How States Can Fix the Broken Welfare System

The American Dream promises that hard work leads to a better life. However, for many people trying to escape poverty, this isn't the case. The welfare system, meant to help, often holds them back. It discourages work and traps families in a cycle of dependency. To fix this, states need to take the lead in reforming the welfare system. The Upward Mobility Act is a good starting point. The welfare system has a big problem: benefit cliffs. These are points where earning more money doesn't actually help. In fact, it can make things worse. For example, a single parent in Washington, D. C. , earning more money might end up with no financial gain. This is because the loss of benefits outweighs the increase in earnings. This system is supposed to help people escape poverty, but it actually punishes them for trying. In Utah, 43% of people on welfare have taken steps to limit their earnings. They turn down raises, refuse extra hours, or stop looking for jobs. They do this to avoid hitting benefit cliffs. This shows that the system is failing. It's a moral and practical failure that needs to be fixed.Recently, there have been efforts to reform the welfare system. But federal policies are getting in the way. There are over 80 welfare programs with a huge price tag. They are managed by multiple agencies and committees, making reform difficult. The solution? Let the states take the lead. In the 1990s, states led a successful welfare reform movement. They tested different approaches to increase work and reduce dependency. Today, families need that kind of innovation. That's why Congress should pass the Upward Mobility Act. The Upward Mobility Act aims to eliminate benefit cliffs. It creates a pilot program for five states to experiment with new solutions. These states can combine funding from different federal programs into one flexible stream. This allows them to design and test new ways to help families move up the economic ladder. The act is pro-work, pro-innovation, and deficit-neutral. It embraces the principle of federalism and targets taxpayer dollars to those who need it most. America can still be a land of opportunity. But it needs a welfare system that promotes work and independence. By enlisting the states, we can remove work disincentives, promote upward mobility, and bring the American Dream within reach.