Welfare programs have taken hold in too many American families. While it is vital for families facing temporary financial hardships, welfare has created an environment where work is disincentivized, and families stay in poverty. Social support in America should prioritize work and financial independence while lowering tax burdens to help families at all stages.

Welfare reform in the 1990s brought tremendous success in promoting work and reducing family dependence on the government. Adults and children moved out of poverty, and mothers joined the workforce in greater numbers. A strict work requirement was implemented for Temporary Assistance for Needy Families (TANF), or cash benefits, and recipients could receive benefits for a lifetime limit of five years. Welfare reform in the 1990s moved families away from government dependence and closer to the ability to support themselves sustainably.

Thirty years later, however, these same programs have once again made families dependent on benefits. Eligibility expansions, sweeping policies, and economic downturns have expanded welfare rolls over the years. Categorical eligibility, a practice that allows individuals to qualify for one welfare program by qualifying for another, has allowed the programs to grow unchecked.

Welfare programs create heavy burdens on American taxpayers. The U.S. spends over $1 trillion annually on over 80 anti-poverty programs, and 85% of that spending is automatic, mandatory spending. Together, these programs have become one of the largest spending categories in the federal budget, driven by waste in individual programs. Work requirements have been relaxed or poorly enforced. For example, the strict requirements that made TANF successful were cast aside; only 21% of adult TANF recipients are working.

Alarmingly, poor verification processes have allowed waste, fraud, and abuse to go largely unaddressed. Welfare and entitlement programs such as Medicaid, Medicare, the Earned Income Tax Credit, and SNAP made up 67% of improper payments across the federal government in 2025. TANF has been deemed susceptible to such significant improper payments that the estimate for waste in that program is not reported.

There are social supports that do work in federal policy. The Child Tax Credit gives families more resources to meet the needs of growing children, while employer tax credits help families meet rising childcare costs so parents can keep working.

During this affordability crisis, policymakers must implement policies that grow the economy, generate abundant work opportunities, and reward hard work instead of penalizing it. Cutting taxes and eliminating penalties on earnings from tips and overtime are examples of this from the Working Families Tax Cuts.

When taxes remain high, funds go toward a burgeoning welfare system, but leaving resources with families gives them greater control and agency over their futures.

The key to successful social support programs is prioritizing work, reducing unnecessary government burdens, and combating fraud by refocusing welfare programs to serve their intended populations. Wide eligibility thresholds and a lack of reporting and accountability in welfare programs such as SNAP and TANF have allowed waste, fraud, and abuse to increase federal spending without better outcomes.

Reduce waste quickly by ending self-certification and verifying data before program enrollment, tightening eligibility requirements, and instituting consequences for states that allow waste, fraud, and abuse in these programs. Stricter eligibility requirements will ensure that only indigent people qualify for benefits. Stronger verification processes before benefits are paid will prevent improper payments. Technology can help expedite the verification process by facilitating collaboration and data sharing across agencies and governments. Enforcing work requirements for able-bodied adults and parents with older children will promote needed independence and encourage individuals to thrive in the American economy.

Welfare reform served Americans well and allowed families to thrive in the 1990s by rewarding work, moving families toward independence from the government, while still giving assistance to families in need. What worked 30 years ago can work again. Policymakers must deliver accountability and oversight over social support programs to ensure they truly serve those who need them.

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This is part of a series of op-eds based on Independent Women’s new report, “Flourishing Families: An Agenda to Help Families Thrive.” The report, found here, details ways to support families without direct government subsidies or radically distorting the tax code to redistribute resources to families.

Kamryn Crane is a Budget and Entitlement Policy Analyst at Independent Women.

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Why It’s Time To Re-Form Welfare Reform