President Donald Trump has signed into law a $3.4 trillion budget package that extends tax cuts, introduces temporary breaks for tipped workers, and boosts funding to crack down on illegal immigration, delivering on a slate of key 2024 campaign promises. Trump signed the one big, beautiful bill into law at a military family picnic at the White House for the Fourth of July. The president and his aides had long pegged Independence Day as a deadline for when they hoped to see the legislation on his desk, a timeline that appeared in peril just days ago. The move marks the president’s most significant legislative achievement of his second term. Until now, Trump’s presidency has largely relied on executive orders rather than congressional action. First lady Melania Trump attended Friday’s ceremony, and several Cabinet officials and numerous Republican lawmakers, including Speaker Mike Johnson (R-La.), House Majority Leader Steve Scalise (R-La.), House Majority Whip Tom Emmer (R-Minn.), and Rep. Jason Smith (R-Mo.). The event featured dramatic touches, including a flyover by two B-2 bombers — the same model used in last month’s strikes on Iranian nuclear facilities. “This is really promises made, promises kept,” Trump said before signing the bill. Calling it “the biggest victory yet,” he touted the measure as proof of American strength and a cornerstone of his economic agenda. GOP rallies behind Trump to push budget through Congress amid tight deadline The bill’s passage reinforces Trump’s dominance within the Republican Party. GOP leaders on Capitol Hill pushed the measure through both chambers this week despite razor-thin margins, vocal opposition from Democrats, and skepticism from fiscal hawks and moderates. Trump personally lobbied key lawmakers, even inviting some to the White House to seal their support ahead of the July 4 deadline. But the political victory is not without cost. The sweeping legislation includes major spending cuts to healthcare and nutrition programs, prompting criticism from advocacy groups, fiscal watchdogs, and Democrats who warn of long-term consequences. According to the nonpartisan Congressional Budget Office, approximately 11.8 million Americans could lose Medicaid coverage due to new work requirements, co-payments, and reimbursement caps. Hospitals, particularly rural ones, could face closures due to reduced federal support. Polls show the bill is broadly unpopular with the public. Democrats have vowed to use the bill as a political weapon in the upcoming midterms, while some Senate Republicans fear electoral backlash from voters reliant on safety-net programs. Trump hails ‘rocketship economy’ as $4.5 trillion in tax breaks take center stage Still, the administration insists the package will supercharge the economy. Trump dismissed concerns over rising debt: “Our country is going to be a rocketship economically.” Despite opposition forecasts, he argued that tax reform, deregulation, tariffs, and energy production will drive growth. The bill features $4.5 trillion in tax cuts , including an extension of the 2017 Trump-era tax reductions. It also offers new tax relief for tipped workers, overtime pay, certain auto loans, seniors, and parents. A key win for Republicans in high-tax states — like New York, New Jersey, and California — is expanding the state and local tax (SALT) deduction cap from $10,000 to $40,000 over five years. The bill slashes incentives for renewable energy and electric vehicles to offset part of the cost, which could slow green infrastructure investments. Medicaid alone faces nearly $1 trillion in reductions, while food-aid programs will enforce expanded work requirements and penalties for states with error-prone benefit systems. In contrast, the bill delivers hundreds of billions in new military spending and greenlights additional funds for immigration enforcement, aligning with Trump’s national security agenda. As the country celebrates Independence Day, Trump is betting that this bold, controversial budget will reshape America’s economy — and his political legacy. Cryptopolitan Academy: Coming Soon - A New Way to Earn Passive Income with DeFi in 2025. Learn More
