowed |
| Total household cap | Cannot exceed 5% of monthly or quarterly income |
How Does the One Big Beautiful Bill Change ACA Health Insurance?
The Affordable Care Act marketplace also faces significant changes:
- Shorter open enrollment: The enrollment window shrinks to November 1 through December 15 (previously ran through January 15)
- No special enrollment for low income: Special enrollment periods based solely on low income are eliminated
- Income verification for re-enrollment: Anyone renewing a plan with premium tax credits must verify income, residence, immigration status, health coverage status, and family size
- No automatic re-enrollment from bronze to silver plans: This could increase premiums and cost-sharing for some enrollees
2026 Federal Poverty Level Guidelines for Benefits Eligibility
These income levels determine eligibility for most programs affected by the One Big Beautiful Bill:
| Household Size | 100% FPL (Annual) | 138% FPL (Medicaid Expansion) | 130% FPL (SNAP Gross Income) |
|---|---|---|---|
| 1 | $15,650 | $21,597 | $20,345 |
| 2 | $21,150 | $29,187 | $27,495 |
| 3 | $26,650 | $36,777 | $34,645 |
| 4 | $32,150 | $44,367 | $41,795 |
| 5 | $37,650 | $51,957 | $48,945 |
| 6 | $43,150 | $59,547 | $56,095 |
Note: FPL amounts are approximate for 2026. Alaska and Hawaii have higher thresholds.
How to Protect Your Benefits: Step-by-Step Action Plan
If you currently receive SNAP, Medicaid, or ACA marketplace coverage, take these steps now:
- Check your eligibility status using our free benefits screener to see which programs you may still qualify for
- Update your contact information with your state benefits office so you receive all notices
- Create an online account with your state benefits portal to track your case
- Gather proof of work or exemption including pay stubs, volunteer hour logs, school enrollment letters, or medical documentation
- Submit documentation before your next renewal and do not wait for a notice to arrive
- Sign up for text or email alerts from your state agency to avoid missing deadlines
- Track your hours if you work part time, volunteer, or participate in training programs
- Keep copies of everything you submit to your state office
What Happens If You Lose Benefits Under the New Rules?
If you lose SNAP benefits: You can regain eligibility by working 80 or more hours over 30 consecutive days, qualifying for an exemption, or waiting until the three-year limit resets.
If you lose Medicaid: You will receive a 30-day notice to explain your situation or fix the issue. If you do not respond or do not qualify as exempt, coverage ends the following month. You can reapply, but there may be a gap in coverage.
If you miss ACA enrollment: With the shorter window ending December 15, missing the deadline means you may have to wait until the next open enrollment period unless you experience a qualifying life event.
Frequently Asked Questions
Does the One Big Beautiful Bill eliminate SNAP or Medicaid?
No. The law does not eliminate either program. It adds new work requirements, changes eligibility rules, and reduces federal funding, but both SNAP and Medicaid continue to operate. Approximately $187 billion in SNAP cuts and significant Medicaid reductions are spread over 10 years.
When do the SNAP work requirement changes start?
Most states began enforcing expanded SNAP work requirements on December 1, 2025. Some states started in February 2026. By March 1, 2026, most recipients must submit proof of compliance at their next recertification.
Can I lose my Medicaid if I do not work?
Starting January 1, 2027 (or earlier if your state opts in), non-exempt adults ages 19 to 64 in the Medicaid expansion group must work 80 hours per month. If you do not meet this requirement and are not exempt, you will receive a notice and have 30 days to respond before losing coverage.
Are seniors affected by these changes?
Yes. SNAP work requirements now apply to adults up to age 64 (previously age 54). Adults ages 60 to 64 may need to prove they meet ABAWD work requirements even if exempt from general requirements. However, adults 65 and older remain fully exempt from both SNAP and Medicaid work requirements.
How do I know if my state is implementing changes early?
Check your state Medicaid and SNAP agency websites, or use our benefits screener for state-specific information. States have the option to begin Medicaid work requirements before the January 2027 federal deadline.
What if I am a veteran?
Veterans are no longer automatically exempt from SNAP work requirements under the new law. However, veterans with a total disability rating remain exempt from Medicaid work requirements. If you are a veteran, check whether you qualify under another exemption category.
Where can I check my current benefits eligibility?
Use our free benefits screener to check your eligibility for SNAP, Medicaid, ACA marketplace plans, and other federal and state programs. The screener accounts for your state's specific rules and income limits.
