SNAP Benefits Can Now Buy Hot Food, But Retailers Face New 50% Sales Cap

The newly introduced Hot Foods Act of 2025 makes a significant change to the Supplemental Nutrition Assistance Program (SNAP), finally clearing the way for recipients to purchase hot, ready-to-eat food. Previously, federal rules generally banned using SNAP benefits for anything hot and ready to eat immediately, forcing people to choose cold items they had to prepare later. This bill removes that ban, meaning SNAP users can now grab a hot rotisserie chicken, a prepared meal from the deli, or a hot sandwich, just like they would buy cold groceries. The only things still off-limits are alcohol and tobacco.

The End of the Cold Meal Mandate

This change is a big deal for convenience and access. Think about a construction worker finishing a long shift without time or energy to cook, or a single parent relying on public transit who can't easily carry a week's worth of groceries, or even someone experiencing homelessness who lacks cooking facilities. For these people, the ability to buy a hot, prepared meal for immediate consumption is a major quality-of-life improvement. The bill essentially recognizes that people need flexibility and that a ready-made meal can be just as important as a bag of dried beans, especially in a pinch. This provision directly expands the purchasing power of SNAP dollars and modernizes the program for real-world needs.

The Catch for Corner Stores and Delis

While the benefit expansion is straightforward, the bill introduces a complex new rule for the retailers who accept SNAP. To remain authorized to accept SNAP benefits, a store must now ensure that no more than 50% of its total gross sales come from these hot, ready-to-eat foods or products. This is a crucial detail for businesses, especially smaller ones. Consider a busy corner deli or a convenience store near a train station that specializes in breakfast sandwiches, hot soup, and lunch specials. If more than half of their revenue comes from selling these immediate, hot items, they could lose their ability to accept SNAP, which is often a significant portion of their business.

Who Wins and Who Has to Re-Tool

For the SNAP user, this is a clear win, offering immediate relief and flexibility. For large supermarkets or grocery stores where hot food is only a small fraction of overall sales, the 50% rule is a non-issue. However, the rule creates a real challenge for smaller, specialized food vendors. A small-town bakery that also sells hot lunch items, or a local hot-food market, will have to carefully track their sales mix. If they cross that 50% threshold, they face a tough choice: either restructure their business to sell more cold groceries and non-food items to lower the percentage, or risk losing their SNAP authorization altogether. This new regulatory hurdle is intended to keep SNAP focused on grocery retail rather than fast-food sales, but it places a significant compliance burden on the very small businesses that often serve low-income communities.