House Passes Massive Budget Bill, Sends To Senate

· Investopedia

Key Takeaways

  • The House of Representatives passed the Republicans' sweeping budget overhaul in a 215-214 vote Thursday morning.
  • The budget proposal now goes to the Senate, where it could be changed from its current form.
  • Currently, the bill includes significant tax cuts and slashes spending on Medicaid and SNAP food aid.

The House of Representatives voted to advance the Republicans' budget bill Thursday morning, sending the sweeping overhaul of the tax code to the Senate.

The House passed the bill in a 215-214 vote, with two Republicans joining the Democrats who were united in opposition, one voting not present, and two not voting. The budget, dubbed the "One Big Beautiful Bill," makes permanent many provisions of the 2017 Tax Cuts and Jobs Act that were about to expire this year, and includes several new tax and spending cuts. The bill would accelerate the government's persistent budget deficit, according to independent analyses.

The bill is a victory for President Donald Trump and advances some of his campaign promises, including eliminating income taxes on tips and overtime pay. It also significantly cuts Medicaid, the government's health insurance program for low-income households, and the SNAP food aid program.

The bill now goes to the Senate, where the Republicans have a 53-47 seat majority. Several Republican Senators have advocated for changes to the bill, suggesting the final version could be different from what was passed by the House.

Correction, May 22, 2025: A previous version of this article mislabeled the government's health insurance program for low-income households. It's Medicaid.

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