Does it pay to get off welfare?

 Written by Peter and Judith Barnett
 An examination of a budget when a mom and her children move off of welfare compared to a
budget while on welfare will answer that question.

Did you know that 1.3 million children will be homeless sometime during this year and 9
million children are without health insurance? Additionally, since 1999, food insecurity
has increased by 3 millions households, including 1.4 million households that include
children. Why is this occurring?

We suggest that it is because people who have successfully moved out of the
"poverty" level are not making enough money to feed, house or care for their children.
The welfare rules cut a family off from their housing and grant benefits once the family
has reached the poverty level. For a family of three that amount is $16,000 a year. in our
program we have a woman who is earning $700 a month which is below the poverty
level. She also receives housing assistance, food stamps and a grant for a total of
$1,225 in benefits. In order to house, feed and care for her children the woman’s'
budget looks like this:


Food stamps                     174
Grant                                   157
Housing Allowance         894
Sub Total                         1225
Work Income                    700
TOTAL                              1925

Her annual income while on welfare is $23,100. Yet if she reaches the poverty threshold
for a family of three which is only $16, 600 and her case will be closed. Even the
department of social service seems to know that she needs more than $16,600 to live
but they cut her off. How is this mother going to be able to make up the $6500 she loses
when her case is closed?

If she does not have a college education, more than likely she will not be able to make
what she needs to care for herself and her children. Citing that there are 1.6 million
fewer children in poverty is nothing to brag about when those children are homeless,
hungry and without medical care.

People on welfare need an education and the financial support that truly provides a
safety net and a means to become economically self sufficient not just above the
poverty line. The welfare reform policies need to be changed. Our nation has done a
disservice to out families, to our children.