Image of street sign in Rhode Island with yellow sign that says Medicaid Cuts Ahead? in black lettering with a red question mark. Behind the sign, the clear East Greenwich sky shines brightly.

Did Trump Stop Medicaid? 2025 Health Funding Update

While our firm does not engage in political discourse, we do make efforts to educate the public on issues that affect elderly and disabled populations. The publication of this article is neither an endorsement nor indictment of any actions discussed in this text, but rather a detailed account to the best of our knowledge, research, and current capabilities of determining the existing status of Medicaid issues in Rhode Island and throughout the United States.

As health care policy returns to the national spotlight, a common question is circulating: “Did Trump stop Medicaid?” The short answer is no. As of the publication of this article, Medicaid has not been eliminated, and President Trump has publicly stated that his administration does not intend to cut Medicaid benefits.

But to fully understand what’s happening with Medicaid, it’s important to look at both the official statements and the budget proposals currently under discussion in Congress, as well as the broader stated goals of eliminating waste and potential fraud in federal entitlement programs.

What the Trump Administration Says

According to recent White House communications:

“The Trump Administration will not cut Social Security, Medicare, or Medicaid benefits.”
President Trump has stated and restated this position on his X (formerly Twitter) account. You can reference these statements in the official White House communication linked above.

This stance is consistent with his public comments throughout the 2024 campaign and is echoed in official statements which report that the administration’s priority is reducing fraud, waste, and abuse not reducing benefits.

Why Medicaid Is Under Financial Scrutiny

Concerns about fraud in government programs have prompted renewed discussions around oversight and efficiency:

The U.S. Government Accountability Office estimates taxpayers lose as much as $521 billion annually to fraud, much of it within programs like Medicare and Medicaid. (Source: https://www.gao.gov/fraud-improper-payments)

There is disagreement in the exact amount that went to improper payments in 2024, but sources agree that there have been cases of improper payments. You can read more on the reported numbers in these sources:

These numbers are at the heart of proposals focused scrutinizing Medicaid spend.

No, Medicaid Has Not Been Stopped… But Funding Debates Continue

While President Trump and Republican leaders have expressed a desire to eliminate fraud and reduce overall government spending, some recent budget resolutions in the House propose significant reductions in mandatory spending, which includes Medicaid.

Analysts from the Congressional Budget Office and various nonpartisan research groups have noted that achieving the full proposed savings could require changes to Medicaid eligibility, enrollment, or funding formulas depending on how Congress implements future legislation.

That has raised concerns among public health professionals about how proposed cuts might affect access to care, especially for vulnerable populations.

Waste Reduction vs. Benefit Cuts: What’s the Difference?

While there can certainly be correlations between the two, it is important to distinguish between cutting program waste and cutting benefits:

Efforts to prevent improper payments, eliminate fraud, and hold contractors or providers accountable are generally aimed at preserving the integrity of the program.

Efforts to cut funding or limit enrollment criteria, on the other hand, can reduce access for eligible individuals—even if unintentionally.

As of now, the administration’s stated goal is to eliminate inefficiencies without reducing core benefits, but the details of budget implementation will determine how well this is implemented and what effects changes may have on the populations that rely on Medicaid.

What You Can Do to Stay Informed

Whether you or a loved one relies on Medicaid or simply want to understand how your tax dollars are used, it’s a good idea to:

  • Follow official announcements from CMS and state Medicaid offices
  • Review any changes to eligibility or coverage in your state
  • Speak with a qualified elder law or estate planning attorney if you’re planning for long-term care and want to know how Medicaid changes may affect your plans for the future.

Conclusion: No, Trump Did Not Stop Medicaid

Medicaid remains in place and continues to serve tens of millions of Americans. Many of our clients receive monthly benefits from Medicaid and our firm continues to help individuals and families plan for Medicaid eligibility and apply for the maximum amount of benefits that they are eligible to receive. While proposals are on the table to reduce overall spending and eliminate fraud, President Trump has not stopped Medicaid, and current plans have a stated focus on increasing oversight rather than reducing benefits.

With that being said, changes to Medicaid’s structure or funding could have wide-reaching effects. That’s why it’s more important than ever to stay informed and engage with the facts… not just the headlines.

Applying for Medicaid in Rhode Island?

We’re here to help. Navigating the Medicaid application process can be overwhelming, especially when dealing with extensive documentation and complex eligibility requirements. At McCarthy Law, we understand the challenges that come with Medicaid applications and are committed to guiding our clients every step of the way. Our Medicaid Specialist and Elder Law Attorneys can advocate for your needs and help prepare your application to ensure it meets state requirements. We provide personalized support, helping you gather the necessary documents, navigate Rhode Island’s unique Medicaid rules, and develop strategies to protect your assets while maintaining eligibility. Fill out the form below to schedule a free Discovery Call to learn how we can help you navigate the Medicaid application process.

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