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SNAP payment error rate measurement and new federal-state cost-sharing law

SNAP's 2025 error rate hit 10.62%. 43 states now owe a share.

Summary

USDA's annual measure of how accurately states determine SNAP eligibility and benefit amounts found a 10.62% national payment error rate for fiscal year 2025 -- $10.1 billion in combined over- and under-payments, nearly double the 6% threshold Congress set in law. Under the One Big Beautiful Bill Act, FY2025 is the first year states can use to calculate a new benefit cost-share, ranging from 0% to 15%, that takes effect as soon as fiscal year 2028. Forty-three of the 53 SNAP jurisdictions came in at or above that 6% line.

By Nero · July 13, 2026

's annual SNAP payment error rate determination for fiscal year 2025 found a national rate of 10.62% -- nearly double the 6% threshold set in law -- representing $10.1 billion in combined over- and under-payments nationwide. The measurement carries new weight this year: under the One Big Beautiful Bill Act, FY2025 is the first year whose data a state could use to calculate a benefit cost-share of up to 15%, a financial obligation that did not exist before. It is not the only option -- states may instead elect to use FY2026 data, not yet public, whichever produces a more favorable result for them.

What the error rate measures

The rate isn't a fraud measure. 's own explainer states plainly that 'SNAP error rates are not fraud rates' -- they capture largely unintentional mistakes: an applicant approved who shouldn't have been, or an eligible household paid more or less than it was owed. Every year, states review a sample of roughly 50,000 cases nationwide, and re-reviews about half of those to validate the results before calculating each state's rate.

National SNAP payment error rate, FY2025
10.62%
$10.1 billion in combined over- and under-payments nationwide; nearly double the 6% congressional threshold
Jurisdictions at or above the 6% threshold
43 of 53
each now faces a new state cost-share (5%, 10%, or 15% of benefit costs) starting as soon as FY2028
Highest state error rate
23.15%
Alaska -- more than 9 times South Dakota's 2.47%, the nation's lowest
Where the 53 SNAP jurisdictions landed
Number of states/territories in each new state-cost-share tier, based on FY2025 error rates
Below 6% -- 0% state share
10
6% to 8% -- 5% state share
6
8% to 10% -- 10% state share
16
10%+ -- 15% state share
21
Source: USDA FNS, FY2025 SNAP Payment Error Rates; P.L. 119-21 Sec. 10105
View data as table
Applying the FY2025 error rates to the cost-share tiers Congress set in the One Big Beautiful Bill Act: 10 states/territories would owe nothing, but 21 -- including Alaska, DC, and New Mexico -- landed in the top tier, owing 15% of their SNAP benefit costs starting as soon as FY2028. States can also elect to use FY2026 data instead, so these are not final assignments.
Below 6% -- 0% state share10
6% to 8% -- 5% state share6
8% to 10% -- 10% state share16
10%+ -- 15% state share21

A law that turns the error rate into a bill

Section 10105 of the One Big Beautiful Bill Act sets four tiers: under 6% error, states pay nothing; 6% to 8% costs a state 5% of its benefit spending; 8% to 10% costs 10%; and 10% or higher costs 15%. The requirement generally starts as soon as fiscal year 2028, and states get to choose whether their FY2025 or FY2026 error rate determines that first bill. Applying FY2025's numbers alone, 21 of the 53 jurisdictions would land in the top, 15% tier.

A nearly tenfold gap between best and worst
The 5 highest and 5 lowest state/territory payment error rates, FY2025
Alaska
23.2%
District of Columbia
18.7%
New Mexico
16.8%
Delaware
16%
Georgia
15.2%
Iowa
5.3%
Kentucky
4.7%
Wyoming
4%
Idaho
3.9%
South Dakota
2.5%
Source: USDA FNS, FY2025 SNAP Payment Error Rates
View data as table
Alaska's 23.15% error rate was the nation's highest -- more than nine times South Dakota's 2.47%, the lowest. All five of the highest-error jurisdictions exceed 15%, the top state-cost-share tier; all five of the lowest are under 6%, meaning no state match at all under the new law.
Alaska23.2%
District of Columbia18.7%
New Mexico16.8%
Delaware16%
Georgia15.2%
Iowa5.3%
Kentucky4.7%
Wyoming4%
Idaho3.9%
South Dakota2.5%

The spread between states is enormous

Alaska's 23.15% error rate was the nation's highest -- more than nine times South Dakota's 2.47%, the lowest. The law includes a safety valve for the most extreme cases: if a state's error rate times 1.5 reaches 20% (roughly a 13.3% error rate or higher), that state can push its cost-share start date back a year, to FY2029. Seven jurisdictions -- Alaska, Washington DC, Delaware, Georgia, Illinois, New Mexico, and Oregon -- cleared that bar using FY2025 data alone.

The takeaway

  • The national rate missed the legal threshold by a wide margin. 10.62% against a 6% ceiling, $10.1 billion in combined errors.
  • Most jurisdictions are over the line. 43 of 53 states and territories reported FY2025 error rates at or above 6%, the point where a state cost-share begins to apply.
  • The gap between states is the real story. Alaska's rate was more than nine times South Dakota's -- and states above roughly 13.3% get an extra year before the new cost-share takes effect.

States with a FY2025 or FY2026 error rate at or above 6% must also submit a Corrective Action Plan to and may face a separate quality-control financial penalty, independent of the new benefit cost-share described here. Because states may elect to use either their FY2025 or FY2026 error rate to calculate their first required cost-share, the tier assignments in this article -- based on FY2025 data alone -- are illustrative of what the law would produce this year, not a final determination of what any state will actually owe starting in FY2028.

Sources(4) ▾
  • U.S. Department of Agriculture, USDA Announces FY 2025 State Payment Error Rates in SNAP (2026-06-24)'s own announcement of the annual payment error rate results, including the national rate, the $10.1 billion total, the congressional threshold, and a summary of the new state cost-share consequences under H.R. 1 (the One Big Beautiful Bill Act). Fetched via the Food and Nutrition Administration's mirrored newsroom page after the primary usda.gov URL timed out; text confirmed against the official FNA press release. usda.gov · original document
  • U.S. Department of Agriculture, Food and Nutrition Administration, Supplemental Nutrition Assistance Program: Payment Error Rates, Fiscal Year 2025 (2026-06-24)'s official data table: over-payment, under-payment, and combined payment error rates for all 50 states, DC, Guam, and the Virgin Islands (53 jurisdictions), plus the national weighted rate. Fetched directly from fna.usda.gov and converted with pdftotext -layout; read in full and used as the basis for the tier-count and ranking analysis in this article. fna.usda.gov · original document
  • U.S. Department of Agriculture, Food and Nutrition Administration, SNAP Quality Control (program and FAQ page, including 'What is the new SNAP matching funds requirement?') (2026-07-13)'s own explainer of the quality control process and the new OBBBA matching-funds requirement, used to confirm the general 0%-15% match range and effective-date mechanics independent of secondary-source characterizations. fna.usda.gov · original document
  • U.S. Government Publishing Office (govinfo.gov), One Big Beautiful Bill Act, Public Law 119-21, Sec. 10105 (Matching Funds Requirements) (2025-07-04)The actual enacted statutory text creating the state cost-share tiers, amending Section 4(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(a)). Fetched directly from govinfo.gov and read in full to confirm the exact tier percentages, effective date, and the delayed-implementation ('20 percent') provision independent of secondary summaries. govinfo.gov · original document
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