A new report by the CATO Institute shows that 35 states pay individuals more in welfare than if they worked at a job paying minimum wage. Policy Analyst Michael Turner co-authored “The Work VS Welfare Tradeoff Report” and says Americans know a good deal. He says people in America are poor and not stupid. He says 42% of people on welfare are working and only one in five are working in a job and the remainder is doing job search and training.
Turner says Nebraska is one of the best in the country when it comes to those on welfare working, 77% but he says that is still too low.
Turner says the Federal minimum wage is $7.25. In Hawaii, those on welfare bring in $50,000 a year or $29.13 an hour.
He says while Nebraska did not make the list of those paying more in welfare than the minimum wage it is pretty close. Nebraska is ranked 38th.
The report suggests if Congress and lawmakers are serious about reducing welfare numbers they should strengthen requirements, remove exemptions and narrow the definition of work.