Lauren Bauer
The SNAP state cost-shift policy leaves the program’s existence to chance
Until the One Big Beautiful Bill Act, the federal government alone was responsible for paying for Supplemental Nutrition Assistance Program benefits. Under OBBBA, starting in October 2027, states potentially will be required to pay a share of SNAP benefits, with the required share determined solely by the state’s “payment error rate” for the relevant fiscal year. After the first year, a state’s payment error rate from three years prior will determine the state’s cost shift, meaning that a state’s FY2026 payment error rate will be the basis for the FY2029 cost-shift amount.
Low-income workers experience—by far—the most earnings and work hours instability
To assess the compensation of workers, it matters not only how much money they earn, but also the manner in which their pay is earned. That is to say, to earn $25,000, one worker may have reliable and consistent earnings and hours from a single employer, while another may have multiple employers, inconsistent work hours, and variable wages. While workers may desire some amount of flexibility in their work schedule and earnings, volatility itself can also be troublesome.