![Blue graphic with text "Fencing Off the Benefits Cliff," featuring a circular photo of a man labeled Ryan Erickson and subtitle "Social Finance in Governing.](https://socialfinance.org/wp-content/uploads/2026/07/15-1000x673.png")
Public Sector Solutions, Children & Families
Key Takeaway
A small bump in income can cost a family far more in lost public assistance, leading some to forgo opportunity. There are some promising efforts to get at the problem.
In this op-ed for Governing, Ryan Erickson explains how benefits cliffs — where a small income increase can trigger the loss of public assistance worth far more — trap millions of workers in economic stagnation and discourage upward mobility. He highlights promising state-level solutions, including earned income disregards and pilot programs pairing families with economic mobility coaches.
Related Insight
![Children play basketball and run in a schoolyard in front of a blue building with solar panels on the roof under a clear sky.](https://socialfinance.org/wp-content/uploads/2026/08/Solar_Panels_for_School-1000x563.jpg")
Social Finance Impact First Fund Q2 2026 Report
The Impact First Fund is built to deliver flexible, risk-tolerant capital to innovative business models advancing economic opportunity. It offers a simple, cost-effective way to invest in a professionally managed portfolio with a clear focus…