And food stamps and Medicaid would continue. Recipients must work after 2 years. However, states might choose to ignore this requirement, because it will probably cost them more to create jobs than they will lose in Federal grants. States are permitted to deny added benefits to women who have babies while on welfare. There are also cuts in food stamp program.
Immigrants lose food stamps.
Food stamp levels won't rise with inflation, so food stamp support will continue to erode in the future. About 10 percent of all families will lose some income, of whom three-quarters have children. We also don't know what families will do with reduced support, and especially if they hit the 5-year limit. If these assumptions are not met, the effects on poor families will be even more severe. Evaluation of the 1996 legislation.