There are some things that parents should know about United States President Donald Trump's "One Big Beautiful Bill" that could significantly impact various parts of their lives.

The bill is poised to affect millions of Americans through various provisions regarding health, border, security, and taxes. Some of these are well-known federal tax breaks, such as the federal child tax credit, as well as personal and dependency exemptions.

One of the most significant provisions in the megabill is that the federal child tax credit (CTC) has increased. Prior to the bill, the law allowed a credit on taxes up to $2,000 per qualifying child younger than 17 years, but the changes mean that the amount would be increased to $2,200.

Despite this, other changes come with the increased amount, such as the increase only applying to the non-refundable portion of the tax credit. This means that Americans' taxable income factors into the formula. Married filing joint couples with $400,000 or more will not be able to claim the full credit under the new law, according to Kiplinger.

Additionally, a Social Security Number (SSN) is required for parents or guardians who are claiming the tax break. Before the new bill, eligible families with children were able to claim the CTC regardless of the parents' immigration status.

Households that have non-citizen parents will most likely be considered ineligible to receive the CTC under the new law. This will result in roughly 2.7 million children in the country, who previously qualified for the credit, no longer being eligible.

Another significant impact the bill has on families is Medicaid cuts, which is something that former counselor to the Treasury secretary during the Obama administration, Steven Rattner, considers one of the biggest and damaging cuts, Investopedia reported.

From late 2026 onwards, adults who are on Medicaid will have to pass new work requirements, primarily 80 hours per month. Parents who have kids aged 14 and older will also need to meet these new requirements.

If they miss the paperwork or are unable to prove that they are working enough hours, they could be among the roughly 16 million estimated Americans who will lose access to Medicaid, the Children's Health Insurance Program, and Obamacare exchanges.

Another thing that parents should know about the One Big Beautiful Bill is provisions regarding student loans. It introduces new caps placed on the amount that students can borrow in federal student loans for graduate school. It also changes how much parents can borrow to help pay for their children's tuition, as per CNN.