The U.S. federal government officially shut down last week after the Senate missed its self-imposed September 30 deadline to pass a temporary funding bill. As a result, approximately 750,000 federal employees have been furloughed—and there’s no clear end in sight.
After six failed votes and ongoing gridlock, the Senate has not reached an agreement to fund the government. Lawmakers continue to debate, with the next vote scheduled for Thursday. One of the main sticking points: Democrats are pushing to protect health care assistance, while President Trump has threatened mass federal layoffs if the impasse continues.
This marks the 22nd federal shutdown since 1976. While most last only a few days, the most recent major shutdown stretched a painful 35 days during Trump’s first term.
Why Did the Government Shut Down?
Each year, Congress must pass 12 appropriations bills to fund federal agencies before the new fiscal year begins on October 1. Recently, they’ve relied on short-term extensions to avoid shutdowns. In March, a temporary funding resolution extended operations through September 30—but with no long-term agreement in place, the government is now partially closed.
What Happens During a Government Shutdown?
When Congress doesn’t approve funding, many federal agencies must suspend non-essential operations. Some programs continue—such as Social Security and Medicare—because they receive mandatory funding. Others may be delayed, scaled back, or stopped altogether.
Here’s how different government services and benefits are being affected:
✅ Social Security Payments Will Continue
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Monthly Social Security checks will still be sent out.
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However, some services will pause:
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Verifying benefits
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Issuing replacement Medicare cards
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Fixing earnings records
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Applications for benefits and Social Security cards will still be processed, but expect delays.
🍎 SNAP and WIC Benefits Continue—for Now
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SNAP (food stamps) and WIC will keep operating, thanks to contingency funds.
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If the shutdown lasts more than 30 days, WIC may shut down entirely, and SNAP could face disruption depending on USDA resources.
🏥 Medicare and Medicaid Still Active
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Payments and services for Medicare and Medicaid will continue.
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Some administrative tasks will pause:
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Replacing Medicare cards
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Processing overpayments
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Verifying benefits
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✈️ TSA and Air Travel May Be Disrupted
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TSA agents and air traffic controllers must work without pay.
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In past shutdowns, unpaid workers called in sick, creating staffing shortages.
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Delays have already hit major airports like:
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Newark Liberty (NJ)
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Hollywood Burbank (CA)
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Denver International (CO)
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Expect longer lines, flight delays, and possibly more cancellations.
📬 Mail Delivery Will Continue
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The U.S. Postal Service is unaffected by the shutdown.
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USPS is self-funded through postage and services, so post offices remain open and employees are paid as usual.
💼 Unemployment Benefits Still Available
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Unemployment compensation continues, as it’s administered by the states.
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Furloughed federal employees may be eligible in some states, but must repay benefits if back pay is issued later.
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Those working without pay are not eligible for unemployment.
🚆 Amtrak Trains Keep Running
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Amtrak will continue normal operations.
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Although it receives federal grants, it operates as a for-profit company.
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A long shutdown could strain funding, but no service impacts are expected for now.
🏫 Teachers and Schools Mostly Unaffected
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Public school teachers are not federal employees and won’t be furloughed.
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Most school funding comes from local/state sources.
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Some federal programs, like Impact Aid, may face delays if the shutdown drags on.
🎓 Student Loan Payments Still Due
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Student loan servicers will continue processing payments and interest.
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But services that rely on the U.S. Department of Education—like loan forgiveness or consolidation applications—could be delayed.
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FAFSA processing for the next school year might also be slowed.
🌳 National Parks May Stay Open, With Limited Services
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Parks, museums, and monuments remain open, but will operate with minimal staff.
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Visitors may encounter:
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Closed restrooms and visitor centers
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No trash collection
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Limited permitting and safety services
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📉 FTC Consumer Services Suspended
Some Federal Trade Commission (FTC) services are unavailable, including:
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Filing identity theft or fraud reports
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Adding your number to the Do Not Call Registry
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Submitting public comments or FOIA requests
No action will be taken on submitted complaints until after the shutdown ends.
The Bottom Line
Unless you’re a federal employee or applying for a government service, you may not feel the immediate effects of a government shutdown. But if the stalemate continues, more services may be impacted, and delays could grow across essential programs.
Whether you’re collecting benefits, planning a trip, or paying back student loans, it’s smart to prepare for longer processing times and reduced support.
📲 Stay informed with real-time updates and financial tips at CreditVana.com.
