Trump’s Ban on Federal Funds for Illegal Immigrants Could Halt Billions in Payments

by Emmitt Barry, Worthy News Correspondent

(Worthy News) – Trump’s executive order to halt federal spending on illegal immigrants could save U.S. citizens up to $278 billion over the next decade, aligning with past cost analyses.

President Donald Trump signed late Wednesday, an executive order that aims “to ensure taxpayer resources are not used to incentivize or support illegal immigration,” cutting federal funds to both illegal immigrants and sanctuary states and localities that “support” or “assist” them.

“The surge in illegal immigration, enabled by the previous Administration, is siphoning dollars and essential services from American citizens while state and local budgets grow increasingly strained,” the executive order stated.

“With this Executive Order, President Trump is ensuring taxpayer resources are used to protect the interests of American citizens, not illegal aliens.”

Trump’s executive order also strengthens verification processes to prevent federal benefits from reaching illegal immigrants.

A 2023 Congressional Budget Office report estimated the Biden-era border crisis (2021–2024) would cost U.S. taxpayers $278 billion—$177 billion in federal benefits for illegal immigrants and their children, plus $101 billion in economic losses.

The CBO projected $278 billion in costs (2024–2034), including $15 billion for food stamps, $59 billion for Obamacare tax credits, $13 billion for child nutrition, and $40 billion for Medicaid and CHIP. Another $43 billion is allocated for tax credits and $4 billion for Supplemental Security Income.

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