TANF cash assistance benefits tumble nationally

From Hawaii KIDS COUNT

A report released in November by the Center on Budget and Policy Priorities examined trends in Temporary Assistance to Needy Families benefits throughout the country.  While most states froze benefit levels in 2011, six states actually cut benefits, resulting in a reduction of assistance to over a third of low-income families that receive assistance nationwide.

According to the report, TANF benefits are now considerably lower in real terms in most states and are continuing to decline in value each year, making it increasingly difficult for the poorest families with children to meet the most basic needs.  Findings for Hawaii include the following:

• Since the TANF Program was established in 1996, Hawaii’s TANF benefits for a single-parent family of three decreased by 39.8 percent, the second greatest percent decrease in the nation, after being adjusted for inflation.
• The share of Fair Market Rent that TANF benefits cover has decreased. In 2000, Hawaii’s benefits covered over two thirds of the FMR, but only covered a little over one third in 2011.
• Hawaii has a two-tiered benefit system depending on work status.  In fiscal year 2010, the benefit level for a family of three was $610 for working families and $763 for work-exempt families.

The full report is available on the Center on Budget and Policy Priorities website:  http://www.cbpp.org/files/11-21-11pov.pdf.