Welfare Pays More Than Minimum Wage In 35 States

[esmith]

A report by the Cato Institute study found that all of the Welfare payments available to people in 35 states pay more than minimum wage and in 13 states it pays in excess of $15.00 an hour. Now what would the incentive be to attempt to get off welfare? It appears that the welfare system is in need of an overhaul and make it a system that helps people to get back on their feet instead of living off the backs of those that are working. The lead-in to this article can be found at:
The Work versus Welfare Trade-Off: 2013 | Cato Institute

 

[sandandfoam]

Yes anyone on welfare is culpable. They should have been born to rich parents. It's their own fault. Let them starve and they'll know better the next time.

 

[9-10ths_Penguin]

A report by the Cato Institute study found that all of the Welfare payments available to people in 35 states pay more than minimum wage and in 13 states it pays in excess of $15.00 an hour. Now what would the incentive be to attempt to get off welfare? It appears that the welfare system is in need of an overhaul and make it a system that helps people to get back on their feet instead of living off the backs of those that are working. The lead-in to this article can be found at:
The Work versus Welfare Trade-Off: 2013 | Cato Institute

I think that this is more of a condemnation of absurdly low minimum wages than it is a condemnation of too-lavish welfare programs.

But you're right in one respect: getting off welfare can often mean a major financial hit. This is one big reason why things like universal health care (REAL universal health care) are so important.

 

[tytlyf]

ya the koch institute! this just shows where the minimum wage should be

 

[freethinker44]

They factor in Medicare as part of this "income" welfare recipients get. I wouldn't consider that an income. If you go to the hospital and your insurance pays 50,000 dollars on your behalf, does that mean you got paid an extra 50,000 that year? No, I don't think so. Subtract the value of Medicare and the benefits don't come close to 15 dollars an hour.

 

[tumbleweed41]

The CATO study adds up all the benefits available through eight programs to a low-income woman with two children, including TANF and housing assistance. Fewer than 2 million households nationwide qualify for TANF, and only about 4 million receive housing assistance.
They ignore the fact that welfare benefits for single adults living alone are much less than the single mom with two children in their study, and disregard the fact that benefits such as SNAP gradually decrease as a persons earned income increases.

But taken at face value, it is still more of an indictment against minimum wage, rather than the overblown inflated numbers they present.

​

 

[tytlyf]

The CATO study adds up all the benefits available through eight programs to a low-income woman with two children, including TANF and housing assistance. Fewer than 2 million households nationwide qualify for TANF, and only about 4 million receive housing assistance.
They ignore the fact that welfare benefits for single adults living alone are much less than the single mom with two children in their study, and disregard the fact that benefits such as SNAP gradually decrease as a persons earned income increases.

But taken at face value, it is still more of an indictment against minimum wage, rather than the overblown inflated numbers they present.

​

Yep, people throw around this welfare term too loosely and don't even know what welfare actually is. They act like half the population is on welfare. When in reality, it's more like 1 in 100 people. (phony scandal)

 

[Sunstone]

The CATO study...

That, by itself, says it all. Anyone who is unaware of how frequently CATO has skewed numbers and statistics in the past has much to learn about them. The study referenced in the OP would appear to be simply more junk statistics from them.

 

[Breathe]

Yes anyone on welfare is culpable. They should have been born to rich parents. It's their own fault. Let them starve and they'll know better the next time.

Those damn poor, vulnerable, and unemployed people, who do they think they are, being poor?

 

[Falvlun]

In addition to what other people have said, I think it is pretty well felt that some modifications to our welfare system would be beneficial, particularly in relation to making it easier to get off of welfare without being penalized, as well as incentivizing such a move.

Things like making welfare payments gradually taper off as work is obtained, rather than an all or nothing scheme, or perhaps making training classes or other "work-prep" classes a part of the process.

 

[Revoltingest]

That, by itself, says it all. Anyone who is unaware of how frequently CATO has skewed numbers and statistics in the past has much to learn about them. The study referenced in the OP would appear to be simply more junk statistics from them.

You're welcome to present evidence for this, but til then, I'll give them at least as much credibility as the leftish sources we see cited here, eg, Alternet, NYT, Mother Jones, HuffPo, Rolling Stone, etc, etc. Any specific disagreement with the figures Cato cited in the OP?

Anyway, once we get all the anti-Cato, anti-Koch, anti-capitalism, anti-etc stuff out of the way, we can address what I see as the consequences of dole (welfare, unemployment, & anything else given gratis by government) compensation exceeding net wages. Independent of the absolute level of either, when it's more lucrative to be on the dole, there is less incentive to work. This saps not just their productivity, but the whole country, & shifts the burden to remaining workers. Moreover, this large group votes, & politicians will cater to them, risking a feedback loop of even greater largess for an even greater number. This doesn't bode well for us.

 

[Revoltingest]

A report by the Cato Institute study found that all of the Welfare payments available to people in 35 states pay more than minimum wage and in 13 states it pays in excess of $15.00 an hour. Now what would the incentive be to attempt to get off welfare? It appears that the welfare system is in need of an overhaul and make it a system that helps people to get back on their feet instead of living off the backs of those that are working. The lead-in to this article can be found at:
The Work versus Welfare Trade-Off: 2013 | Cato Institute

I saw this too. Thanx for posting it.
(I knew it would ignite a firestorm of denial instead of discussion.)

 

[Revoltingest]

Things like making welfare payments gradually taper off as work is obtained, rather than an all or nothing scheme, or perhaps making training classes or other "work-prep" classes a part of the process.

Yes, yes, yes!
I believe it would ultimately save the taxpayers money.

