Determination of whether a person or family is poor is done by office of Management and budget (OMB) a division of the census bureau of U. S and they use a certain set of income or money threshold, which may vary with family composition or family size. If the total income of a family is below the threshold depending on the family size, then every person in that family is considered as poor. The government has developed programs such as welfare safety net for the unemployed and disadvantaged people in the society. Public assistance in the U.
S is increasingly coming under the control of the federal and state government. Here, Temporary Assistance for Needy Families (TANF) has been developed as a welfare program for the poor. This welfare provides work support and financial help to the families who earn low incomes and have children. A tax credit on earned income is extended to the low income earners. The government also provides assistance in form of food stamps, Medicaid, subsidizes housing as well as providing nutritional programs to the infants, children, and women.
Another assistant provided by the government to the poor is incentives for work to the poor families since it requires the poor adult recipients to involve themselves in work or activities which are related to work. Engaging to the work activities helps the poor to earn themselves a living and also building the economy of the nation. The government also helps the poor unemployed people through enacting laws of minimum wage.
Setting minimum wage helps the poor to earn a good pay which can also help in elimination of poverty in the society. However, minimum wage, especially when increased has been highly blamed for increased unemployment rate. The most affected individuals who are inexperienced or less skilled, a factor which has negative impact to the poor. Still, readily available financial assistant may render some individuals lazy and dependent; a factor which if not checked may lead to vicious cycle of poverty.