Ch10. US Social Welfare Law — Comprehensive Review

Classification of Social Welfare Programs

┌──────────────────┬─────────────────────┬──────────────────────────┐
│ Category         │ Social Insurance    │ Public Assistance         │
├──────────────────┼─────────────────────┼──────────────────────────┤
│ Funding          │ Payroll taxes       │ General tax revenues      │
│ Target           │ Universal (workers) │ Means-tested (selective)  │
│ Rights Basis     │ Contribution-based  │ Needs-based               │
│ Examples         │ SS, Medicare,       │ TANF, Medicaid,           │
│                  │ Unemployment Ins.   │ SNAP, SSI                 │
└──────────────────┴─────────────────────┴──────────────────────────┘

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Key Numbers Summary

TANF (Temporary Assistance for Needy Families):
Income and asset limits vary by state; typically below 50–185% FPL

Social Security (OASDI):
FICA: 6.2% SS + 1.45% Medicare (employee share)
Retirement benefits = 40 credits + FRA (age 67 for born 1960+)
Survivor benefits = 75%–100% of deceased's benefit

Medicare:
Age 65+ or qualifying disability (2-year waiting period for SSDI)

Medicaid / ACA Expansion:
Low-income adults up to 138% FPL (in expansion states)

Children:
Under 18 (CHIP, TANF child eligibility)

Seniors:
Age 65+ (Social Security, Medicare, Older Americans Act)

Social Work Licensing:
LCSW (Licensed Clinical Social Worker): Master's degree + exam + supervised hours
BSW (Bachelor's): LBSW in many states

Nonprofit / Nonprofit Board Requirements:
Vary by state; typical IRS rules require independent directors on 501(c)(3) boards

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Key Reporting / Helpline Numbers (US)

Child Abuse: 1-800-422-4453 (Childhelp National Child Abuse Hotline)
             911 for emergencies
Elder Abuse: 1-800-677-1116 (Eldercare Locator)
Domestic Violence: 1-800-799-7233 (National Domestic Violence Hotline)
Disability Rights: 1-800-514-0301 (ADA National Network)

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Frequently Missed Concepts

① Social Insurance vs Public Assistance
   → Social insurance = payroll-funded + universal eligibility
   → Public assistance = tax-funded + means-tested + selective

② Federal Poverty Level (FPL) Thresholds
   → CHIP: up to 200% FPL (varies by state)
   → Medicaid ACA expansion: up to 138% FPL
   → SNAP: up to 130% FPL
   → Know relative income thresholds, not exact dollar amounts

③ Social Security Full Retirement Age
   → Born 1960 or later = FRA 67 (not 65)
   → Early claiming at 62 = permanent reduction
   → Delayed claiming to 70 = 8% per year bonus

④ Medicare vs Medicaid
   → Medicare: age 65+ OR disabled (2-year SSDI wait); federal
   → Medicaid: low-income; joint federal-state; income-based
   → Both can cover same individual (dual eligible)

⑤ Medicaid Categories
   → Categories: aged, blind, disabled, children, pregnant women, ACA adults
   → Acute care vs Long-Term Care (nursing home) covered

⑥ Child = under 18; Senior = 65+
   → Juvenile justice definitions may use under 18 or under 21
   → Age thresholds vary by program — always check specific law

⑦ Disability Under ADA vs SSA
   → ADA: functional impairment that substantially limits a major life activity
   → SSA disability: inability to engage in SGA for 12+ months or death
   → Different standards for anti-discrimination vs benefit eligibility

⑧ Social Work Licensing
   → BSW / MSW / LCSW — exam requirements vary by state
   → No single federal social work license (state-by-state)

⑨ Child Support Non-Payment = License Suspension + Passport Denial
   → Administrative remedies first (garnishment, license, tax intercept)
   → Criminal contempt possible but not the first step

⑩ SSI ≠ Social Security Retirement
   → SSI (Supplemental Security Income): means-tested, funded by general revenues
   → SSDI / Retirement: contribution-based, funded by payroll taxes
   → Both administered by SSA but are separate programs

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Key Concept Cards

3 Categories of Social Welfare Programs ★★★★★ : Social Insurance + Public Assistance + Social Services. Memory tip: Insurance (contribution) / Assistance (means-tested) / Services (community-based)

FPL Threshold Order ★★★★★ : SNAP (130%) → Medicaid ACA (138%) → CHIP (200% varies) — know the relative order. Memory tip: SNAP < Medicaid ACA < CHIP in FPL cutoffs

Child Abuse Hotline + Elder Abuse Hotline ★★★★★ : Child Abuse = 1-800-422-4453. Elder Abuse = 1-800-677-1116 (Eldercare Locator). Memory tip: child abuse = Childhelp hotline; elder = Eldercare Locator

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Comprehensive Practice Questions

Q. What is the fundamental difference between the four major social insurance programs and public assistance programs?

Social insurance programs (Social Security, Medicare, Unemployment Insurance, Workers’ Compensation) are funded by payroll taxes and provide benefits based on work history and contributions — all covered workers have a legal entitlement. Public assistance programs (TANF, Medicaid, SNAP, SSI) are funded by general tax revenues and are means-tested — only those below income/asset thresholds qualify, and eligibility is need-based rather than contribution-based.

Q. Can someone receive both Social Security retirement benefits and SSI at the same time?

Yes. A person with very low Social Security retirement benefits (below SSI’s income threshold) may receive both. SSI supplements income up to the federal benefit rate, and SSA will offset SSI payments dollar-for-dollar (with certain exclusions). The two programs are separately funded — Social Security from payroll taxes and SSI from general revenues — but both are administered by SSA.