Trump federal funding freeze: Will Social Security payments be delayed? What about Medicare? SNAP?
President Donald Trump’s pause on federal grants and loans has agencies and individuals scrambling to determine how widespread the fallout will be.
On Monday night, Matthew Vaeth, acting director of the Office of Management and Budget, ordered federal agencies to temporarily pause “all activities related to obligation or disbursement of all Federal financial assistance, and other relevant agency activities that may be implicated by the executive orders, including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal.”
The pause will remain in place for an undetermined time until a review of spending is conducted, Vaeth added.
The freeze prompted immediate concern over social programs such as Medicare, Supplemental Nutrition Assistance Program, the official name for food stamps, Social Security benefits and more.
READ MORE: Trump federal funding freeze: What pause means for student loans, Pell Grants
White House Press Secretary Karoline Leavitt clarified the administration’s position during her first briefing Tuesday.
“To individuals at home who receive direct assistance from the federal government: You will not be impacted by this federal freeze,” Leavitt said.
“There is no uncertainty in this building,” Leavitt added. “This is not a blanket pause on federal assistance and grant programs from the Trump administration. It’s incumbent upon this administration to make sure, again, that every penny is being accounted for honestly.”
That means Medicare, SNAP and Social Security funding will continue uninterrupted. Also, the administration said the pause does not apply to those with federal student loans or Pell Grants. Medicaid funding to states will also continue.
“Funds for small business, farmers, Pell grants, Head Start, rental assistance, and other similar programs will not be paused,” a later clarification on the order obtained by Politico detailed.
The pause was set to go into effect Tuesday at 5 p.m. ET. A federal judge temporarily stopped the freeze through Feb. 3.