Families on Welfare

From 1976 to 1992, the proportion of single women receiving welfare who had never been married more than doubled, rising from 21 percent to 52 percent. This change parallels a broader societal trend among all single mothers. Women receiving welfare in 1992 were also more likely to have a high school diploma and to have fewer children. These demographic changes among single women receiving welfare mirrored similar trends among all single mothers. However, single women on welfare in 1992 were poorer than in 1976, even though they worked in about the same proportions. Total family incomes dropped due to a decline in the real value of earnings and welfare benefits. The dramatic growth in the number of never-married women receiving welfare has important policy implications. Not only have never-married women and their families driven welfare caseloads to record levels, these families also affect other programs. For example, child support is hard to obtain for never-married women, who are less likely to have child support orders. Moreover, because the growth in never-married women receiving welfare reflects broader societal trends, it is unclear what impact welfare reform may have on the growth in the number and proportion of never-married women receiving welfare.

GAO found that: (1) in response to AFDC program growth, states have initiated major reforms, including taking new actions to change welfare recipients' behavior and enhance family responsibility; (2) several states no longer increase the amount of a family's AFDC benefit for an additional child born while the mother is receiving welfare; (3) AFDC caseloads and total program costs have grown dramatically in recent years; (4) total AFDC payments, including federal and state funds, were about $22.2 billion in fiscal year 1992; (5) in November 1993, AFDC benefits reached over 5 million families; (6) from 1976 to 1992, the proportion of single women receiving AFDC who had never been married more than doubled; (7) the characteristics of all single women receiving AFDC also changed between 1976 and 1992; (8) never-married women were less likely to receive child support and more likely to have lower incomes; and (9) the growth in never-married women receiving AFDC reflects a broader societal trend among all women.