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Welfare Reform Project

NEW JERSEY

Work First New Jersey Evaluation Current and Former WFNJ Clients: How Are They and Their Children Faring 40 Months Later?

Date of Report:

January 2002 (www.mathematica-mpr.com)

Methodology:

Administrative and survey data: 1,609 interviews were conducted
(Response Rate 80%)

Study Timeframe:

Interviews were conducted between February and June 2000, approximately 3.5 years after entering Work First New Jersey (WFNJ).

Investigator (Contact):

Mathematica Policy Research, Inc.
(Anu Rangarajan, Project Director 609-799-3535)

Study Objective:

Track how current / former WFNJ clients and their children are faring over time.

Comparable State Findings:

Former Recipients

Percent employed at time of interview

48%

Mean/Median hourly wage of those employed

N/A

Percent receiving Food Stamps at time of interview

30%

Percent who say life is "better" after welfare

N/A

Percent receiving cash assistance in first year since exit

N/A

Employment & Income

  • 74% of leavers employed at the time of the 3rd survey reported being employed in the 1st survey.
  • 28% of leavers were not employed. This remained fairly consistent over time.
  • Employment was the most common reason clients exited cash assistance (43%).
  • The average monthly income of employed leavers was $2,051 - a 20% increase from the 1st survey.
  • The average monthly income of unemployed leavers increased over time, from $690 at the 1st survey to $840 at the 3rd survey. Those with a spouse/partner reported an average monthly income of $1,575.

Other Supports

  • 32% of employed leavers with children under age 6 received government child care subsidies.
  • Unemployed leavers relied on an employed spouse/partner (23%) or SSI (13%) to support themselves. 18% of unemployed leavers had been employed but recently lost their job.
  • 46% of leavers reported receiving TANF for less than 12 months since WFNJ entry 3.5 years ago.
  • 71% of employed and 62% of unemployed former TANF clients had health insurance.

Family Well-Being

  • Employed leavers reported fewer housing problems than unemployed leavers - 7% had their electricity cut off compared to 9% of unemployed leavers, 10% moved in with friends/relatives compared to 16% of unemployed leavers and only 1% had lived in a homeless shelter compared to 6% of unemployed leavers.
  • 70% of employed leavers reported being food sufficient compared to 56% of unemployed leavers.
  • Only 19% of employed leavers reported health problems compared to 45% of unemployed leavers. 34% of unemployed leavers reported that their health limits their ability to work.
  • Common hardships faced by leavers were; seriously ill child(ren) (9% of employed leavers and 15% of unemployed leavers), mental health treatment (4% of employed leavers and 11% of unemployed leavers) and domestic violence (3% of employed leavers and 11% of unemployed leavers).
  • 44% of unemployed leavers experienced extreme poverty in the past year compared to only 3% of employed leavers.
  • Employed leavers were least likely to have a child in special education (21%) when compared to stayers and unemployed leavers and most likely (11%) to have a child in a gifted program.
  • 79% of employed leavers had an income above the poverty line. In contrast, 77% of those off TANF and not employed lived below the poverty line.


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