 

[tumbleweed41]

I saw this too. Thanx for posting it.
(I knew it would ignite a firestorm of denial instead of discussion.)

OK

The CATO study adds up all the benefits available through eight programs to a low-income woman with two children, including TANF and housing assistance. Fewer than 2 million households nationwide qualify for TANF, and only about 4 million receive housing assistance.
They ignore the fact that welfare benefits for single adults living alone are much less than the single mom with two children in their study, and disregard the fact that benefits such as SNAP gradually decrease as a persons earned income increases.

But taken at face value, it is still more of an indictment against minimum wage, rather than the overblown inflated numbers they present.

​

Would you like to discuss the above?

 

[Wirey]

I genuinely hope that the moderators let the actual word shine through. This study, and the reaction to it, is a gigantic pile of ********. How many of you have ever, ever, ever, actually been on welfare? Because I have.

My dad had a fantastic drinking problem when I was a kid, and my mother would occasionally have to feed us at the 'welfare store'. It was a store that only accepted vouchers from the welfare office. To be seen shopping there was a bright badge of shame for kids in my neighbourhood. When mom would get those vouchers, she'd make me go with her to help carry stuff. I can remember the horrible dread feeling of shame walking into the store, coupled with the elation of knowing I was going to eat that night. Just writing this down has tears in my eyes, for Christ's sake.

Anyone who talks about minimum wage and welfare should first talk about the horrible choices newborn babies make when they decide to be born into a poor family. I now make a lot more money than the average bear, and you never hear me complain about taxes. Guess why? I know, not think, know, what the other side of broke is. I can remember chewing on a dishcloth just because it had flavour. I can remember stealing food at age 7 because I couldn't stand to hear my little sister crying from hunger anymore. I spent six weeks in a wheelchair from malnutrition while doctors tried to make sure I would walk again. It's almost certainly why I didn't play pro ball. And then I come here, and watch someone who's never had a hungry day talk about the evils of welfare. Shame on you! Welfare recipients aren't 25 year old men in areas with high rates of employment. They're children. They're sick people. They're unlucky people who aren't smart enough to get out from under. They're me.

If you'd like to discuss real problems in the US, ask yourself why the rich get to determine the course of the law. Isn't that why you kicked the British out in the first place?

 

[esmith]

I agree that an overhaul of the current welfare system should be looked at. The idea of reducing welfare payments as one enters the work force could be one of many ideas. However, I do not think anything can be done within Congress. Look at the response to this article that is found here, little or no additional ideas just an outrage that anything could or should be done.

 

[tumbleweed41]

I agree that an overhaul of the current welfare system should be looked at. The idea of reducing welfare payments as one enters the work force could be one of many ideas. However, I do not think anything can be done within Congress. Look at the response to this article that is found here, little or no additional ideas just an outrage that anything could or should be done.

Yeah, read again

Many posters have pointed out that Welfare should lead to gradual Independence. And the disparity of the current minimum wage has also been pointed out.

 

[Revoltingest]

I genuinely hope that the moderators let the actual word shine through. This study, and the reaction to it, is a gigantic pile of ********. How many of you have ever, ever, ever, actually been on welfare? Because I have.
My dad had a fantastic drinking problem when I was a kid, and my mother would occasionally have to feed us at the 'welfare store'. It was a store that only accepted vouchers from the welfare office. To be seen shopping there was a bright badge of shame for kids in my neighbourhood. When mom would get those vouchers, she'd make me go with her to help carry stuff. I can remember the horrible dread feeling of shame walking into the store, coupled with the elation of knowing I was going to eat that night. Just writing this down has tears in my eyes, for Christ's sake.
Anyone who talks about minimum wage and welfare should first talk about the horrible choices newborn babies make when they decide to be born into a poor family. I now make a lot more money than the average bear, and you never hear me complain about taxes. Guess why? I know, not think, know, what the other side of broke is. I can remember chewing on a dishcloth just because it had flavour. I can remember stealing food at age 7 because I couldn't stand to hear my little sister crying from hunger anymore. I spent six weeks in a wheelchair from malnutrition while doctors tried to make sure I would walk again. It's almost certainly why I didn't play pro ball. And then I come here, and watch someone who's never had a hungry day talk about the evils of welfare. Shame on you! Welfare recipients aren't 25 year old men in areas with high rates of employment. They're children. They're sick people. They're unlucky people who aren't smart enough to get out from under. They're me.
If you'd like to discuss real problems in the US, ask yourself why the rich get to determine the course of the law. Isn't that why you kicked the British out in the first place?

The evils of welfare might be its very existence for some, but the thrust of the cited article is about the dyfsunctional structure of it. I'll wager we could do a better job for less. (It sounds like Canuckistanian welfare had more of a social stigma than Michiganistanian's did.)
Btw, I once put a stick in the wheels of a skinny kid in a wheelchair who said "eh" a lot. He came to a screeching halt & spilled his poutine all over himself.....was that you?

 

[Sunstone]

You're welcome to present evidence for this, but til then, I'll give them at least as much credibility...

Anyone who is intellectually honest, capable of googling "cato lies", and willing to shift through a few of the hits, can come to their own fair-minded conclusion about the general accuracy of CATO's stats.

 

[Revoltingest]

Anyone who is intellectually honest, capable of googling "cato lies", and willing to shift through a few of the hits, can come to their own fair-minded conclusion about the general accuracy of CATO's stats.

Are you asking me to validate your un-evidenced claims for you?
Wouldn't it be more "intellectually honest" if you debunked the Cato figures
to which you object, instead of making a vague general charge of inaccuracy?