Earlier quoted context omitted.
It's even worse it works both ways. Trying to get a job can stop your benefits and if the job doesn't work out you'll have a hard time getting your benefits back. Better to not try.
Wow those are absolutely terrible incentives that we've setup. I didn't realize that it was so bad.
Warning: There's probably a bunch of mathematical errors ahead.
This example does not take other assistance programs into account like snap/EBT, fuel assistance, cars for low income families, Medicaid benefits, etc. Snap/EBT can be $200+/mo iirc, fuel assistance 200-1k/yr, Medicaid for a family is $600+/mo. Assuming 100ebt/mo, 500 fuel/yr, 600/mo Medicaid that's an additional 8.9k.
6000 housing 1200 ebt 500 fuel 7200 Medicaid ~15k ×1.3 for taxes = 19.5k in benefits that cap if you make 1k more. 25+19.5=44.5k
The parent earning 25k would need to nearly double their income to fill the gap between left by benefits they no longer qualify for.
This didn't consider health care deductibles, dental (children get dental on Medicaid), or out of pocket expensive covered by Medicaid.
My health insurance plans max out of pocket is 8k. Add that.
Low income Families are also eligible for school lunch assistance, subsidized day care/after school programs.
School breakfast and lunch at my school was 5.5/day/180 days. ~1k.
Day care, summer programs,holiday programs, and after school programs can add 20k/yr.
Add another 29k. (37.7)
Which brings us to 78.2k
This parent who smartly took advantage of every opportunity they could recieves 200% their take home in assistance. Now after filing hundreds of forms to take advantage of these programs how much time do you think they'll have to spend towards tripling their income?
How much time will they even have to spend with their children between the constant battles with bureaucracies for benefits and their job to spend with their child?