The Challenge of the Benefits Cliff
Often referred to as the “benefits cliff,” many individuals find themselves in a precarious situation where they earn too little to thrive yet make too much to qualify for essential federal or state assistance. Studies indicate that navigating this challenging balance frequently traps people in a cycle of poverty.
A Personal Story: Nyesha Wornum
Nyesha Wornum, a devoted mother residing in the Boston area, recently faced this dilemma firsthand. She increased her work hours from 20 to 25 per week in her technical job, only to lose the crucial subsidies that helped with food and childcare expenses.
“I fell into the trap,” Wornum shared. “In just one month after taking on a part-time job, I went from receiving $700 to $0 in grocery assistance. Losing those benefits made me cry; it was so sudden.”
Seeking Solutions: The Bridge to Prosperity Program
In an effort to break free from this cycle, Wornum has enrolled in a new initiative called Bridge to Prosperity. This innovative three-year pilot program aims to empower women to advance their careers while gradually transitioning away from government benefits.
Financial Support and Coaching
The Bridge to Prosperity program offers participants “gap” payments, allowing them to increase their working hours without the fear of losing their financial safety net. Additionally, participants receive guidance on saving and effective spending strategies.
Community Impact
More than a dozen women from Boston, Worcester, and Springfield have joined the program’s inaugural cohort, coordinated by a coalition of nonprofits including Women’s Money Matters in Boston.
“This pilot program is a groundbreaking effort in Massachusetts aiming to tackle the benefits gap,” stated Carla Poulos, senior manager of programs and advocacy at Women’s Money Matters. “We encourage mothers to enhance their work hours, pursue higher wages, accept promotions, and engage in job training. Our role is to bridge those payments as benefits are phased out.”
Encouraging Future Independence
Participants in the pilot will receive financial support to compensate for any loss of benefits, along with a $10,000 lump sum upon completion of the program to enhance their financial independence.
Wornum expresses that these bridge payments are vital for her family’s stability. “This support will significantly impact my ability to pay rent,” she confessed. “Having the opportunity to save money is a crucial step towards escaping this cycle.”
