Indicators of Welfare Dependence: Annual Report to Congress, 2003. AFDC/TANF Expenditures

03/01/2003

AFDC/TANF Expenditures (Tables TANF 3-6 and Figure TANF 2). Tables TANF 3, 4 and 5 show trends in expenditures on AFDC and TANF. Table TANF 3 tracks both programs, breaking out the costs of benefits and administrative expenses. It also shows the division between federal and state spending. Table TANF 4 breaks out the benefits paid under the single parent or “basic” program and the Unemployed Parent (UP) program, and also nets out the value of child support collected on behalf of recipient children, but retained by the state to reimburse welfare expenditures. This table presents data through 1996 only, because the TANF data reporting requirements do not require that caseload data be separated into “basic” and “UP” components. Table TANF 5 shows the variety of activities funded under the TANF program.

Figure TANF 2 and Table TANF 6 show that inflation has had a significant effect in eroding the value of the average monthly AFDC/TANF benefit. In real dollars, the average monthly benefit per recipient in 2001 was 62 percent of what it was at its peak in the late 1970s.

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