Government shutdown occurs when Congress is unable to pass an appropriations bill funding federal agencies and programs before the end of the fiscal year on September 30. These appropriations bills fund the operations of agencies and programs such as the National Institutes of Health, SNAP, and the VA. If the appropriations bill is not passed, the government will shut down and most employees will be furloughed. A shutdown can be avoided if Congress passes a temporary measure called a continuing resolution (CR) that sustains existing funding for a specific period of time, allowing for negotiations to supply an appropriations bill.

The vast majority of the government’s spending is based on mandatory spending that does not require annual approval, such as Social Security checks. While those payments continue during a shutdown, some of the services that support them are limited—such as verifying benefits and processing requests for new cards. Other operations that could potentially be impacted include reducing the availability of VA clinic and hospital visits, limiting passport services, and shutting visitor centers and bathrooms at national parks.

While active-duty military personnel and Transportation Security Administration agents are considered essential employees and will work without pay during a shutdown, other employees are required to be furloughed until funding resumes. The Government Employee Fair Treatment Act of 2019 guarantees that furloughed employees will receive back pay once the shutdown ends, but those who depend on their income for everyday living expenses such as rent and mortgage payments are stuck in a difficult position.