A key Indiana House committee passed State Rep. Chuck Goodrich’s (R-Noblesville) bill on Tuesday to help Hoosier workers who may decline a pay bump over fear of quickly losing government benefits.
The House Family, Children and Human Affairs Committee approved the bill during a meeting at the Indiana Government Center South Chamber.
Goodrich, the author of House Bill 1009, said this legislation would expand income eligibility requirements for the Temporary Assistance For Needy Families program to 50 percent of the federal poverty level by 2025. Under current requirements, an eligible families’ income needs to fall between 13 percent and 16 percent of the federal poverty level, which equates to a gross yearly income of $8,547 for a family of four. Goodrich said his legislation would help create a gradual phase-out of assistance as an eligible household’s income increases to prevent Hoosiers from losing their benefits entirely if they accept a pay bump.
“Many Hoosier workers and their families could immediately lose their benefits if they receive a small raise, which could worsen their overall financial situation,” Goodrich said. “A gradual phase out of their government assistance could incentivize more Hoosiers to take a step forward in their careers or accept a higher-paying job.”
According to Goodrich, this legislation builds on a 2020 law that took effect in January that exempts dependents’ income earned through internships or work-based learning programs from their families’ benefits.
House Bill 1009 now heads to the House Ways and Means Committee for further consideration. For more information about this legislation, visit iga.in.gov.