The federal government has entered a shutdown.
This shutdown has broad implications across the country, and not just with families of government employees or military members. We’re mindful of this potential impact to you and want to reassure anyone facing hardship that we’re here for you.
We’ve answered a few common questions about what the government shutdown means and how it will affect people below.
What is a government shutdown?
A government shutdown occurs when the federal government's funding expires, leading to the cessation of non-essential services and furloughing of federal employees. Essential services (like those related to law enforcement and public safety) continue to function, as do mandatory spending programs.
How will it affect people?
There are a few ways this impacts people:
- Income disruption: Federal employees may face delayed paychecks or furloughs, affecting their ability to meet financial obligations. Numerous federal contractors would be out of work and not receive backpay.
- Social Security and Medicare: Checks are sent out, but benefit verification and card issuance would cease.
- Air travel: Air traffic controllers and TSA agents would be considered essential and would work without pay during a shutdown, which could result in delays, cancellations, or longer wait times for travelers.
- Delayed services: Tax refunds, small business assistance, passport processing, etc. could be delayed during a shutdown.
- Economic uncertainty: The stress and uncertainty related to a government shutdown could lead to financial anxiety for many individuals and businesses.
- WIC funding: The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) would stop immediately.
- Food stamp benefits: Any benefits through the Supplemental Nutrition Assistance Program (SNAP) would remain intact in October but could be impacted if the shutdown lasts for longer than that.
- Head Start programs: Children from low-income families would lose access to Head Start preschool programs.
- Student loans: College students could see delays in their student loans.
If you’re facing financial impact due to the government shutdown, please don’t hesitate to reach out to us.