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Title page 1

Contents 3

Summary 2

Introduction 5

TANF Funding 5

The State Family Assistance Grant for State and Tribal Programs 6

State Family Assistance Grants by State 6

TANF Contingency Funds 11

Special Financing Rules for the Territories 11

Certain Tribes May Receive Funds for Work Programs 12

Minimum Amount of Nonfederal Spending Required by TANF: Maintenance of Effort (MOE) 13

Broad Flexibility in the Use of TANF Funds 16

Rules Specific to the Use of Federal Funds 17

Rules Specific to Counting Nonfederal Dollars Toward the MOE Requirement 18

Eligible Families 18

Qualified Expenditures 19

Healthy Marriage and Responsible Fatherhood Activities Counted Toward the MOE Requirement 19

Furthering State Flexibility: Limitation on Federal Regulatory Authority 20

The Focus of Most Federal TANF Policy: Assistance 20

The Definition of Assistance 21

Federal Eligibility Rules for Assistance 21

Traditional Cash Assistance 22

States Determine the Test of Financial Need to Be Eligible for Assistance 22

States Determine the Amount of Assistance Provided to Families 25

Work and Job Preparation 25

Numerical Performance Standards 26

Other Federal TANF Provisions That Relate to Work and Job Preparation 28

The TANF Time Limit 28

Child Support Requirements 30

Special Provisions for Victims of Sexual Harassment and Domestic Violence 30

Other Prohibitions on Receipt of Assistance 31

Nontraditional Forms of Assistance 31

Data Reporting on Families and Individuals Receiving Assistance 32

The Increasing Importance of TANF Benefits, Services, and Activities That Are Not Assistance 32

Administrative Costs 34

Tribal TANF 34

TANF Research 34

Author Information 35

Acknowledgments 35

Disclaimer 35

Tables 4

Table 1. State Family Assistance Grants by State, FY2024 7

Table 2. Minimum Nonfederal Spending Required to Meet the TANF Maintenance of Effort Requirement: FY2024 14

Table 3. TANF Time Limits by State, July 2023 29

Figures 3

Figure 1. TANF Grant Per Poor Child: FY2024 9

Figure 2. FY2024 State Family Assistance Grant and FY1995 Federal Funding for Predecessor Programs Per Poor Child 10

Figure 3. Minimum Nonfederal Spending Required Under the TANF Maintenance of Effort (MOE) Requirement Per Poor Child: FY2024 16

Figure 4. Uses of TANF Funds: FY2024 17

Figure 5. Number of Families Receiving Assistance from TANF and AFDC: 1959-2025 21

Figure 6. Maximum Monthly Earnings a Single Parent with Two Children May Have and Be Eligible to Enter TANF Cash Assistance, by State: July 2023 24

Figure 7. TANF Maximum Monthly Cash Assistance Benefits for a Single Parent with Two Children, By State: July 2023 25

Figure 8. Example of How the Caseload Reduction Credit Would Reduce a State's Work Participation Standard: FY2026 27

Figure 9. Families Receiving Assistance and Expenditures by Category: FY1995 and FY2024 33

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