This report explores different approaches to reevaluating the Thrifty Food Plan, which represents a low-cost, nutritious diet comprised of foods and beverages consumed at home and is used to calculate SNAP benefit amounts.
This proposed rule would update the method for calculating the Thrifty Food Plan cost adjustment for Hawaii to incorporate food prices from throughout the state of Hawaii rather than from Honolulu alone.
The Statewide Thrifty Food Plan Cost Estimate for Hawaii report describes the process used to calculate a new Thrifty Food Plan cost estimate for Hawaii that is based on the best currently available food price data from throughout the state of Hawaii in alignment with the proposed rule. This report uses the same peer-reviewed methodology as the Thrifty Food Plan Cost Estimates for Alaska and Hawaii report, published by FNS in 2023.
The market basket costs in the Thrifty Food Plan, 2021 apply to the contiguous 48 states and the District of Columbia. By law, the USDA must make cost adjustments to the Thrifty Food Plan to reflect the cost of food in Alaska and Hawaii. The Thrifty Food Plan Cost Estimates for Alaska and Hawaii report provides updated estimates of the June 2022 cost of the reevaluated Thrifty Food Plan in Alaska and Hawaii.
USDA produces four food plans outlining practical, nutritious diets at successively higher cost levels: the Thrifty, Low-Cost, Moderate-Cost, and Liberal Food Plans. The Thrifty Food Plan serves as the basis for maximum allotments in SNAP.
In September 2020, in response to a Congressional Directive, the USDA contracted with Insight Policy Research to conduct the Measuring the Cost of a Thrifty Food Plan in Puerto Rico study. The purpose of the study is to provide CNPP with options for measuring the cost of a TFP in Puerto Rico.
The Thrifty Food Plan, 2021 was released on Aug. 16, 2021. The TFP represents the cost of a nutritious, practical, cost-effective diet.
The Agricultural Improvement Act of 2018 required USDA to re-evaluate the Thrifty Food Plan by 2022 and every 5 years thereafter based on current food prices, food composition data, consumption patterns and dietary guidance. By law, the June TFP is the basis for SNAP maximum allotments for the following fiscal year.
This memorandum provides the FY 2022 Cost-of-Living Adjustments to SNAP, income eligibility standards, and deductions for the 48 contiguous states and D.C., Alaska, Hawaii, Guam and the U.S. Virgin Islands. COLAs are effective as of Oct. 1, 2021.
On Dec. 27, 2020, the President signed into law the Consolidated Appropriations Act 2021. Attached is an information memorandum describing the SNAP provisions of that Act.