Temporary Assistance for Needy Families

The TANF program issues awards to States and the District of Columbia, Territories, and Indian Tribes to assist needy families with children so that children can be cared for in their own homes or in the homes of relatives; end the dependence of need

The TANF program issues awards to States and the District of Columbia, Territories, and Indian Tribes to assist needy families with children so that children can be cared for in their own homes or in the homes of relatives; end the dependence of needy parents on government benefits by promoting job preparation, work, and marriage; prevent and reduce the incidence of out-of-wedlock pregnancies; and encourage the formation and maintenance of two-parent families.

Eligible entities include States and Indian Tribes. According to 45 C.F.R. 260.30, State refers to the 50 States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, and American Samoa, unless otherwise specified. Indian Tribe is defined under 25 U.S.C. 5304 per 42 U.S.C. § 619(4)(A), and includes the 13 specified entities in Alaska, per 42 U.S.C. § 619(4)(B). States and Indian Tribes that operate TANF programs must do so under plans determined to be complete (or for Tribes, approved) by the Department of Health and Human Services (HHS). In accordance with 42 U.S.C. § 603(b) for Contingency Funds, all States and the District of Columbia are eligible if they are determined to be a "needy State", as defined under 42 U.S.C. § 603(b)(5), by satisfying criteria related to the state's unemployment rate or the average number of participants in the Supplemental Nutrition Assistance Program (or SNAP, formerly known as food stamps). Tribes are not eligible for Contingency Funds. See 45 CFR 264.70(c). Per the American Rescue Plan Act of 2021, eligible recipients for Pandemic Emergency Assistance Funds were: states, the District of Columbia, Tribes operating a Tribal TANF program, and all five U.S. territories.

Needy families with children, as determined eligible by the State, Territory, or Tribe in accordance with the State or Tribal plan submitted to HHS.

TANF funds monthly cash assistance payments to low-income families with children, as well as a wide range of services that are "reasonably calculated" to address the program's four broad purposes. States, Territories, the District of Columbia, and Federally-recognized Indian Tribes operating their own TANF programs have flexibility to use the awarded funds in any manner that meets the purposes of the program and in ways that States and Territories were authorized to use funds received under the predecessor Aid to Families with Dependent Children (AFDC), Job Opportunities and Basic Skills Training (JOBS), and Emergency Assistance (EA) programs. States and Territories may also transfer a limited portion of their assistance award funds to the Child Care and Development Block Grant (CCDBG) and Social Services Block Grant (SSBG) Programs. Not more than 15 percent of any State award may be spent on administrative costs, exclusive of certain computerization and information technology expenses. Cash awards, work opportunities, and other services are made directly to needy families with children. For Tribal programs, ACF will negotiate a limitation on administrative costs for the first year of the program's operation not to exceed 35 percent, for the second year of the program's operation not to exceed 30 percent, and then for the third and subsequent years of the program's operation not to exceed 25 percent.

States are required to include in their State plans a statement outlining how they intend to implement policies and procedures to prevent access to assistance through electronic benefit transfer transactions in an automated teller machine or point-of-sale device located in casinos, liquor stores, and retail establishments which provide adult-oriented entertainment.

States and Indian Tribes are awarded their assistance grants in quarterly payments. They may reserve award monies, without fiscal year limitation, to provide any allowable benefits and services that are consistent with the purposes of the TANF program. With certain exceptions, per 42 U.S.C. § 608(a)(7), most families are limited to no more than 5 years of assistance under the Federal grant. Tribes have the flexibility to establish time limits on receipt of assistance. For Contingency Funds, awards are issued monthly to States meeting the eligibility criteria stipulated under 45 C.F.R 264.70. For the Pandemic Emergency Assistance Fund (PEAF), a recipient had from April 1, 2021, to September 30, 2022, to expend its initial allotment of funds. If a recipient did not expend all PEAF funds by that date, HHS reallotted any unused funds, to other states, territories, and tribes, which had to expend them within 12 months of receipt, as specified in the legislation.

Once a plan is determined complete, or in the case of an Indian Tribe, the plan is approved, by ACF, Family Assistance Grants are issued in quarterly payments. Contingency Fund awards will be made monthly. Post award, the Division of Payment Management will establish an account from which a recipient may draw down award funds.

States and Indian Tribes must implement their assistance programs according to their State and Tribal plans. ACF does not have authority to approve or disapprove a State plan, only to determine its completeness. Tribal plans are subject to approval by ACF.

In accordance with section 402 of the Social Security Act [42 U.S.C. § 602] states must periodically renew their funding status by submitting their TANF plan. A state must submit a new plan for a fiscal year if the state has not submitted to the Secretary a plan that ACF has found to be complete during the 27-month period ending with the close of the 1st quarter of the fiscal year. This means that a plan is due every two or three years. The regulations outline the process for tribes to submit renewal plans every three years at 45 CFR §286.65. For Contingency Funds, requests for additional funding must be made monthly.

For existing recipients, appeals regarding disputes may take place in accordance with 2 CFR Part 16 subject to the limitations in Appendix A. (45 CFR §204.4 and 45 CFR §286.240).