The purpose and funding of welfare in the United States The purpose of the welfare system is to provide assistance to those who have little to no income. The United States system of welfare derived its beginnings from the Social Security Act of 1935. The Social Security Act was enacted and signed into law by President Franklin D. Roosevelt. According to National Center for Public Policy Research (2003), [to make more adequate provision for aged persons, blind persons, dependent and crippled children, maternal and child welfare] (The Social Security Act (Act of August 14, 1935), para. 1). The act also encompassed those in the category of disabled, blind, and crippled. The Social Security Act was amended in 1939 to include dependent and survivor benefits of veterans. In 1956 the Social Security Act was again amended to include the Social Security Disability Insurance program.
The Social Security Act was amended, maintained and funded by the federal government through the use of payroll taxes known as FICA (Federal Insurance Contributions Act) these funds were
References: Bloom, D. (1999). Welfare time limits: An interim report card. Bloom, D., Farrell, M., & Fink, B. Adam-Ciardullo D. (2002). Welfare time limits State policies, Implementation, and effects on families National Center for Public Policy Research. (1935).The Social Security Act of 1935. Retrieved from http://www.nationalcenter.org/SocialSecurityAct.html The Finance Project. (2009). Welfare Information. Retrieved from http://www.welfareinfo.org/programs/ The Finance Project. (2009). Welfare Information. Retrieved from http://www.welfareinfo.org/assistance/