Aug 13, 2025
Millions of low-income Americans who depend on the federal Supplemental Nutrition Assistance Program (SNAP) program are not only at risk of losing their benefits, but their local grocery stores.
CNN reports that changes to SNAP under President Donald Trump’s One Big, Beautiful Bill Act threaten grocery stores in low-income rural and urban communities as well as in wealthier communities with lower-income workers.
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Here’s what’s at stake and what to do if you’re affected.
President Trump’s SNAP cuts
The megabill will shift administrative costs for SNAP — shared equally between the federal and state governments till now — onto the states, leaving them responsible for 75% of the cost.
That will strain state budgets nationwide. Beginning in 2028, many states are expected to cut back SNAP support and reduce eligibility.
The Urban Institute projects that 22.3 million of the 42 million families who rely on SNAP will lose some or all of their benefits as a result.
The grocers who support those families will feel the pain, too. In 2023 alone, SNAP accounted for $124 billion in food sales. Half of this cash went to superstores like Walmart, while a quarter went to supermarkets.
Grocers that support SNAP recipients — many in the rural U.S., according to Politico — are considering layoffs, raising prices or alternatives like e-commerce to contend with the impacts.
IGA’s John Ross, CEO of the independent grocery store chain, told CNN that the cuts will result in store closures and “more food deserts in urban and rural areas.”
There’s a larger knock-on economic effect at play.
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“A key advantage of SNAP is that money is spent locally,” says James Ziliak, founding director of the Center for Poverty Research at the University of Kentucky.
Alabama grocer Jimmy Wright said the SNAP program allows his customers to buy fresh fruits, vegetables and milk through United States Department of Agriculture (USDA) programs that in turn support local farmers.
In fact, the USDA estimates that every $5 the federal government spends on SNAP generates $9 in return in jobs. The SNAP cuts could change that equation.
The nonprofit Commonwealth Fund predicts up to 143,000 food-related jobs will be lost in agriculture, retail grocery and food processing.
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What you can do if your local grocer closes
Cuts to the SNAP program may see recipients traveling long distances to grocery shop in the future.
The Center for American Progress reports that most SNAP beneficiaries already have limited access to grocers that accept SNAP benefits.
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Those who lose their local grocery story can find other places where SNAP cards are accepted by visiting the retailer locator map on the USDA website.
The National Council on Aging notes that you can use SNAP benefits with delivery services like Instacart. Amazon accepts SNAP for some products, and big-box stores like Walmart and Target also participate in the program.
If you live in an area of the country with plentiful farmers markets, you can also use your SNAP benefits at participating markets.
Local SNAP Education offices nationwide can connect you with other programs and services in your area.
How to trim down your food budget
With cuts to the SNAP program, store closures and layoffs on the horizon, it’s wise for everyone to look at ways to adjust their food budget.
How can you eat healthfully and still save on food?
The nonprofit Food Connect Group recommends:
- Reducing your meat intake, and spending more of your budget on fruit and vegetables, including potatoes and beans that build up fiber, carbs and protein in a meal.
- Cooking in batches to cut costs and save time on meal prep — and use leftovers in creative ways.
- Devoting more time to meal planning, and freezing batch recipes in portions to prevent food waste.
- Comparison shopping and couponing to find deals on pantry items and other staples.
- Looking for food assistance programs, including local food banks, nonprofits and community garden initiatives.
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Rebecca Holland is dedicated to creating clear, accessible advice for readers navigating the complexities of money management, investing and financial planning. Her work has been featured in respected publications including the Financial Post, The Globe & Mail, and the Edmonton Journal.
