Originally published in the Washington Examiner.

As budget reconciliation negotiations continue in Washington, some congressional Republicans see an opportunity to improve social welfare programs by strengthening work requirements. Just last month, Sen. Mike Lee (R-UT) and Rep. Josh Brecheen (R-OK) introduced the SNAP Reform and Upward Mobility Act. This follows the Let’s Get to Work Act from Rep. Mike Kennedy (R-UT) and Sen. Rick Scott (R-FL) released earlier this year.

Given the evidence of work requirements’ positive impact and broad popularity, this approach is understandable. It’s also incomplete.

Unlocking upward mobility for millions of struggling people who feel trapped on government assistance also requires reevaluating the government-constructed barriers that can disincentivize people from working or pursuing professional advancement. Congressional leaders should start by eliminating “benefits cliffs,” the most pernicious work disincentive.

“Benefits cliffs” occur when increased income, such as through a promotion or new job, causes a loss of government benefits that exceeds or cancels out what a household gained from earned income. Similarly, a “benefits plateau” is when earning more leaves you in the same place or not much better off.

This phenomenon can penalize families for making economic progress. Atlanta Federal Reserve Bank experts found “a hypothetical single adult, one child (aged 3) family living in D.C. would receive no financial gain from a wage increase between $11,000 and $65,000 of earned income.” A 2022 study from the University of Chicago showed in Illinois, a mere $1,000 annual wage increase, from $54,000 to $55,000, would result in a family losing over $25,000 in childcare benefits.

A study from the Sutherland Institute surveyed welfare participants in Utah and found that 43% of recipients reported having intentionally limited their earned income for fear of triggering benefits cliffs or plateaus. These measures include deciding to stop looking for or pursuing a new job, raise, or promotion, 29%); intentionally working fewer hours than they could have, 19%); or directly turning down a new job offer, 13% — all this in the state with the most upward mobility in the country.

Congress should explore three reforms to fix these problems and turn our welfare system into a stronger launchpad to economic progress.

First, Congress should restructure and coordinate benefit reductions. As earned income increases, the decrease in public benefits should be smooth, predictable, and consistent across programs, which it currently is not. The rate of benefits reduction should be low enough to ensure each additional dollar earned improves families’ overall financial situation rather than jeopardizing it. If families don’t keep most of their income gains, they’ll feel work doesn’t pay. Programs should phase out in a pro-work and budget-neutral way. This would structurally solve benefit cliffs and plateaus.

Today, families receiving government benefits often face uncertainty and confusion about eligibility rules, tapering points, and how their income will affect their overall household finances. That’s unsurprising given the unnavigable labyrinth of 80-plus programs.

That’s why Congress’s second reform should make financial planning tools readily available as part of safety net programs. Families need a clear and accurate picture of how income increases will affect benefit amounts so they can plan accordingly and reach for opportunities without the fear and uncertainty they experience. The Atlanta Fed’s CLIFF Calculator is an example of such a tool.

Third, Congress should make it easier for states to craft innovative pilot programs that can serve as a model for future state and federal reforms.

Currently, states have limited latitude to innovate. Programs such as Temporary Assistance for Needy Families are distributed through block grants, which provide states some flexibility. Utah is already pursuing novel interventions by using TANF funds to pilot enhanced financial planning and navigation resources that empower impoverished families to feel more confident accepting economic opportunities.

Congress should create a formal structure giving states additional authority to experiment. It can shift more welfare programs to block grants where states have a bigger say in how they spend funds. And Congress can make it easier for states to get waivers to administer programs differently.

Congressional Republicans pursuing work requirements rightly recognize there is no successful path out of poverty that does not include sustained engagement with work. Work requirements alone cannot achieve this.

The 119th Congress needs to elevate the reform conversation and clear the paths of struggling people by removing work disincentives to ensure they don’t face unfair barriers to working harder, earning more, and creating a better life for their families. This will usher in a new era of opportunity, especially for those who need it most.