Indicators of Welfare Dependence: Annual Report to Congress, 2004. Indicator 6. Dependence Transitions

04/27/2005

Figure IND 6. Dependency Status in 1999 of Persons Who Received More than 50 Percent of Income from Means-Tested Assistance in 1998, by Race/Ethnicity

Figure IND 6. Dependency Status in 1999 of Persons Who Received More than 50 Percent of Income from Means-Tested Assistance in 1998, by Race/Ethnicity

Source: Unpublished data from the SIPP, 1996 panel.


  • Recipients of means-tested assistance were more likely to move out of dependency in the late 1990s than in the early 1990s. Three-tenths (30 percent) of recipients who received more than 50 percent of their total income from means-tested assistance programs in 1998 transitioned out of this dependency status in 1999. The comparable transition rate was only 20 percent between 1993 and 1994, as shown in Table IND 6b.
  • Of recipients who received more than 50 percent of their total income from AFDC/TANF, food stamps, and/or SSI in 1998, there was little difference among racial and ethnic categories in dependency transitions between 1998 and 1999. Past SIPP panels (data not shown) had found more movement among non-Hispanic whites than among non-Hispanic blacks.
  • As shown in Table IND 6a, a slightly larger percentage of women who received more than half of their total income from means-tested assistance programs in 1998 remained “dependent” in 1999 compared to the same group of men (71 percent compared to 66 percent).

Table IND 6a. Dependency Status in 1999 of Persons Who Received More than 50 Percent of Income from Means Tested Assistance in 1998, by Race/Ethnicity and Age

Individuals Receiving more than 50% of Income from Assistance in 1998 Total (000's) Percentage of Persons Receiving
No Aid in 1999
Up to 50% in 1999
Over 50% in 1999
All Persons 8,163 2.9 27.1 70.0
Racial/Ethnic Categories
Non-Hispanic White 2,657 4.3 25.8 70.0
Non-Hispanic Black 2,925 2.0 27.8 70.1
Hispanic 1,895 2.0 26.3 71.7
Age Categories
Children Ages 0-5 1,271 3.6 29.7 66.6
Children Ages 6-10 1,056 2.1 27.4 70.6
Children Ages 11-15 998 2.9 29.0 68.1
Women Ages 16-64 2,847 3.7 25.5 70.8
Men Ages 16-64 1,337 2.7 31.6 65.7
Adults Age 65 and over 654 0.0 16.4 83.6

Note: Means-tested assistance is defined as AFDC/TANF, food stamps, and SSI. While only affecting a small number of cases, general assistance income is included within AFDC/TANF income. Individuals are defined as dependent if they reside in families with more than 50 percent of total annual family income from these means-tested programs. Because full calendar year data for 1997-1998 were not available for all SIPP respondents, some transitions were based on twelve-month periods that did not correspond exactly to calendar years.

Persons of Hispanic ethnicity may be of any race. Due to small sample size, American Indians/Alaska Natives, Asians and Native Hawaiians/Other Pacific Islanders are included in the total for all persons but are not shown separately.

Source: Unpublished data from the SIPP, 1996 panel.


Table IND 6b. Dependency Status of All Persons Who Received More than 50 Percent of Income from Means Tested Assistance in Previous Year

  Total (000’s) Percentage of Persons Receiving
No Aid in Second Year
Up to 50% in Second Year Over 50% in Second Year
Transitions from:
1993 to 1994 14,810 1.6 18.6 79.8
1994 to 1995 13,986 2.7 18.8 78.5
1997 to 1998 9,672 3.1 28.8 68.1
1998 to 1999 8,163 2.9 27.1 70.0

Source: Unpublished data from the SIPP, 1993 and 1996 panels.

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