Skip to Content
  • Home
  • Blog
  • Even With Big, Beautiful Bill Savings, Medicaid Spending Will Continue to Grow

Even With Big, Beautiful Bill Savings, Medicaid Spending Will Continue to Grow

With the signing of the Big, Beautiful Bill earlier this summer, commonsense reforms to Medicaid are now the law of the land.

The Big, Beautiful Bill:

  • Requires able-bodied adults without young children to work, train, or volunteer as a condition of receiving Medicaid
  • Cracks down on waste, fraud, and abuse by removing people who are deceased, enrolled in multiple states, or otherwise ineligible
  • Ends federal Medicaid funding for illegal aliens
  • Limits states’ ability to shift their costs onto federal taxpayers through money laundering schemes

But despite these historic and much-needed reforms—which amount to nearly $915 billion in savings—Medicaid spending is still expected to grow by 47 percent over the next decade.

Medicaid spending under OBBB

These numbers don’t even account for the additional $50 billion in funding states can access through the Rural Health Transformation Program.

As was noted during the reconciliation process, this is hardly a “gutting” of the Medicaid program, like the Left claims—it’s merely slowing growth. What does it say about the unsustainable path this program was on that Congress could find popular ways to save nearly $915 billion and spending is still going to go up over the next decade?

These reforms and savings were needed to help refocus Medicaid on the truly needy, who the program was designed to serve.

Before the One, Big, Beautiful Bill, improper spending in Medicaid alone was on track to cost more than $1 trillion over the next 10 years—all while putting low-income children, individuals with disabilities, pregnant women, and the elderly at the back of the line behind able-bodied adults—millions of whom aren’t working at all. 

Thanks to President Trump and Republican leaders in Congress, America is prioritizing work over welfare and cracking down on waste, fraud, abuse, and money laundering in order to preserve resources for those who truly need them. 

For more on how states and the federal government can promote work over welfare, click here.

At FGA, we don’t just talk about changing policy—we make it happen.

By partnering with FGA through a gift, you can create more policy change that returns America to a country where entrepreneurship thrives, personal responsibility is rewarded, and paychecks replace welfare checks.

Support Our Work