Former President Donald Trump and his administration recently garnered attention by proposing a $1,000 direct cash stimulus as part of the upcoming One Big Beautiful Bill Act. Amid soaring living expenses, a growing number of young couples are delaying or reconsidering parenthood due to the high costs associated with raising a child. In response, the proposed bill aims to support American families by offering a financial boost intended to help them begin saving for future children.
The One Big Beautiful Bill Act causes controversy
The recently passed House Act has caused some controversy across the US. The bill includes changes to the Supplemental Nutrition Assistance Program (SNAP), which feeds over 41 million individuals, lowering the SALT cap, changes to Medicaid, and the implementation of energy tax credits. While some of the changes have been met with widespread agreement, others have resulted in increased political tensions within the House and Senate.
“Imagine a jigsaw puzzle with 3,000 pieces and no picture. So that’s what we’re trying to put together,” Sen. John Kennedy, R-La., said over updates to the Bill last week
One of the biggest criticisms against the Bill by critics is its anticipated impact on low-income individuals. The Bill reportedly would not only include cuts to Medicaid, but also would make it more difficult to qualify to receive SNAP, while 80% of the economic benefits of the bill would only impact the top 10% of income earners in the US.
“The agency estimates that in general, resources would decrease for households toward the bottom of the income distribution, whereas resources would increase for households in the middle and top of the income distribution,” the CBO wrote.
$1,000 cash for these individuals across all states
As part of the One Big Beautiful Bill Act, there is an inclusion of a $1,000 stimulus payment. Unlike rumors of a $5,000 stimulus payment, which have not been confirmed by any official federal source, if this Act passes the next round of voting in the Senate and is signed into law by President Trump, this payment would be a guarantee for qualifying families.
To qualify for the stimulus payment, you would need to have had a child born between January 1, 2025, and December 31, 2028. The child must be a US citizen, and both parents would need to have a Social Security number. These ‘Trump Accounts’ are intended to help families build savings for their children’s future. Families would have the option to make annual contributions to the accounts each year, as long as the contributions do not exceed $5,000.
“It’s a pro-family initiative that will help millions of Americans harness the strength of our economy to lift up the next generation, and they’ll really be getting a big jump on life,” President Donald Trump said last week at a White House event.
States spur initiatives for new families
Alongside the federal government, states are spurring their own initiatives to help ease the financial burden of newborns on families. In New York, the state government recently announced that it would be sending a one-time $1,800 stimulus payment for low-income families who have recently welcomed a new baby. To qualify for the BABY bonuses, the New York families would need to already be receiving public assistance.
These initiatives by both states and federal governments highlight the increasing worry over the lowered birth rates in the US, coupled with the rising expenses it takes to raise children. A major concern for many parents is the cost of tertiary education for their children, where student debt to pay for college has reached nearly $2 trillion. To add to this, many couples and individuals are struggling to cover their living costs, where rental and mortgage costs continue to rise.
Disclaimer: Our coverage of stimulus checks, tax reliefs, tax rebates, tax credits, and other payments is based on the official sources listed in the article. All payment amounts and dates, as well as eligibility requirements, are subject to change by the governing institutions. Always consult the official source we provide to stay up to date and obtain information for your decision-making.