What’s in the One Big Beautiful Bill?
A Simple Breakdown for Everyday Americans
The “One Big Beautiful Bill Act” (OBBBA), backed by former President Trump, is a sweeping proposal that bundles together tax cuts, welfare reforms, defense spending, and regulatory rollbacks into one massive bill. It’s passed the House and now heads to the Senate.
Here’s what it includes — and why many are worried.
💰 Tax Reforms
What’s proposed:
Permanent extension of 2017 Trump tax cuts
Eliminates federal income taxes on tips and overtime pay for those earning under $160K
Increases the SALT deduction cap for high earners
Expands the Child Tax Credit from $2,000 to $2,500 until 2028
Creates “MAGA Savings Accounts” with $1,000 in annual child deposits
Concerns & Impact:
While lower-income workers may see minor tax relief, wealthier individuals and businesses benefit the most
Could add $2.6 trillion to the national debt over 10 years
Critics say the bill increases inequality and doesn’t do enough to help working-class families long-term
🏥 Health & Social Programs
What’s proposed:
Adds strict work requirements for Medicaid and SNAP (food stamps) recipients
Forces states to cover more costs of food aid (up to $2.1B for NY alone)
Adds penalties for states with high SNAP error rates
Concerns & Impact:
Could cause millions to lose access to Medicaid and food stamps (SNAP)
Single parents and older workers could be forced out of programs if they can’t meet work-hour rules
Places massive financial pressure on states, especially during economic downturns
May increase child hunger and health issues among vulnerable families
🏡 Defense & Border Security
What’s proposed:
$150B boost to defense (new drones, AI tech, cybersecurity)
$70B to border security (wall building, more agents, surveillance tech)
Concerns & Impact:
Critics argue the bill over-prioritizes military and border expansion while cutting basic needs like food and health care
Funds wall construction that many see as ineffective and divisive
Defense contractors stand to gain more than average Americans
🌿 Environmental & Regulatory Rollbacks
What’s proposed:
Rolls back clean energy tax credits
Imposes a 10-year ban on state-level regulation of artificial intelligence
Limits federal courts from enforcing contempt orders unless plaintiffs pay up front
Concerns & Impact:
Undermines the Inflation Reduction Act’s climate progress
Could slow clean energy development and worsen climate risks
Hands more power to corporations developing AI, limiting local regulation or consumer protection
Weakens judicial oversight, making it harder to hold officials or corporations accountable
📊 Fiscal Consequences
What’s proposed:
Massive tax cuts paired with increased defense spending
Minimal offsets or revenue generation
Concerns & Impact:
Adds $2.6 trillion to national debt
Moody’s downgraded the U.S. credit outlook over concerns of unsustainable fiscal policy
Could lead to higher interest rates, inflation, or cuts to future services
🧑🤝🧑 Political Reactions
Supporters say:
It’s pro-growth, pro-family, pro-worker, and will “make America strong again.”
Critics say:
It’s a “reverse Robin Hood” — giving to the rich, taking from the poor.
Even some Republicans are voicing concern over its cost and impact on the vulnerable.
⏳ What Happens Next?
The Senate will debate and vote — possibly by July 4, 2025. If you care about the future of social services, taxes, or the environment, now’s the time to speak out.
📢 Take Action:
You can contact your Senators at www.senate.gov/senators to voice support or opposition.