Trump suggests government should stop funding Daycare and Medicaid, says 'We're fighting wars'

The president suggested states should raise taxes to take care of those costs.
PUBLISHED APR 4, 2026
 U.S. President Donald Trump gestures while speaking during a swearing in ceremony for Dr. Mehmet Oz as Medicare and Medicaid Services Administrator in the Oval Office (Cover image source: Getty Images/Photo by Andrew Harnik)
U.S. President Donald Trump gestures while speaking during a swearing in ceremony for Dr. Mehmet Oz as Medicare and Medicaid Services Administrator in the Oval Office (Cover image source: Getty Images/Photo by Andrew Harnik)

President Donald Trump on Wednesday said it’s “not possible” for the federal government to fund welfare programs like Medicare, Medicaid, and Daycare, arguing that it has to look after 50 states and focus on the ongoing war. In a private White House Easter luncheon, the president said the costs of these programs were too expensive, suggesting that the states should pay for them by raising taxes. This marks a sharp reversal from the GOP leader, who during his presidential campaign vowed to protect seniors’ health insurance program and address child care costs. At the event, Trump also accused Democratic-led states of committing fraud with federal funds. 

U.S. President Donald Trump speaks during an event at the Sharon L. Morse Performing Arts Center (Image source: Getty Images/Photo by Joe Raedle)
U.S. President Donald Trump speaks during an event at the Sharon L. Morse Performing Arts Center (Image source: Getty Images/Photo by Joe Raedle)

During his remarks, President Trump referred to Office of Management and Budget Director Russell Vought, saying,  “ I said to Russell, don’t send any money for day care, because the United States can’t take care of day care. That has to be up to a state. We can’t take care of day care," CNN reported. The president went on to say that the government has 50 states to take care of, and focus on the war, hence these costs shouldn't be a burden. “We’re fighting wars. We can’t take care of the day care. You've got to let a state take care of day care, and they should pay for it, too. They should pay. They have to raise their taxes, but they should pay for it," he suggested. Trump went on to add that the federal government could lower its taxes "a little bit to make up for it," but military protection has to be the focus. The remarks were made in the absence of the press, but the White House posted a video of the president's remarks on YouTube before deleting it.

The federal government currently provides funding to states for subsidizing child care for low-income families through programs like Child Care, Temporary Assistance for Needy Families, and more. Furthermore, it pays for Medicare entirely through payroll taxes and premiums, and jointly funds Medicaid with states. While Trump suggested the federal government should distance itself from the program, Democrats have long sought to pass additional federal laws to further subsidize the cost of child care. 

As the remarks drew sharp criticism,  White House press secretary Karoline Leavitt said Trump’s comments were taken “out of context.” In a post on X, Leavitt defended the president, saying he “was talking about the importance of stopping the scams and rooting out the billions of dollars in fraud in these vital programs that elected Democrat officials have allowed to happen.” As per CNN, Trump did briefly mention scams and how Democratic-led states are leaking funds, but he seemingly emphasized the federal government focusing on other issues like the Iran war.



Despite Leavitt's clarification, dozens of Democratic lawmakers criticized Trump for his remarks.  “Trump says we can pay for war in Iran but can't afford childcare,” California Rep. Ro Khanna, a potential 2028 presidential candidate, wrote in his post on X. Meanwhile, Connecticut Sen. Chris Murphy called on his party to “run on this” in the upcoming midterm elections. The Democratic National Committee went a step ahead to produce an ad the next day, contrasting the remarks with footage from the Iran War.  produced an ad the next day, Thursday, April 2, contrasting Trump’s comments with footage of the war with Iran.



Following the private luncheon, Trump conducted a prime-time national address to share updates on the Iran war. In his 20-minute-long speech, the president defended his decision to strike Tehran alongside Israel, and claimed the operation was nearing completion but failed to provide a concrete timeline or other material details. 

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