The Supplemental Security Income Program and Material Hardship after the 1996 Welfare Reform

We analyze SSI applications and benefit receipt after the 1996 welfare reform by single mothers who received cash assistance in February 1997. We address these questions: First, what characteristics are associated with SSI applications and how do they differ between successful and unsuccessful applicants? Second, to what extent is SSI application and receipt status associated with material hardships? We find that unsuccessful applicants and SSI recipients have similar characteristics and that changes in physical and mental health problems during the panel are associated with new SSI applications. Both SSI recipients and unsuccessful applicants are significantly more likely to report any material hardship than those who did not apply for benefits. However, unsuccessful applicants report a significantly higher number of hardships. These results suggest the need for a temporary disability program for individuals whose physical and mental health problems limit their work, but whose disabilities do not meet the strict standards of SSI.

[1]  S. Danziger,et al.  The Relationship between Income and Material Hardship , 2008 .

[2]  S. Hofferth,et al.  Do disabilities in former TANF families hasten their returns to cash assistance , 2008 .

[3]  R. Blank.  Improving the Safety Net for Single Mothers Who Face Serious Barriers to Work , 2007, The Future of children.

[4]  Melissa S. Kearney,et al.  The impact of child SSI enrollment on household outcomes , 2007 .

[5]  E. Meara,et al.  Welfare Reform, Work Requirements, and Employment Barriers , 2006 .

[6]  S. Danziger,et al.  Failing the Transition from Welfare to Work: Women Chronically Disconnected from Employment and Cash Welfare† , 2006 .

[7]  L. Pavetti.  When Five Years Is Not Enough Identifying and Addressing the Needs of Families Nearing the TANF Time Limit in Ramsey County Minnesota , 2006 .

[8]  M. Wiseman,et al.  The TANF/SSI Connection , 2007, Social security bulletin.

[9]  L. Schmidt,et al.  AFDC, SSI, and Welfare Reform Aggressiveness , 2004, The Journal of Human Resources.

[10]  S. Orzol,et al.  Watching the Clock Tick: Factors Associated with TANF Accumulation , 2004 .

[11]  M. Wiseman,et al.  Disability, Welfare Reform, and Supplemental Security Income , 2004 .

[12]  P. Loprest.  Fewer Welfare Leavers Employed in Weak Economy , 2003 .

[13]  Jeffrey D. Kubik.  Fiscal Federalism and Welfare Policy: The Role of States in the Growth of Child SSI , 2003, National Tax Journal.

[14]  A. Nichols,et al.  Tracking the Household Income of SSDI and SSI Applicants , 2001 .

[15]  S. Glied,et al.  Does State AFDC Generosity Affect Child SSI Participation , 2000 .

[16]  Jeffrey D. Kubik.  Incentives for the identification and treatment of children with disabilities: the supplemental security income program , 1999 .

[17]  K. Siefert,et al.  Barriers to the Employment of Welfare Recipients , 1999 .

[18]  K. Lahiri,et al.  Modeling SSA's sequential disability determination process using matched SIPP data. , 1995, Social security bulletin.

[19]  John Bound,et al.  The Health and Earnings of Rejected Disability Insurance Applicants , 1989, The American economic review.