Many of us have followed the news of upcoming changes to federal programs since July 4, 2025 when Congress passed the federal budget bill. Recipients of current federal program benefits will receive notification ofchanges that affect them as they are implemented.

Since many of these important federal programs also require state funding, it will take some time to calculate those costs for Nevadans who currently receive benefits.

Here are some important highlights that may impact you or your family members:

Federal Income Tax on Social Security/Senior Standard Deduction

• For 2025 through 2028, there is a $6,000 standard deduction for filers 65+, phasing out at $75K/$150K income, but does not eliminate Social Security benefit taxation depending on income level of the taxpayer.

Medicare

• Program Spending Cuts: Triggers automatic Medicare program spending cuts up to 4% unless waived by Congress.

Includes a one-time 2.5% physician payment bump.

• Medicare Drug Price Negotiation Weakened: Reduces the number of medications eligible for Medicare price negotiation.

Estimated to cost $5 billion over 10 years.

• Eligibility Restrictions: Limits coverage to specific legal immigrant categories; strips coverage from non-qualifying individuals regardless of work history.

SNAP / Food Assistance (Food Stamps)

• Expanded Work Requirements: Raises age limit for Able-Bodied Adults Without Dependents from 54 to 64 who must work, volunteer at least 20 hours a week or be in training programs; now includes veterans, homeless, foster youth.

• New State Cost Sharing: Starting in FY 2027, states must cover 75% of program administrative cost leading to possible program and benefit reductions in Nevada.

• Standard Utility Allowance: Requires documentation of utility expenses with monthly bills for households without elderly/disabled members, reducing access and increasing administrative burden.

Medicaid

• Work Requirements: Mandates 80 hours/month of work or similar activity for adults 19–64; exemptions for parents of children age 13 and under and medically frail individuals.

• Provider Tax Restrictions: Reduces federal Medicaid dollars by $191B, ($6.7B in Nevada) likely straining state budgets and leading to benefit cuts.

• Rural Health Grants: $50B in grants for rural providers from FY26–30.

• Frequent Re-determinations: Requires 6-month eligibility reviews for expansion adults starting in 2026—likely to cause coverage losses without strong outreach.

• HCBS (Home & Community Based Services) Waivers Expansion: New waivers for individuals below institutional-level care needs; includes funding and reporting requirements.

• Cost Sharing: Imposes $35 copays per service (with exemptions) for the expansion population starting in 2028.

• Home Equity: Caps eligibility for long-term care at $1M