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NEW JERSEY
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Work First New Jersey Evaluation Current and Former WFNJ Clients: How Are They Faring 30 Months Later |
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Date of Report: |
November 2000 (http://www.mathematica-mpr.com/PDFs/wfnj2.pdf) |
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Methodology: |
Survey and Administrative Data: interviews with 1,607 clients (of a sample of 2,000) who entered WFNJ between July 1997 and December 1998. (80% response rate) |
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Study Timeframe: |
Interviews were conducted approximately 30 months after entering WFNJ |
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Investigator (Contact): |
Mathematica Policy Research, Inc.
(Stuart Kerachsky, Project Director 609-799-3535) |
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Study Objective: |
Track how current and former WFNJ clients are faring over time under reform. |
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Comparable State Findings: |
Former Recipients |
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Percent employed at time of interview |
65% |
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Mean/Median hourly wage of those employed |
N/A |
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Percent receiving Food Stamps/Medicaid at time of interview |
29% / 46% |
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Percent who say life is "better" after welfare |
82% |
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Percent receiving cash assistance in first year since exit |
35% |
Employment & Income
- The average monthly income for all (current and former) clients was $1,271.
- 25% of leavers who were not employed 18 months after entering WFNJ remained off TANF and gained employment 30 months after entry while 29% returned to cash assistance during that same year.
- 58% of leavers left because they got a job/ increased their earnings while 21% left due to sanctions.
- The average percentage of income from clients' own earnings increased from 44% to 49% between the 18th and 30th month after they entered the WFNJ program.
- 48% of leavers that were not working were ranked in the lowest quartile of mental health relative to the general U.S. population compared to only 28% of leavers who were working.
Other Supports (at time of interview)
- 36% of leavers lack health insurance while 46% utilize Medicaid and 17% are privately insured.
- The study estimates that 66% of single- and two-parent families who left TANF are still eligible to receive Food Stamps although only about half of them utilize that benefit. The primary (self-reported) reason for not receiving food stamps is an increase in employment/ earnings (44%).
- 27% of employed leavers who have children under age six were receiving child care subsidies.
- Employed leavers receiving a child care subsidy spend an average of $131/month in out-of-pocket child care costs (9% of their income) compared to those without subsidies who spend an average of $321/month (21% of their income).
Family Well-Being
- Although only 21% of leavers exited TANF because they were sanctioned, nearly 33% of clients who returned to TANF did so because their sanction was lifted.
- Only 22% - 24% of leavers who exited due to increased earnings returned to TANF compared to 47% of those who left due to sanctions and 39% of those who left for other reasons.
- Among leavers, 65% agree that they have more money now than they did when they were on welfare although 48% reported that they are "barely making it from day to day."
- 73% of leavers without employment suffered a serious hardship in the past year (extreme poverty, serious illness, housing crisis, or hunger) compared to 29% of employed leavers.
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